ACIT, CC 6(2), MUMBAI, MUMBAI V. CADS PROPERTIES PRIVATE LIMITED, JVPD MUMBAI

ITA 3876/MUM/2025

AI Insights

The case involves two appeals by the revenue against Cads Properties Private Limited, challenging the orders of the Commissioner of Income Tax Appeals, Mumbai, for the assessment years 2021-22 and 2022-23. The primary contention in the appeals was the tax effect, which the revenue initially claimed was Rs. 1,80,00,000/-. However, it was later clarified by the assessee's representative that the actual tax effect was significantly lower, at Rs. 48,63,150/- for A.Y. 2021-22 and Rs. 50,07,600/- for A.Y. 2022-23. The revenue conceded during the proceedings that the tax effect was indeed below the newly prescribed limit of Rs. 60,00,000/- as per the latest CBDT circular, leading to the dismissal of the appeals.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 777076 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-09-2025
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2021-2022
• Appeal Filed On: 30-05-2025
• Laws Referred To: Income Tax Act
• Court: TRIBUNAL
• Department Lawyers: R.A. DHYANI
• Assessee Lawyers: HARSH KOTHARI AW
• Keywords: Tax effect; Assessment record

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, ‘C’ BENCH MUMBAI BEFORE: SHRI PAWAN SINGH, JUDICIAL MEMBER & SHRI ARUN KHODPIA, ACCOUNTANT MEMBER ITA No. 3876/MUM/2025 (AY:2021–22) & ITA No. 3877/MUM/2025 (AY:2022–23) ACIT, CC 6 (2), Mumbai BKC, Mumbai, Mumbai-400051 Vs. Cads Properties Private Limited 21, My Little Home, Plot No. 3, JVPD, Mumbai, Mumbai- 400049 PAN: AAHCC5206E (Appellant) .. (Respondent) Assessee by Shri. Harsh Kothari a/w Shri Ronak Vasavada Revenue by Shri. R. A. Dhyani, CIT DR Date of Hearing 18/09/2025 Date of Pronouncement 18/09/2025 Order under section 254(1) of Income Tax Act PER ARUN KHODPIA, ACCOUNTANT MEMBER: These aforesaid appeals are filed by the revenue challenging the orders of Commissioner of Income Tax Appeals, 54 Mumbai dated 30.05.2025 for A.Y. 2021-22 and 2022-23. 2. In both the aforesaid appeals the revenue has shown the tax effect of Rs. 1,80,00,000/-. Printed from counselvise.com ITA no. 3876 and 3877/MUM/2025 Cads Properties Private Limited 2 3. At the very initial stage of the hearing on 17.09.2025, Ld. Authorized Representative of the assessee (in short ‘Ld.AR’) submitted that the amount of addition was picked up as amount of the tax effect and declared by the revenue in the aforesaid appeals, thus the same is a defect in the appeal. He clarified that the actual tax effect for A.Y. 2021-22 is Rs. 48,63,150/- and for A.Y. 2022-23, it is Rs. 50,07,600/- only. 4. It is submitted by Ld.AR that as per CBDT circular No. 9/2024 dated 17.09.2024, the tax effect for filing of appeal before the Income Tax Appellate Tribunal was increased to 60,00,000/- and as per para 5 of the said circular such modification in the monetary limits has its application on the appeals pending before the Tribunal. Copy of circular is also submitted before us. The submission of the Ld. AR was confronted to the Ld. CIT DR representing the revenue to which he requested for a day’s time for its verification from the assessment records with the ld. Assessing Officer. On next date of hearing i.e. 18.09.2025, Ld. CIT DR conceded that the submission of Ld.AR is correct and acceptable, as the tax effect in both the aforesaid appeals is below the prescribe monetary limit of Rs. 60,00,000/-. Therefore, CBDT’s Circular No. 9/2024 dated 17.09.2024 enhancing the monetary limits of filing of appeal by department before the ITAT would have application to the present appeals. Printed from counselvise.com ITA no. 3876 and 3877/MUM/2025 Cads Properties Private Limited 3 5. Having considered the facts and submissions in the present matters. We find that appeal filed by revenue in ITA No. 3876/Mum/2025 and 3877/Mum/2025, challenging the respective orders of commissioner of appeals by the department are consist of tax effect below Rs. 60,00,000/-. Therefore, the same are not maintainable, accordingly both the appeals of revenue stand dismissed. Order pronounced in open court on 18.09.2025. Sd/- (PAWAN SINGH) Sd/- (ARUN KHODPIA) JUDICIAL MEMBER ACCOUNTANT MEMBER Mumbai; Dated 18/09/2025 Disha Raut, Steno Copy of the Order forwarded to: BY ORDER, (Asstt. Registrar) ITAT, Mumbai 1. The Appellant 2. The Respondent. 3. CIT 4. DR, ITAT, Mumbai 5. Guard file. Printed from counselvise.com "