M/s J J Imports Pvt. Ltd., New Delhi V. DCIT, New Delhi

CO 121/DEL/2010

• Counselvise Citation: [2011] 122 COUNSELVISE.COM (IT) 5936 (ITAT-DELHI)
• Duration Of Justice: 11 month(s) 25 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 05-05-2011
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 02-02-2011
• Assessment Year: 2001-2002
• Appeal Filed On: 10-05-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: A K MONGA
• Keywords: Tax effect
• Section: 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D NEW DELHI BEFORE SHRI R.P. TOLANI AND SHRI B.K. HALDAR ITA NO. 4717/DEL/2009 ASSTT. YR: 2001-02 DCIT CIR. 4(1), VS. M/S J.J. IMPORTS PVT. LTD., NEW DELHI. C/O NANGIA & CO., B-57, 3 RD FLOOR, SOAMI NAGAR, NEW DELHI. PAN/GIR NO. AABCJ2471N C.O. NO. 121/DEL/2010 ( IN ITA NO. 4717/DEL/2009) ASSTT. YR: 2001-02 M/S J.J. IMPORTS PVT. LTD., VS. DCIT CIR. 4(1), C/O NANGIA & CO., NEW DELHI. B-57, 3 RD FLOOR, SOAMI NAGAR, NEW DELHI. (APPELLANT ) ( RESPONDENT ) DEPARTMENT BY : SHRI A.K. MONGA SR. DR ASSESSEE BY : NONE O R D E R PER R.P. TOLANI, J.M : THE REVENUE HAS FILED APPEAL AND THE ASSESSEE HAS FILED CROSS- OBJECTIONS AGAINST CIT(A)S ORDER DATED 1-10-200 9 RELATING TO A.Y. 2001- 02. 2. THE ONLY EFFECTIVE GROUND RAISED BY THE REVENUE IS AS UNDER: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(APPEALS) HAS ERRED IN DELETING THE ADDI TION OF RS. 2 6,00,900/- MADE UNDER SECTION 68 BEING THE BOGUS SH ARE APPLICATION MONEY. 3. NONE PUT IN APPEARANCE ON BEHALF OF THE ASSESSEE AT THE HEARING. WE PROCEED TO DISPOSE OF THE APPEAL AND THE CROSS-OBJE CTION, EX PARTE, QUA THE ASSESSEE AND IN THAT PROCESS WE HAVE HEARD THE LEA RNED DR AND HAVE GONE THROUGH THE RELEVANT MATERIAL AVAILABLE ON RECORD. 4. IT IS FOUND THAT THE TAX EFFECT INVOLVED IN REVE NUES APPEAL IS LESS THAN RS. 3 LACS. AS PER CBDT INSTRUCTION NO. 1979 DATED 27-3-2000; INSTRUCTION NO. 2 OF 2005 DATED 24-10-2005; INSTRUCTION NO. 3 DATED 9 TH FEBRUARY 2011, APPEALS BEFORE THE ITAT WOULD NOT BE MAINTAINABLE IF THE TAX EFFECT IS BELOW RS. 3 LACS. ADMITTEDLY THE TAX EFFECT INVOLVE D IN THE PRESENT APPEAL IS BELOW RS. 3 LAKHS, THEREFORE, IN VIEW OF THE INSTR UCTIONS OF THE CBDT, REFERRED TO ABOVE, THE DEPARTMENTAL APPEAL IS NOT M AINTAINABLE. IN ARRIVING AT SUCH CONCLUSION WE ARE ALSO FORTIFIED BY THE RATIO OF DECISIONS IN THE FOLLOWING CASES: (1) CIT VS. PRADEEP KUMAR GUPTA (2007) 207 CTR (DEL) 11 5; (2) ACIT VS. SATISH CHAND JAIN (2006) 10 SOT 383 (DEL.) ; (3) ACIT VS. DOON VALLEY MOTORS (2006) 10 SOT 525 (DEL. ); (4) JCIT VS. DEV RAJ AGARWAL (2005) 92 TTJ (LUCKNOW) 43 6; (5) ITA NO. 3839/D/04 & C.O. 28/DEL/07 ITO VS. M/ S M.J. WARE HOUSING (P) LTD.& VICE VERSA DATED 31-8-2007. 5. SINCE, REVENUES APPEAL IS HELD TO BE NON-MAINTA INABLE, THE CROSS- OBJECTION FILED BY THE ASSESSEE BECOMES INFRUCTUOUS AND IS LIABLE TO BE DISMISSED ACCORDINGLY. 3 6. IN THE RESULT, REVENUES APPEAL AS WELL AS ASSES SEES CROSS-OBJECTION ARE DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 05-05-2011. ( B.K. HALDAR ) ( R.P. TOLANI) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 05-05-2011. MP COPY TO : 1. ASSESSEE 2. AO 3. CIT 4. CIT(A) 5. DR