Babli Devi Prop., Hisar V. ITO, Hisar

CO 138/DEL/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 3541 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 8 month(s) 18 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 02-03-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Appeal Filed On: 14-06-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: AND CROSS OB JECTION IS FILED
• Assessee Lawyers: ARE DIRECTED AGAINST IMPUGNED
• Keywords: Tax effect
• Section: 268A

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: A, NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER ITA NO. 2546/DEL/2017 A.Y. : 2013-14 ITO, WARD - 1, ROOM NO. 2, SECTOR-14, AAYAKAR BHAWAN, HISAR VS. BABLI DEVI PROP. M/S SINGLA BEEJ BHANDAR, JIND ROAD, NARNAUD DISTT. HISAR (PAN: ALGPD5320F) (APPELLANT) (RESPONDENT) CROSS OBJECTION NO. 138/DEL/2017 (IN ITA NO. 2546/DEL/2017) A.Y. 2013-14 BABLI DEVI PROP. M/S SINGLA BEEJ BHANDAR, JIND ROAD, NARNAUD DISTT. HISAR (PAN: ALGPD5320F) VS. ITO, WARD - 1, ROOM NO. 2, SECTOR-14, AAYAKAR BHAWAN, HISAR (APPELLANT) (RESPONDENT) ORDER PER H.S. SIDHU, JM: THIS APPEAL FILED BY THE REVENUE AND CROSS OBJ ECTION IS FILED BY THE ASSESSEE ARE DIRECTED AGAINST THE IMPUGNED ORDER DA TED 10.2.2017 PASSED BY THE LD. CIT(A), HISAR IN RELATION TO ASSESSMENT YEAR 2013-14. 2. AT THE TIME OF HEARING, LD. COUNSEL FOR THE ASSESS EE HAS FILED A CHART OF COMPUTATION OF TAX DIFFERENTIAL ON DEPARTMEN TS GROUNDS OF DEPARTMENT BY MS. RAKHI VIMAL, SR. DR. ASSESSEE BY SH. V. RAJ KUMAR, ADVOCATE 2 APPEAL - COMPUTATION OF DISPUTED TAX AND STATED THAT TH E TOTAL TAX PAYABLE IN THIS DEPARTMENTAL APPEAL IS RS. 39,86,058 /- WHICH SHOWS THAT THE TAX EFFECT INVOLVED IN THIS APPEAL IS LESS THA N THE PRESCRIBED LIMIT OF RS.50 LAKHS, HENCE, HE REQUESTED THAT THIS APPEAL OF THE REVENUE MAY BE DISMISSED IN VIEW OF LATEST CBDT CIRC ULAR NO. 17/2019 DATED 08.08.2019 WHEREIN THE MONETARY LIMIT FOR FILING THE APPEAL BEFORE THE APPELLATE TRIBUNAL BY THE DEPARTMEN T HAVE BEEN ENHANCED TO RS.50 LAKHS. 3. IT IS NOTED THAT VIDE CIRCULAR NO.3/2018 DATED 11 TH JULY, 2018 ISSUED BY CBDT UNDER SECTION 268A OF THE I.T. ACT, I T HAS BEEN DIRECTED THAT THE DEPARTMENT SHALL NOT FILE APPEAL BEF ORE THE TRIBUNAL IN CASE WHERE THE TAX EFFECT DOES NOT EXCEE D THE MONETARY LIMIT OF RS.20 LAKHS. IT IS ALSO DIRECTED THAT THIS IN STRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE F ILED HENCEFORTH IN THE TRIBUNAL. PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT MAY BE WITHDRAWN/NOT PRESSED BY THE DEPARTMENT. R ECENTLY, THE CBDT VIDE CIRCULAR NO.17/2019 DATED 08.08.2019 AM ENDED ITS EARLIER CIRCULAR NO.3/2018 (SUPRA) WHEREBY IT HAS BE EN DIRECTED THAT MONETARY LIMIT FOR FILING THE DEPARTMENTAL APPEAL IN INCOME TAX CASES MAY BE ENHANCED FURTHER THROUGH THIS AMENDMENT IN PARA-3 OF THE CIRCULAR MENTIONED ABOVE AND ACCORDINGLY, THE MONETARY LIMIT FOR FILING THE APPEAL BEFORE THE APPELLATE TRIBUNAL H AVE BEEN ENHANCED TO RS.50 LAKHS. SINCE CIRCULAR NO.17/2019 DATED 08.08.2019 HAVE BEEN ISSUED TO AMEND ITS EARLIER CIR CULAR NO.3/2018 DATED 11.7.2018 (SUPRA), THEREFORE, ALL THE CONDITIONS OF EARLIER CIRCULAR NO.3/2018 SHALL APPLY ACCORDINGLY. THIS VIEW IS SUPPORTED BY THE ITAT, AHEMEDABAD A BENCH DECISION DATED 14 TH AUGUST, 2019 PASSED IN THE CASE OF INCOME TAX OFFICER , WARD 3(2), 3 AHMEDABAD VS. DINESH MADHVLAL PATEL AND 627 OTHERS P ASSED IN ITA NO. 1398/AHD/2004 (AY 1998-99). 4. LD. SR. DR DID NOT CONTROVERT THE AFORESAID PROPOS ITION. 5. KEEPING IN VIEW OF THE FACTS AND CIRCUMSTANCES AS EXPLAINED ABOVE AND IN VIEW OF THE AFORESAID CBDT CIRCULARS A S WELL AS DECISION DATED 14 TH AUGUST, 2019 OF THE ITAT, AHEMEDABAD A BENCH PASSED IN THE CASE OF INCOME TAX OFFICER, WAR D 3(2), AHMEDABAD VS. DINESH MADHVLAL PATEL AND 627 OTHERS P ASSED IN ITA NO. 1398/AHD/2004 (AY 1998-99), THE APPEAL OF THE DEPARTMENT IS DISMISSED. 5.1 SINCE THE REVENUES APPEAL IS DISMISSED ON ACCO UNT OF LOW TAX EFFECT, HENCE, THE CROSS OBJECTION FILED BY THE AS SESSEE HAS BECOME INFRUCTUOUS AND THEREFORE, THE SAME IS DISMISS ED AS SUCH. 6. IN THE RESULT, THE REVENUES APPEAL AS WELL AS A SSESSEES CROSS OBJECTION FILED BY THE ASSESSEE ARE DISMISSED. THE DECISION IS PRONOUNCED ON 02.03.2020. SD/- SD/- (N.K. BILLAIYA) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIA L MEMBER DATED: 02.03.2020 SRB COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASSTT. REGISTRAR, ITAT, NEW DELHI 4