Appeal details
Counselvise Citation
[2014] 123 COUNSELVISE.COM (IT) 0056 (ITAT-JODHPUR)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 month(s)
Appellant
Respondent
Appeal Type
Cross Objection
Pronouncement Date
09-10-2014
Appeal Filed By
Assessee
Order Result
Dismissed
Bench Allotted
DB
Next Hearing Date
09-10-2014
Assessment Year
2008-2009
Appeal Filed On
08-09-2014
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH, JODHPUR BEFORE SHRI HARI OM MARATHA , JUDICIAL MEMBER AND SHRI N.K.SAINI, ACCOUNTANT MEMBER ITA NO. 406 / J ODH / 20 1 4 ( ASSESSMENT YEAR: 200 8 - 0 9 ) ACIT, CIRCLE - 2, VS. M/S. CHAWA NDA ASSOCIATES , UDAIPUR RAJASTHAN GROUP, H.O. UDAIPUR , 424 PANCHRATAN COMPLEX, UDAIPUR. PAN NO. AAA A C 4689 A (APPELLANT) (RESPONDENT) C.O. NO. 18 /J ODH /20 14 ( ITA NO. 406/JODH/2014 ) ( ASSESSMENT YEAR: 2008 - 09) M/S. CHAWANDA ASSOCIATES, VS. ACIT, CIRCLE - 2, RAJASTHAN GROUP, UDAIPUR H.O. UDAIPUR, 424 PANCHRATAN COMPLEX, UDAIPUR. PAN NO. AAAAC 4689 A (APPELLANT) (RESPONDENT) A SSESSEE B Y : NONE DEPARTM ENT B Y : SHRI MAHESH KUMAR - DR DATE OF H EARING : 09 . 1 0 .201 4 DATE OF PRONOUNCEMENT : 09 . 1 0 . 201 4 2 ORDER PER N.K . SAINI , A.M. TH E APPEAL BY THE DEPARTMENT AND THE CROSS OBJECTION BY THE ASSESSEE ARE DIRECTED AGAINST THE ORDER DATED 08 /0 5 /2014 OF L D . CIT(A), UDAIPUR . 2. DURING THE COURSE OF HEARING, LD. D.R., ALTHOUGH SUPPORTED THE ORDER OF THE ASSESSING OFFICER , BUT COULD NOT CONTROVERT TH IS FACT THAT TAX EFFECT IN THIS APPEAL IS LESS THAN RS.4, 00,000/ - . 3 . AFTER CONSIDERING THE SUBMISSIONS OF THE LD. D.R. AND THE MATERIAL ON RECORD, IT IS NOTICED THAT SECTION 268A HAS BEEN INSERTED BY THE FINANCE ACT, 2008 WITH RETRO SPECTIVE EFFECT FROM 01/04/99. THE PROVISIONS CONTAINED IN SECTION 268A READ AS UNDER: 268A. (1) THE BOARD MAY, FROM TIME TO TIME, ISSUE ORDERS, INSTRUCTIONS OR DIRECTIONS TO OTHER INCOME - TAX AUTHORITIES, FIXING SUCH MONETARY LIMITS AS IT MAY DEEM FIT, FOR THE PURPOSE OF REGULATING FILING OF 3 APPEAL OR APPLICATION FOR REFERENCE BY ANY INCOME - TAX AUTHORITY UNDER THE PROVISIONS OF THIS CHAPTER. (2) WHERE, IN PURSUANCE OF THE ORDERS, INSTRUCTIONS OR DIRECTIONS ISSUED UNDER SUB - SECTION (1), AN INCOME - TAX AUTHORITY HAS NOT FILED ANY APPEAL OR APPLICATION FOR REFERENCE ON ANY ISSUE IN THE CASE OF AN ASSESSEE FOR ANY ASSESSMENT YEAR, IT SHALL NOT PRECLUDE SUCH AUTHORITY FROM FILING AN APPEAL OR APPLICATION FOR REFERENCE ON THE SAME ISSUE IN THE CASE OF ( A ) THE SAME ASSESSEE FOR ANY OTHER ASSESSMENT YEAR; OR ( B ) ANY OTHER ASSESSEE FOR THE SAME OR ANY OTHER ASSESSMENT YEAR. (3) NOTWI THSTANDING THAT NO APPEAL OR APPLICATION FOR REFERENCE HAS BEEN FILED BY AN INCOME - TAX AUTHORITY PURSUANT TO THE ORDERS OR INSTRUCTIONS OR DIRECTIONS ISSUED UNDER SUB - SECTION (1), IT SHALL NOT BE LAWFUL FOR AN ASSESSEE, BEING A PARTY IN ANY APPEAL OR REFER ENCE, TO CONTEND THAT THE INCOME - TAX AUTHORITY HAS ACQUIESCED IN THE DECISION ON THE DISPUTED ISSUE BY NOT FILING AN APPEAL OR APPLICATION FOR REFERENCE IN ANY CASE. (4) THE APPELLATE TRIBUNAL OR COURT, HEARING SUCH APPEAL OR REFERENCE, SHALL HAVE REGARD TO THE ORDERS, INSTRUCTIONS OR DIRECTIONS ISSUED UNDER SUB - SECTION (1) AND THE CIRCUMSTANCES UNDER WHICH SUCH APPEAL OR APPLICATION FOR REFERENCE WAS FILED OR NOT FILED IN RESPECT OF ANY CASE. (5) EVERY ORDER, INSTRUCTION OR DIRECTION WHICH HAS BEEN ISSUE D BY THE BOARD FIXING MONETARY LIMITS FOR FILING AN APPEAL OR APPLICATION FOR REFERENCE SHALL BE DEEMED TO HAVE BEEN ISSUED UNDER SUB - SECTION (1) 4 AND THE PROVISIONS OF SUB - SECTIONS (2), (3) AND (4) SHALL APPLY ACCORDINGLY. ] 4 . IT IS NOT IN DISPUTE THA T THE BOARDS INSTRUCTION OR DIRECTIONS ISSUED TO THE OTHER INCOME - TAX AUTHORITIES ARE BINDING ON THOSE AUTHORITIES, THEREFORE, THE DEPARTMENT OUGHT NOT TO HAVE FILED THE APPEAL IN VIEW OF THE ABOVE MENTIONED SECTION 268A SINCE THE TAX EFFECT IN THE INSTAN T CASE IS LESS THAN THE AMOUNT PRESCRIBED FOR NOT FILING THE APPEAL. 5 . IT IS NOTICED THAT THE CBDT HAS ISSUED INSTRUCTION NO. 5 OF 2014 DATED 1 0.0 7.2014 , BY WHICH THE CBDT HAS REV ISED THE MONETARY LIMIT TO RS. 4 ,00,000/ - FOR FILING THE APPEAL BEFORE TH E TRIBUNAL. 6 . KEEPING IN VIEW THE CBDT INSTRUCTION NO. 5 OF 201 4 DATED 10 .0 7 .201 4 AND ALSO THE PROVISIONS OF SECTION 268A OF INCOME TAX ACT, 1961, WE ARE OF THE VIEW THAT THE REVENUE SHOULD NOT HAVE FILED THE INSTANT APPEAL BEFORE THE TRIBUNAL. WHILE TAK ING SUCH A VIEW, WE ARE FORTIFIED BY THE FOLLOWING DECISIONS OF HON'BLE PUNJAB & HARYANA HIGH COURT : - 5 1. CIT V OSCAR LABORATORIES P. LTD (2010) 324 ITR 115 (P&H) 2. CIT V ABINASH GUPTA (2010) 327 ITR 619 (P&H) 3. CIT V VARINDERA CONSTRUCTION CO. (2011) 331 ITR 4 49 (P&H)(FB) 7 . SIMILARLY , THE HONBLE DELHI HIGH COURT IN THE CASE OF CIT V. DELHI RACE CLUB LTD. IN ITA NO.128/2008, ORDER DATED 03.03.2011 BY FOLLOWING THE EARLIER ORDER DATED 02.08.2010 IN ITA NO.179/1991 IN THE CASE OF CIT DELHI - III V. M/S. P.S. JA IN & CO. HELD THAT SUCH CIRCULAR WOULD ALSO BE APPLICABLE TO PENDING CASES. 8 . FROM THE RATIO LAID DOWN BY THE HONBLE DELHI HIGH COURT, IT IS CLEAR THAT THE INSTRUCTIONS ISSUED IN THE CIRCULARS BY CBDT ARE APPLICABLE FOR PENDING CASES ALSO. THEREFORE, BY KEEPING IN VIEW THE RATIO LAID DOWN IN THE AFORESAID REFERRED TO CASES, WE ARE OF THE CONSIDERED VIEW THAT INSTRUCTION NO. 5 /1 4 DATED 1 0.0 7 .201 4 ISSUED BY THE CBDT ARE APPLICABLE FOR THE PENDING CASES ALSO AND IN THE SAID INSTRUCTIONS, MONETARY TAX LIMI T FOR NOT FILING THE APPEAL BEFORE THE ITAT IS RS. 4 .00 LAKH S. 6 9 . IN VIEW OF THE ABOVE, WITHOUT GOING INTO MERITS OF THE CASE, WE DISMISS THE APPEAL FILED BY THE REVENUE. 10 . IN THE CROSS OBJECTION, THE ASSESSEE SIMPLY SUPPORTED THE ORDER OF THE LD. CIT (A) AND ALSO STATED THAT THE APPEAL OF THE DEPARTMENT IS NOT MAINTAINABLE IN VIEW OF THE INSTRUCTION NO. 5/2014 DATED 10/07/2014 ISSUED B Y THE CBDT ON ACCOUNT OF MONETARY LIMIT I.E. THE TAX EFFECT BEING LESS THAN 4 LAC. SINCE WE HAVE DISMISSED THE APPEAL OF THE DEPARTMENT ON ACCOUNT OF MONETARY LIMIT , THIS CROSS OBJECTION OF THE ASSESSEE BECOMES INFRUCTUOUS. 11 . IN THE RESULT, APPEAL OF THE DEPARTMENT IS DISMISSED AND THE CROSS OBJECTION OF THE ASSESSEE IS DISMISSED AS INFRUCTUOUS. ( ORDER PRON OUNCED IN T HE COURT ON 09 . 1 0 .201 4 . ) S D/ - SD/ - (HARI OM MARATHA) (N.K.SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 09 TH OCTOBER, 201 4 VR / - 7 COPY TO: THE APPELLANT THE RESPONDENT THE CIT BY ORDER THE CIT(A) THE DR ASSISTANT REGISTRAR ITAT, JODHPUR
