Shri Sureshkumar Ranchhodbhai Thakkar, Ahmedabad V. The ACIT, Circle-7, Ahmedabad

CO 182/AHD/2013

• Counselvise Citation: [2016] 123 COUNSELVISE.COM (IT) 2435 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 15 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 09-11-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 09-11-2016
• Assessment Year: 2009-2010
• Appeal Filed On: 25-10-2013
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: P M MEHTA
• Keywords: Sale consideration of property below Jantri Value; Audit objection; Tax effect
• Section: 50C

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI R.P. TOLANI, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ./ ITA NO. 1537/AHD/2013 & CO NO.182/AHD/2013 / ASSESSMENT YEAR : 2009-10 ACIT, CIRCLE-7, AHMEDABAD VS SHRI SURESHKUMAR RANCHHODBHAI THAKKAR, B-7, SHANTI NIKETAN BUNGALOW, NR.PRAHLAD NAGAR GARDEN, SATELLITE ROAD, AHMEDABAD PAN : ABXPT 1494 K / (APPELLANT) / (RESPONDENT) & CROSS-OBJECTOR REVENUE BY : SHRI K. MADHUSUDAN, SR DR ASSESSEE BY : SHRI P.M. MEHTA, AR / DATE OF HEARING : 09/11/2016 / DATE OF PRONOUNCEMENT: 09/11/2016 / O R D E R PER R.P. TOLANI, JUDICIAL MEMBER:- THIS APPEAL BY THE REVENUE AND THE CROSS-OBJECTION THEREOF FILED BY THE ASSESSEE ARE DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME- TAX (APPEALS)-XIV, AHMEDABAD DATED 26.03.2013 FOR A Y 2009-10. 2. THE REVENUE HAS RAISED FOLLOWING GROUNDS IN ITS APPEAL:- 1) THE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN DEL ETING THE ADDITION OF RS.9,69,319/- AS UNDISCLOSED INCOME, WHICH WAS DISC LOSED BY THE ASSESSEE AS AGRICULTURAL INCOME AND CLAIMED TO BE EXEMPT. 2) THE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN DEL ETING THE ADDITION OF RS.15,60,594/- MADE BY THE AO AS PER THE PROVISIONS OF SECTION 50C OF THE IT ACT. 3. BEFORE US, AT THE OUTSET, LD. AUTHORIZED REPRESE NTATIVE SUBMITTED THAT HE IS NOT PRESSING THE CROSS-OBJECTION; HENCE THE C ROSS-OBJECTION FILED BY THE ASSESSEE IS DISMISSED AS NOT PRESSED. ITA NO. 1537 & CO NO.182/AHD/2013 ACIT VS. SURESHKUMAR RANCHHODBHAI THAKKAR AY : 2009-10 2 4. WITH RESPECT TO REVENUES PRESENT APPEAL, THE LD . AUTHORIZED REPRESENTATIVE SUBMITTED THAT THE SAME NEEDS TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN VIEW OF THE CBDT CIRCULAR NO.21 O F 2015 DATED 10.12.2015. HE HAS ALSO SUBMITTED THAT IN THE PRESENT CASE THE TAX EFFECT IS RS.8,03,266/- WHICH IS BELOW THE PRESCRIBED LIMIT OF RS.10 LACS A ND HE HAS PLACED ON RECORD THE WORKING FOR THE SAME. THE LD. DEPARTMEN TAL REPRESENTATIVE FAIRLY ADMITTED THAT THE TAX EFFECT IS LESS THAN TH E LIMIT PRESCRIBED BY THE AFORESAID CBDT CIRCULAR. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. WE FIND THAT PRIMA-FACIE THIS APPEAL OF THE REVENUE IS NOT MAINTAINABLE IN VIEW OF CBDT CIRCULAR NO. 21/2015 I N F.NO.279/MISC. 142/2007-ITJ (PT) DATED 10TH DECEMBER 2015, VIDE WH ICH IT HAS BEEN PROVIDED THAT IF THE TAX EFFECT BY VIRTUE OF THE CO MMISSIONER OF INCOME-TAX (APPEALS)S ORDER IS BELOW RS. 10 LACS, THEN THAT O RDER WOULD NOT BE CHALLENGED BEFORE THE TRIBUNAL IN FURTHER APPEAL. THE BOARD HAS PROVIDED EXEMPTIONS AT CLAUSE (8) OF THE INSTRUCTIONS WHEREI N IT HAS BEEN PROVIDED THAT THESE INSTRUCTIONS WILL NOT BE APPLICABLE, IF VIRES OF ANY PROVISIONS HAS BEEN QUASHED BY IMPUGNED ORDER OR ADDITION WAS MADE ON SOME AUDIT OBJECTIONS OR THE ADDITION RELATES TO UNDISCLOSED F OREIGN ASSETS/BANK ACCOUNTS, ETC. WE FIND THAT THE PRESENT CASE DOES NOT FALL WITHIN THE EXEMPTION CLAUSE AND THE TAX IS LESS THAN RS.10 LAC S. THEREFORE, THE PRESENT APPEAL IS NOT MAINTAINABLE AND HENCE DISMISSED. 6. IN THE RESULT, THE APPEAL OF THE REVENUE AND THE CROSS-OBJECTION OF THE ASSESSEE, BOTH ARE DISMISSED. ORDER PRONOUNCED IN THE COURT ON 9 TH NOVEMBR, 2016 AT AHMEDABAD. SD/- SD/- (MANISH BORAD) ACCOUNTANT MEMBER (R.P. TOLANI) JUDICIAL MEMBER AHMEDABAD; DATED 09/11/2016 *BIJU T., SR. PS ITA NO. 1537 & CO NO.182/AHD/2013 ACIT VS. SURESHKUMAR RANCHHODBHAI THAKKAR AY : 2009-10 3 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , , / DR, ITAT, AHMEDABAD 6. / GUARD FILE . / BY ORDER, TRUE COPY / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD