M/s. Supertech (India) Pvt. Ltd., New Delhi V. DCIT, New Delhi

CO 184/DEL/2015

• Counselvise Citation: [2016] 123 COUNSELVISE.COM (IT) 2118 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 29 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 03-02-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2005-2006
• Appeal Filed On: 04-06-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: RAVI JAIN
• Keywords: Tax effect

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH E NEW DELHI BEFORE SHRI J. SUDHAKAR REDDY : ACCOUNTANT M EMBER AND MS. SUCHITRA KAMBLE : JUDICIAL MEMBER ITA NO. 6977/DEL/2010 ASSTT. YR: 2010-11 ITO WARD-3(2) GURGAON (APPELLANT) VS PAWAN KAPOOR S/O LATE RAVINDER KAPOOR, H. NO. 387, SECTOR-21 GURGAON ABAPK0635N (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 5225/DEL/2014 (BENCH E) ASSTT. YR: 2008-09 ITO WARD-27(3) NEW DELHI (APPELLANT) VS MANJIT SINGH RZ-110, INDRA PARK, UTTAM NAGAR NEW DELHI AAUPS4349A (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 6622/DEL/2014 (BENCH E ) ASSTT. YR: 2010-11 ITO WARD-16(1) NEW DELHI (APPELLANT) VS MKP FARMS PVT. LTD. D-17A, ANSAL VILLAS, SATBARI, CHATTARPUR, MEHRAULI NEW DELHI AADCM6326P (RESPONDENT) 2 DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 4757/DEL/2014 (BENCH E) ASSTT. YR: 2006-07 ACIT CIRCLE-II, BLOCK-B, NEW CGO COMPLEX, NH-IV, NIT FARIDABAD (APPELLANT) VS MASCOT FOOTCARE PLOT NO. 130 SECTOR-24 FARIDABAD AACFM2564K (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 5246/DEL/2014 (BENCH A) ASSTT. YR: 2011-12 ITO WARD-2(2) NEW DELHI (APPELLANT) VS AV AGRITECH AGRO MACHINERY PVT. LTD. 351/1, OPPOSITE GOLAK DHAM, MAIN ROAD, BIJWASAN NEW DELHI AAFCA0838E (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : SANAPOOR, ADV ITA NO. 6617/DEL/2014 (BENCH D) ASSTT. YR: 2007-08 DCIT CIRCLE-13(1) NEW DELHI (APPELLANT) VS JAI BHIKSHU CREDIT AND HOLDINGS LTD. F-591, SARITA VIHAR NEW DELHI AAACJ0774F (RESPONDENT) 3 DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : SHRI ANUNAV KUMAR, ADV ITA NO. 6631/DEL/2014 (BENCH E) ASSTT. YR: 2005-06 ACIT CIRCLE-8(2) NEW DELHI (APPELLANT) VS EXECUTIVE APARTMENTS PVT. LTD. C/O SHARMA GOEL & CO. A-47, LOWER GROUND FLOOR, HAUZ KHAS NEW DELHI AAACE6184E (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : SHRI ANUNAV KUMAR, ADV ITA NO. 5495/DEL/2014 (BENCH E) ASSTT. YR: 2009-10 ITO WARD-23(3) NEW DELHI (APPELLANT) VS SUNIL TONDON PROP. M. S, AHF COMPANY, D-26, IST FLOOR, MARG-13, SAKET NEW DELHI AACPT6155D (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 7011/DEL/2014 (BENCH E) ASSTT. YR: 2005-06 DCIT CIRCLE-24(2) NEW DELHI (APPELLANT) VS SUPERTECH (INIDA) PVT. LTD. 2/19, KALKAJI EXTENSION NEW DELHI AAACS0082K (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE IN C.O 4 C.O. NO. 184/DEL/2015 (BENCH E) ASSTT. YR: 2005-06 SUPERTECH (INIDA) PVT. LTD. 2/19, KALKAJI EXTENSION NEW DELHI AAACS0082K (APPELLANT) VS DCIT CIRCLE-24(2) NEW DELHI (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : NONE ITA NO. 4496/DEL/2013 (BENCH E) ASSTT. YR: 2006-07 ITO WARD-6(2) ROOM NO. 185, C. R. BUILDING, NEW DELHI (APPELLANT) VS MARHABA ENGINEERING PVT. LTD. B-213, OKHLA INDUSTRIAL AREA, PHASE-1, NEW DELHI AACCM1555D (RESPONDENT) DEPARTMENT BY : SHRI AMRIT LAL, SR. DR ASSESSEE BY : NONE ITA NO. 4566/DEL/2013 (BENCH E) ASSTT. YR: 2008-09 DCIT CIRCLE-12 (1) NEW DELHI (APPELLANT) VS NAINDER PAL C-2/1, 2 ND FLOOR, CHURCH COMPOUND, SUKHDEV VIHAR, NEW DELHI AAIPP3697G (RESPONDENT) DEPARTMENT BY : SHRI RAVI JAIN CIT( DR) ASSESSEE BY : SHRI JAIDEEP VERMA, ADV. 5 ITA NO. 5050/DEL/2013 (BENCH E) ASSTT. YR: 2009-10 ITO WARD-1(4) GHAZIABAD (APPELLANT) VS MAHINDER PAL SINGH 5/4, SECTOR-5, RAJENDRA NAGAR, SAHIBABAD, GHAZIABAD BGPPS1122R (RESPONDENT) DEPARTMENT BY :SHRI RAVI JAIN CIT( DR) AND RAVI JA IN, CIT DR ASSESSEE BY :SHRI VIVEK KUMAR JAIN, CA & SHRI SANDEEP JAIN, CA DATE OF HEARING : 02/02/2016. DATE OF ORDER : 03 /02/2016. O R D E R PER BENCH: ALL THESE APPEALS ARE FILED BY THE REVENUE ARISING OUT OF THE ORDERS PASSED BY THE LD. CIT(APPEALS) IN RELATION TO THE C APTIONED ASSESSMENT YEARS. SOME OF THE ASSESSEE-RESPONDENTS THROUGH AR WERE REPRESENTED BY THE RESPECTIVE LD. AR., WHILE OTHERS REMAINED UNREP RESENTED. 2. THESE APPEALS ARE FIXED FOR HEARING IN VIEW OF R ECENT CBDT INSTRUCTION NO. 21/2015 DATED 10.12.2015, REVISING THE MONETARY LIMIT OF RS.10.00 LACS FOR NOT FILING THE APPEAL BY REVENUE BEFORE THE TRI BUNAL IN TERMS OF SECTION 268A(1) OF THE INCOME-TAX ACT. 3. THE CBDT IN ITS RECENT CIRCULAR NO. 21/2015 DATE D 10.12.2015 HAS PROVIDED THAT NO DEPARTMENTAL APPEAL SHALL BE FILED BEFORE THE ITAT WHEREIN THE TAX EFFECT INVOLVED IS LESS THAN RS.10 LAKHS. F URTHER, IN PARA 10 OF THE CIRCULAR, IT IS PROVIDED THAT THIS INSTRUCTION WOUL D APPLY RETROSPECTIVELY AND 6 THE PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT O F RS.10 LAKH MAY BE WITHDRAWN/NOT PRESSED. 4. LEARNED CIT-DR, SHRI RAVI JAIN, WHO APPEARED AT THE TIME OF HEARING BEFORE US STATED THAT HE NEEDS SOME TIME TO CALL FO R THE REPORT FROM THE ASSESSING OFFICER AS WELL AS INSTRUCTIONS FROM ADMI NISTRATIVE CIT FOR WITHDRAWING THE APPEAL, BECAUSE THE APPEAL WAS FILE D WITH THE APPROVAL OF ADMINISTRATIVE CIT. LEARNED CIT(DR) FURTHER POINTED OUT THAT IN PARAGRAPH 7 OF THE SAID CIRCULAR, IT HAS BEEN CLARIFIED BY TH E CBDT THAT WITHDRAWAL OF THE APPEAL BY THE REVENUE ON ACCOUNT OF LOW TAX EFF ECT SHOULD NOT BE CONSIDERED AS A PRECEDENT IN THE SUBSEQUENT YEARS O F THE ACCEPTANCE OF ISSUES INVOLVED IN THIS APPEAL AND, THEREFORE, IF IN THE S UBSEQUENT YEAR SIMILAR ISSUE ARISES BEFORE THE ITAT WHERE THE APPEAL IS ABOVE TH E TAX LIMIT, AS PRESCRIBED IN THIS CIRCULAR, THE SAME SHOULD BE DECIDED ON MER ITS. 5. THE LEARNED COUNSEL FOR THE ASSESSEE, ON THE OTH ER HANDS, STATED THAT THE CIRCULAR IS SQUARELY APPLICABLE TO THE PRESENT APPEALS OF THE REVENUE. HE REQUESTED FOR WITHDRAWAL OF THE CROSS-OBJECTION OF THE ASSESSEE. 6. AFTER CONSIDERING THE SUBMISSIONS OF LEARNED DR, THE FACTS OF THE CASE AND THE CIRCULAR OF THE CBDT, WE ARE OF THE OPINION THAT THERE IS NO NECESSITY FOR ADJOURNING THE APPEAL AND CALLING THE REPORT FROM THE ASSESSING OFFICER BECAUSE, APPARENTLY, THE TAX EFFECT INVOLVE D IN THE PRESENT APPEAL OF THE REVENUE IS BELOW 10 LAKHS. HOWEVER, WE MAY CLAR IFY THAT IF ON RECEIPT OF THIS ORDER, THE ASSESSING OFFICER FINDS THAT THE TA X EFFECT IS ABOVE RS.10 LACS OR IN ANY OTHER MANNER, THE CIRCULAR IS NOT APPLICA BLE IN VIEW OF EXCEPTIONS CULLED OUT IN THE CIRCULAR, HE WILL BE AT LIBERTY T O FILE MISCELLANEOUS APPLICATION FOR RECALLING OF THIS ORDER WHICH THE T RIBUNAL WILL CONSIDER IN ACCORDANCE WITH LAW. WE ALSO AGREE WITH THE CONTENT ION OF THE LEARNED CIT(DR) THAT THIS ORDER WOULD NOT BE CONSIDERED AS AN ACCEPTANCE BY THE REVENUE ON THE ISSUE INVOLVED IN THIS APPEAL AND WI LL NOT BE AN ESTOPPEL FOR THE REVENUE TO TAKE UP THE ISSUE INVOLVED IN THIS A PPEAL BEFORE THE ITAT ON MERITS IF THE TAX EFFECT IN THOSE YEARS IS MORE THA N 10 LAKHS. 7 7. IN VIEW OF ABOVE, KEEPING IN VIEW THE ABOVE CIR CULAR AND THE PROVISIONS OF SECTION 268A OF THE INCOME-TAX ACT, 1 961 AND WITHOUT GOING INTO MERITS OF THE CASES, WE DISMISS THE INSTANT AP PEALS FILED BY THE REVENUE AS TAX EFFECT IN THIS APPEAL IS LESS THAN RS.10.00 LACS ALONG WITH CROSS OBJECTION BEING C.O. NO. 184/DEL/2015 FILED BY THE RESPECTIVE ASSESSEE. ORDER PRONOUNCEMENT IN OPEN COURT ON 03/02/2016. SD/- SD/- (J. SUDHAKAR REDDY ) (SUCHITRA KAMBLE) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: ______03/02/2016. *RN* COPY OF ORDER TO: 1. ASSESSEE 2. AO 3. CIT 4. CIT(A) 5. DR, ITAT, NEW DELHI. 8