Subhalachal Print & Pack, Ahmedabad V. The ACIT.,(OSD)Circle-10, Ahmedabad

CO 198/AHD/2011

• Counselvise Citation: [2016] 123 COUNSELVISE.COM (IT) 2009 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 year(s) 4 month(s) 5 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 12-02-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 08-01-2016
• Assessment Year: 2008-2009
• Appeal Filed On: 07-10-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: DINESH SINGH SR D R
• Assessee Lawyers: N C AMIN
• Keywords: Tax effect
• Section: 80IB

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI SHAILENDRA K. YADAV, JUDICIAL MEMBER AN D SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER ./ ITA NO. 2137/AHD/2011& CO NO.198/AHD/2011 / ASSESSMENT YEAR: 2008-09 ASST. COMMISSIONER OF INCOME-TAX, (OSD), CIRCLE-10, AHMEDABAD .. APPELLANT VS M/S. SUBHLACHAL PRINT & PACK, 101, UPANISHAD COMPLEX, NR. SHREYAS RAILWAY CROSSING, AMBAWADI, AHMEDABAD .. RESPONDENT & PAN : AAKFS 8123 J CROSS-OBJECTOR REVENUE BY : SHRI DINESH SINGH, SR-DR ASSESSEE(S) BY : SHRI N.C. AMIN, AR / DATE OF HEARING 08/01/2016 /DATE OF PRONOUNCEMENT 12/02/2016 / O R D E R PER SHAILENDRA K. YADAV, JUDICIAL MEMBER: THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-XVI, A HMEDABAD DATED 17.06.2011 FOR ASSESSMENT YEAR 2008-09, ON THE FOLL OWING GROUNDS:- 1) THE LD. CIT(A) ERRED IN LAW AND ON FACTS IN ALLOWIN G RS.21,70,197/- ON ACCOUNT OF DISALLOWANCE U/S 80IB MADE BY THE AO, RELYING UPON THE DECISION OF THE HONBLE ITAT O N THE SAME ISSUE FOR AYS 2000-01 TO 2005-06. 2) ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) OUGHT TO HAVE UPHELD THE ORDER OF THE ASSESSING OFFICER. ITA NO. 2137/AHD/2011 & CO NO.198/AHD/2011 M/S. SUBHLACHAL PRINT & PACK AY : 2008-09 2 3) IT IS THEREFORE, PRAYED THAT THE ORDER OF THE L D. CIT(A) MAY BE SET ASIDE AND THAT OF THE ORDER OF THE ASSESSING OF FICER BE RESTORED TO THE ABOVE EXTENT. 2. BEFORE US, AT THE OUTSET, LD. AUTHORIZED REPRESE NTATIVE SUBMITTED THAT THE PRESENT APPEAL OF THE REVENUE NEEDS TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN VIEW OF THE CBDT CIRCULAR NO.2 1 OF 2015 DATED 10.12.2015. HE HAS ALSO SUBMITTED THAT IN THE PRES ENT CASE THE TAX EFFECT IS RS.7,81,562/- WHICH IS BELOW THE PRESCRIBED LIMIT O F RS.10 LACS AND HE HAS PLACED ON RECORD THE WORKING FOR THE SAME. THE LD. DEPARTMENTAL REPRESENTATIVE FAIRLY ADMITTED THAT THE TAX EFFECT IS LESS THAN THE LIMIT PRESCRIBED BY THE AFORESAID CBDT CIRCULAR. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. ON PERUSING THE GROUNDS OF APPEAL RAISED B Y THE REVENUE, WE FIND THAT REVENUE IS AGGRIEVED BY THE ORDER OF CIT( A) IN ALLOWING RS.21,70,197 ON ACCOUNT OF DISALLOWANCE U/S 80IB MA DE BY THE ASSESSING OFFICER, THE TAX EFFECT OF WHICH IS BELOW RS.10 LAC S. AS PER THE ANNOUNCEMENT OF CENTRAL BOARD OF DIRECT TAXES (CBDT ) DATED 10.12.2015 (CIRCULAR NO.21 OF 2015), NO DEPARTMENT APPEALS ARE TO BE FILED AGAINST RELIEF GIVEN BY LD. CIT(A) BEFORE THE INCOME TAX AP PELLATE TRIBUNAL UNLESS THE TAX EFFECT, EXCLUDING INTEREST EXCEEDS R S.10 LACS AND IT FURTHER STATES THAT THE INSTRUCTIONS WILL APPLY RETROSPECTI VELY TO THE PENDING APPEALS. IN THE PRESENT CASE, SINCE IT IS AN UNDIS PUTED FACT THAT THE TAX EFFECT IS LESS THAN RS.10 LACS, WE ARE OF THE VIEW THAT THE MONETARY LIMIT PRESCRIBED BY THE INSTRUCTIONS OF THE AFORESAID CBD T CIRCULAR WOULD BE APPLICABLE TO THE PRESENT APPEALS OF THE DEPARTMENT AND THEREFORE THE PRESENT APPEAL IS NOT MAINTAINABLE ON ACCOUNT OF LO W TAX EFFECT. IN SUCH ITA NO. 2137/AHD/2011 & CO NO.198/AHD/2011 M/S. SUBHLACHAL PRINT & PACK AY : 2008-09 3 CIRCUMSTANCES, WE DISMISS THIS APPEAL OF REVENUE WI THOUT EXPRESSING ANY OPINION ON MERITS OF THE CASE. 4. AS THE APPEAL FILED BY THE REVENUE ITSELF IS FOUN D TO BE NON- MAINTAINABLE AND AS THE CROSS OBJECTION ARISES ONLY AS A RESULT OF THIS APPEAL, THE CROSS OBJECTION FILED BY THE ASSESSEE IS ALSO DISMISSED AS INFRUCTUOUS. 5. IN THE RESULT, THE APPEAL OF THE REVENUE AND THE CROS S- OBJECTION OF THE ASSESSEE, BOTH ARE DISMISSED. ORDER PRONOUNCED IN THE COURT ON 12TH FEBRUARY 2016 AT AHMEDABAD. SD/- SD/- ANIL CHATURVEDI SHAILEND RA K. YADAV (ACCOUNTANT MEMBER) (JUDICIAL MEMBER) AHMEDABAD; DATED 12/02/2016 BIJU T., PS !' #'$ / 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