M/s Green Open Technologies Pvt. Ltd., New Delhi V. ITO, New Delhi

CO 228/DEL/2013

• Counselvise Citation: [2015] 123 COUNSELVISE.COM (IT) 1755 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 14 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 16-12-2015
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 16-12-2015
• Assessment Year: 2004-2005
• Appeal Filed On: 02-12-2013
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: T VASANTHAN
• Keywords: Tax effect
• Section: 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C, NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER ITA NO. 3547/DEL/2013 ASSESSMENT YEAR: 2004-05 INCOME TAX OFFICER, VS. M/S GREEN OPEN TECHNOLO GIES WARD 12(2) PVT. LTD. ROOM NO. 337, CR BUILDING, A-3/3A, GREEN APARTMEN TS, NEW DELHI PASCHIM VIHAR, NEW DELHI (PAN: AAACG0133F) CROSS OBJECTION NO. 228/DEL/2013 ASSESSMENT YEAR: 2004-05 M/S GREEN OPEN TECHNOLOGIES VS. INCOME TAX OFFICE R, PVT. LTD. WARD 12(2), NEW DELHI A-3/3A, GREEN APARTMENTS, PASCHIM VIHAR, NEW DELHI (PAN: AAACG0133F) (APPELLANT) (RESPONDENT) APPELLANT BY : SH. T. VASANTHAN, SR. D R RESPONDENT BY : SH. V. RAJA KUMAR, ADV. DATE OF HEARING : 16-12-2015 DATE OF ORDER : 16-12-2015 ORDER PER H.S. SIDHU, J.M. THIS APPEAL BY THE DEPARTMENT AND THE CROSS OBJECT ION BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 15.1.2013 OF LD . CIT(A)-XV, NEW DELHI PERTAINING TO ASSESSMENT YEAR 2004-05. 2. AT THE TIME OF HEARING, LD. COUNSEL OF THE AS SESSEE, SH. V. RAJA KUMAR, ADVOCATE HAS SUBMITTED THAT THE TAX EFFECT IN THE R EVENUES APPEAL IS LESS THAN RS.10,00,000/-, THEREFORE, THE DEPARTMENTS APPEAL IS NOT MAINTAINABLE, IN VIEW OF THE CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015 ISSUED VIDE F.NO. 279/MISC. 142/2007-ITJ (PT.) BY THE CBDT. FOR THE SAKE OF CLARITY, HE SUBMITTED THE FOLLOWING COMPUTATION OF DISPUTED TA X IN THIS CASE. ITA NO. 3547/DEL/2013 & CO NO. 228/DEL/2013 2 ADDTION U/S. 68 RS. 27,95,400/- TAX@30% ON RS. 27,95,400 RS. 8,38,620/- EDUCATION CESS @2% OF ABOVE RS. 55,908/- HIGHER EDUATION CESS @1 OF ABOVE RS. 27,954/- TOTAL TAXES RS. 9,22,482/- ============ 3. LD. DR, SHRI T. VASANTHAN, DID NOT CONTROVERT TH E SUBMISSIONS OF THE LD. AUTHORISED REPRESENTATIVE FOR THE ASSESSEE, BUT HE RELIED UPON THE ORDER OF THE ASSESSING OFFICER. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL ON RECORD. FOR THE SAKE OF CONVENIENCE, THE RELEVANT PARA NOS. 3 & 10 OF THE AFORESAID CBDTS CIRCULAR ARE REPRODUCED AS UNDER:- 3. HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY L IMITS GIVEN HEREUNDER: S NO APPEALS IN INCOME-TAX MATTERS MONETARY LIM IT (IN RS) 1 BEFORE APPELLATE TRIBUNAL 10,00,000/- 2 BEFORE HIGH COURT 20,00,000/- 3 BEFORE SUPREME COURT 25,00,000/- IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MERELY BECAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETA RY LIMITS PRESCRIBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 10. THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN HIGH COURTS/ TRIBUNALS. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. APPEALS BEFORE THE SUPREME COURT WILL BE GOVERNED BY THE INSTRUCTI ONS ON THIS SUBJECT, OPERATIVE AT THE TIME WHEN SUCH APPEA L WAS FILED. ITA NO. 3547/DEL/2013 & CO NO. 228/DEL/2013 3 5. IT IS NOT IN DISPUTE THAT THE BOARDS INSTRUCTIO N OR DIRECTIONS ISSUED TO THE INCOME-TAX AUTHORITIES ARE BINDING ON THOSE AUTHORI TIES, THEREFORE, THE DEPARTMENT SHOULD HAVE WITHDRAWN/ NOT PRESSED THE P RESENT APPEAL, IN VIEW OF THE AFORESAID INSTRUCTIONS SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUNT OF RS. 10 LACS, PRESCRIBED IN THE ABOVE SAID CBDTS INSTRUCTIONS. 6. KEEPING IN VIEW THE CBDT INSTRUCTION NO. 21/2015 DATED 10 TH DECEMBER, 2015, WE ARE OF THE VIEW THAT THE REVENUE SHOULD HA VE WITHDRAWN/ NOT PRESSED THE INSTANT APPEAL BEFORE THE TRIBUNAL. WE ARE ALS O OF THE VIEW THAT THE SAID INSTRUCTIONS ARE APPLICABLE FOR THE PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN TRIBUNAL. ACCORDINGLY, THE REVENUES APPEAL IS DISMISSED. 7. AS REGARDS THE CROSS OBJECTION FILED BY THE ASSE SSEE IS CONCERNED, THE SAME HAS BEEN WITHDRAWN BY THE LD. COUNSEL FOR THE ASSESSEE DURING THE HEARING. HENCE, THE CROSS OBJECTION IS DISMISSED A S WITHDRAWN. 8. IN THE RESULT, APPEAL FILED BY THE REVENUE AS W ELL AS CROSS OBJECTION FILED BY THE ASSESSEE STAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 16/12/2015. SD/- SD/- (O.P. KANT) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIA L MEMBER DATED: 16/12/2015 *SR BHATNAGAR* COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR ITA NO. 3547/DEL/2013 & CO NO. 228/DEL/2013 4