M/s Ess Jay Vee Processors Pvt. Ltd., Amritsar V. ITO, New Delhi

CO 393/DEL/2011

• Counselvise Citation: [2016] 123 COUNSELVISE.COM (IT) 2101 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 2 month(s) 15 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 24-02-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2005-2006
• Appeal Filed On: 09-12-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Retrospective amendment; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES : B : NEW DELHI BEFORE SHRI R.S. SYAL, AM & SHRI A.T. VARKEY, JM ITA NO.498/DEL/2011 ASSESSMENT YEAR : 2005-06 ITO, WARD 11(2), NEW DELHI . VS. M/S ESS JAY VEE PROCESSORS PVT. LTD., KOT MANGAL SINGH, BEHIND OLD OCTROI POST, TARAN TARAN ROAD, AMRITSAR 143001. PAN: AAACE3781F CO NO.393/DEL/2011 (ITA NO.498/DEL/2011) ASSESSMENT YEAR : 2005-06 M/S ESS JAY VEE PROCESSORS PVT. LTD., KOT MANGAL SINGH, BEHIND OLD OCTROI POST, TARAN TARAN ROAD, AMRITSAR 143001. PAN: AAACE3781F VS. ITO, WARD 11(2), NEW DELHI ASSESSEE BY : NONE DEPTT. BY : SHRI SUNIL CHANDER SHARMA, CIT,DR DATE OF HEARING : 24.02.2016 DATE OF PRONOUNCEMENT : 24.02.2016 ITA NO.498/DEL/2011 CO NO.393/DEL/2011 2 ORDER PER R.S. SYAL, AM: THIS APPEAL BY THE REVENUE AND THE CROSS OBJECTION BY THE ASSESSEE ARISE OUT OF THE ORDER PASSED BY THE C IT(A) ON 23.11.2010 IN RELATION TO THE ASSESSMENT YEAR 2005- 06. 2. NONE ONE WAS PRESENT FOR THE ASSESSEE. WE FIND T HAT PURSUANT TO THE MANDATE OF SECTION 268A, THE CBDT H AS ISSUED CIRCULAR NO. 21 OF 2015 DATED 10.12.2015 WITH RETRO SPECTIVE EFFECT, REVISING THE MONETARY LIMIT TO RS.10,00,000 /- FOR NOT FILING APPEALS BEFORE THE TRIBUNAL. WE FURTHER FIN D THAT AS THE TAX EFFECT INVOLVED IN THE INSTANT APPEAL IS LESS T HAN RS.10,00,000/-, THE EXTANT APPEAL IS NOT MAINTAINAB LE. THE LD. D.R., ALTHOUGH SUPPORTED THE ORDER OF THE ASSESSING OFFICER, BUT COULD NOT CONTROVERT THE FACT THAT TAX EFFECT I NVOLVED IN THIS APPEAL IS LESS THAN RS.10,00,000/-. 3. FROM PARA 10 OF THE ABOVE CIRCULAR IT IS PALPABL E THAT THE INSTRUCTION IS APPLICABLE TO THE PENDING APPEALS AL SO WITH ITA NO.498/DEL/2011 CO NO.393/DEL/2011 3 RETROSPECTIVE EFFECT AND THERE IS A CLEAR-CUT DIREC TION TO THE DEPARTMENT TO WITHDRAW OR NOT PRESS SUCH APPEALS FI LED BEFORE THE ITAT WHEREIN TAX EFFECT IS LESS THAN RS.10,00,0 00/-. GOING BY THE PRESCRIPTION OF THE AFORENOTED CIRCULAR, WE ARE OF THE VIEW THAT THE REVENUE SHOULD HAVE EITHER NOT FILED THE INSTANT APPEAL BEFORE THE TRIBUNAL OR WITHDRAWN THE SAME AS THE TAX EFFECT IN THIS APPEAL IS ADMITTEDLY LESS THAN THE P RESCRIBED LIMIT FOR NOT FILING THE APPEALS. EX CONSEQEUNTI WE DISMISS THE INSTANT APPEAL WITHOUT GOING INTO MERITS OF THE CAS E. 4. THE CROSS OBJECTION FILED BY THE ASSESSEE IS IN SUPPORT OF THE ORDER OF THE CIT(A). SINCE THE APPEAL OF THE R EVENUE HAS BEEN DISMISSED ON ACCOUNT OF LOW TAX EFFECT, THE CR OSS OBJECTION HAS BECOME INFRUCTUOUS AND THE SAME IS DI SMISSED AS SUCH. ITA NO.498/DEL/2011 CO NO.393/DEL/2011 4 5. IN THE RESULT, THE APPEAL OF THE REVENUE AS WELL AS THE CROSS OBJECTION OF THE ASSESSEE STAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 24.02.2016. SD/- SD/- [A.T. VARKEY] [R.S. SYAL] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED, 24 TH FEBRUARY, 2016. DK COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR, ITAT AR, ITAT, NEW DELHI.