DCIT, CIRCLE -1, LUDHIANA, LUDHIANA V. M/S EASTMAN EXPORTS PRIVATE LIMITED, LUDHIANA

MA 44/CHANDI/2023

AI Insights

The case involves four Miscellaneous Applications (MAs) filed by the Revenue against various respondents, all related to different assessment years. The applications were directed at pointing out an alleged error in the Tribunal's previous orders, which had dismissed the appeals on the grounds that the tax effect was below the monetary limit prescribed for filing such appeals. The Revenue argued that the employees' contributions were not paid within the due dates as required under the PF/ESI Act, referencing the case of Checkmate Services Pvt. Ltd. Vs CIT-I. However, the Tribunal upheld its earlier decisions, emphasizing that the monetary limit for tax effect as per CBDT circulars precludes the appeals from being tested on merit.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 397969 (ITAT-CHANDIGARH)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-06-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2017-2018
• Other Referred Cases: Checkmate Services Pvt. Ltd. Vs CIT-I
• Laws Referred To: PF/ESI Act, Checkmate Services Pvt. Ltd. Vs CIT-I (Civil Appeal No.2833 of 2016 dated 12.10.2022)
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIVEK VARDHAN; VIVEK VARDHAN; VIVEK VARDHAN; VIVEK VARDHAN
• Assessee Lawyers: ASHWANI KUMAR; A; ASHWANI KUMAR; PANKAJ BHALLA
• Keywords: Tax effect

Judgement Text

"आयकर अपीलȣय अͬधकरण,चÖडीगढ़ Ûयायपीठ, चÖडीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘A’ CHANDIGARH BEFORE SHRI RAJPAL YADAV, VICE PRESIDENT AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER M.A. No. 41/Chandigarh/2023 in आयकर अपील सं./ ITA No. 757/CHD/2022 Ǔनधा[रण वष[ / Assessment Year: 2019-20 The DCIT, Circle - 1, Ludhiana. Vs M/s Kaur Sain Spinning Mills, A-17, Phase VIII, Focal Point, Ludhiana. èथायी लेखा सं./PAN NO: AADFK0668B अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr. DR Assessee by : Shri Ashwani Kumar, CIT(A) & M.A. No. 42/Chandigarh/2023 in आयकर अपील सं./ ITA No. 745/CHD/2022 Ǔनधा[रण वष[ / Assessment Year: 2018-19 The DCIT, Circle - 1, Ludhiana. Vs M/s D.D.Agro Industries Ltd. Mittal Kanda Lane, Industrial Area-C, Dhandari Kalan, Ludhiana. èथायी लेखा सं./PAN NO: AABCD1536G अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr. DR Assessee by : None (Adjournment Application) & M.A. No. 44/Chandigarh/2023 in आयकर अपील सं./ ITA No. 744/CHD/2022 Ǔनधा[रण वष[ / Assessment Year: 2017-18 MA-41,42,44 & 47/CHD/2023 2 The DCIT, Circle - 1, Ludhiana. Vs M/s Eastman Exports Pvt. Ltd., 49-A, Bhai Randhir Singh Nagar, Ferozepur Road, BRS Nagar, Ludhiana. èथायी लेखा सं./PAN NO: AABCE2077P अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr. DR Assessee by : Shri Ashwani Kumar, CA & M.A. No. 47/Chandigarh/2023 in आयकर अपील सं./ ITA No. 741/CHD/2022 Ǔनधा[रण वष[ / Assessment Year: 2018-19 The DCIT, Circle - 4, Ludhiana. Vs M/s Goyal Automotive Pvt.Ltd., B-XXI14665, G.T.Road, Dholewal Chowk, Ludhiana. èथायी लेखा सं./PAN NO: AABCG9606N अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr. DR Assessee by : Shri Pankaj Bhalla, CA Date of Hearing : 30.05.2025 Date of Pronouncement : 02.06.2025 HYBRID HEARING O R D E R PER RAJPAL YADAV, VP The present four Miscellaneous Applications are directed at the instance of Revenue pointing out apparent error in the order of the Tribunal passed in respect of respective appeals. 2. With the assistance of ld. Representative, we have gone through the record carefully. It emerges out from the record that MA-41,42,44 & 47/CHD/2023 3 all these appeals were dismissed by the Tribunal on the ground of tax effect by virtue of relief given by the CIT(A) being less than the monetary limit prescribed for filing such appeals at the end of the Revenue. The Revenue has pleaded in the applications that employees’ contribution was not paid before the due date provided under the PF/ESI Act, hence in view of the Checkmate Services Pvt. Ltd. Vs CIT-I (Civil Appeal No.2833 of 2016 dated 12.10.2022), this issue ought to have been decided by the Tribunal in favour of the Revenue. 4. On due consideration of the above record, we are of the view that when tax effect is less than the monetary limit provided in the various circulars of the CBDT, then appeals are not to be tested on merit and these are to be dismissed being not maintainable, thus there is no apparent error in all these cases. Accordingly, all the Miscellaneous Applications are dismissed. 4. In the result, all the Miscellaneous Applications are dismissed. Order pronounced on 02.06.2025. Sd/- Sd/- (MANOJ KUMAR AGGARWAL) (RAJPAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” MA-41,42,44 & 47/CHD/2023 4 आदेश कȧ ĤǓतͧलͪप अĒेͪषत/ Copy of the order forwarded to : 1. अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकर आयुÈत/ CIT 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय आͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[ फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar "