DCIT, NEW DELHI V. M/S. PEARLS BUILDWELL INFRASTRUCTURE LTD., NEW DELHI

MA 316/DEL/2024

AI Insights

The case involves the Deputy Commissioner of Income Tax (DCIT), New Delhi, as the appellant, and M/s. Pearls Buildwell Infrastructure Ltd. as the respondent. The revenue filed a miscellaneous application requesting the recall of the Tribunal's earlier order dismissing their appeal on the grounds of low tax effect. The revenue argued that the tax effect should be considered as Rs. 55,90,158, which exceeds the threshold for filing appeals. However, the Tribunal found that the monetary limit for appeals had been increased to Rs. 60 lacs, and even with the recalled appeal, it would not meet the threshold. Therefore, the Tribunal dismissed the application, stating there was no apparent mistake in the original decision to dismiss the appeal due to low tax effect.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 826112 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 4 month(s) 26 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 07-01-2026
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2013-2014
• Appeal Filed On: 12-08-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: NARPAT SINGH
• Keywords: Tax effect

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘E’, NEW DELHI BEFORE SH. C.N. PRASAD, JUDICIAL MEMBER & SH. NAVEEN CHANDRA, ACCOUNTANT MEMBER M.A. No.316/DEL/2024 (Arising out of ITA No.6088/Del/2016) Assessment Year: 2013-14 DCIT New Delhi Vs M/s. Pearls Buildwell Infrastructure Ltd. 409-410, Padam Tower-II, Rajendra Place, New Delhi PAN No. AACCP7916R (APPELLANT) (RESPONDENT) Appellant by None Respondent by Sh. Narpat Singh, Sr. DR Date of hearing: 27/06/2025 Date of Pronouncement: 07/01/2026 ORDER PER C.N. PRASAD, JM: Through this miscellaneous application the revenue has requested recalling of the Tribunal’s order passed in ITA No.6088/Del/2016 dated 08.03.2024 for the A.Y.2013-14 by stating that the tax effect in the ground raised by the revenue is more than Rs.50 lacs and the Tribunal inadvertently dismissed the Printed from counselvise.com appeal of the revenue on low tax effect. In the miscellaneous application the revenue contended that in the grounds filed alongwith the appeal in Form 36, the revenue inadvertently did not include the ground in respect of restricting the addition of Administrative and Employees expenses to 10% and if this is considered the revenue effect in the revenue’s appeal would be Rs.55,90,158/-. Therefore, it is requested that the order of the Tribunal dismissing the revenue’s appeal be recalled to hear on merits. 2. Heard rival submissions and perused the miscellaneous application. We observe that the miscellaneous application filed by the revenue in M. A. No.240/Del/2020 to recall the order in ITA No.6088/Del/2016 was already dismissed by the Tribunal vide order dated 08.03.2024. The revenue filed this miscellaneous application again contending that the tax effect in the appeal of the revenue is more than Rs.50 lacs and precisely the tax effect is of Rs.55,90,158/-. 3. Since, the monetary limit for filing the appeals before the Tribunal have been increased to Rs. 60 lacs, even if the appeal of the revenue is recalled the same is liable to be dismissed for low tax effect. In these circumstances there no purpose would be served by recalling this order of the Tribunal. Further we observed that when the appeal of the revenue was decided based on the grounds the tax effect was less than 50 lacs. Hence, there no mistake apparent on record in the order of the Tribunal in dismissing the appeal on account of low tax effect. Printed from counselvise.com 4. In the result, the miscellaneous application is dismissed. Order pronounced in the open court on 07.01.2026. Sd/- Sd/- [NAVEEN CHANDRA] [C.N. PRASAD] ACCOUTNANT MEMBER JUDICIAL MEMBER Dated: 07.01.2026 NEHA , Sr.P.S.* Copy forwarded to: 1. Appellant 2. Respondent 3. PCIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi Printed from counselvise.com "