DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-3(3), KOLKATA, KOLKATA V. ADHUNIK INFRASTRUCTURES PRIVATE LIMITED , KOLKATA

ITA 1069/KOL/2024

AI Insights

The case involves an appeal by the Revenue against the order of the Commissioner of Income Tax (Appeals), Kolkata-21, which was passed under section 250 of the Income Tax Act, 1961 for the assessment year 2015-16. The original assessment order was made under section 147 of the Act. The primary contention in the appeal was the maintainability of the appeal due to the low tax effect, which was less than Rs. 60,00,000. The Revenue's appeal was dismissed based on the CBDT's directive that restricts challenging appellate orders under such financial circumstances unless specific exceptions are met, which was not the case here.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 25272 (ITAT-KOLKATA)
• Duration Of Justice: 6 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-11-2024
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 08-10-2024
• Assessment Year: 2015-2016
• Appeal Filed On: 09-05-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MIRAJ D. SHAH
• Assessee Lawyers: S.B. CHAKRABORTHY
• Keywords: Tax effect
• Section: 250

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH KOLKATA BEFORE SHRI SONJOY SARMA, JUDICIAL MEMBER AND SHRI RAKESH MISHRA, ACCOUNTANT MEMBER ITA No. 1069/KOL2024 Assessment Year: 2015-16 DCIT, Central Circle-3(3), Kolkata, Aaykar Bhavan Poorva, 5th Floor, 110 Shantipally, Kolkata-700107, Vs Adhunik Infrastructures Private Limited, 308, Kamalalaya Centre, 156A Lenin Sarani, Dharamtolla, Kolkata-700013 (Appellant) (Respondent) PAN: AADC11315L Present for: Appellant by : Shri Miraj D. Shah, AR Respondent by : Shri S.B. Chakraborthy, JCIT Date of Hearing : 08.10.2024 Date of Pronouncement : 18.11.2024 O R D E R PER RAKESH MISHRA, ACCOUNTANT MEMBER: This appeal filed by the Revenue is against the order of the Ld. Commissioner of Income Tax (Appeals), Kolkata-21 [hereinafter referred to as “the Ld. CIT(A)”] passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for AY 2015-16, dated 26.03.2024, which has been passed against the assessment order u/s 147 of the Act, dated 16th March, 2022. 2. We have heard the rival contentions and perused the materials available on record. At the outset, the Ld. AR contended that the appeal was not maintainable on account of low tax effect. Ld. DR could not counter the argument of the Ld. AR. We have gone through the grounds raised by the Revenue. It is pertinent to Page | 2 ITA No.1069/KOL/2024 Adhunik Infrastructures Private Limited; A.Y. 2015-16 note that the tax effect by virtue of the relief given by the first appellate authority is less than Rs.60,00,000/- and is mentioned as Rs. 18,02,320/ in col. 10 of Form No. 36. As per the CBDT Instruction No. 9 of 2024 issued on 17th September, 2024, the CBDT has directed its subordinate authorities not to challenge the order of the Id. CIT(Appeals) before the Tribunal if the tax effect is less than Rs.60,00,000/-. Such an order could only be challenged if it comes within any of the exceptions provided in the Instruction. Since, such cases do not fall in any of the exceptions and, therefore, these appeals are not maintainable. 3. On due consideration of the above facts, we dismiss the appeal of the Revenue on account of low tax effect. However, in case on re-verification of the facts at the end of the Assessing Officer, it appears that the tax effect is more than the specified limit or this case falls in any of the exceptions provided in this Instruction, the Revenue will be at liberty to file a Miscellaneous Application for revival of the appeal. Such an application should be filed within the limitation provided under the Act. 4. In the result, the appeal of the Revenue is dismissed. Order pronounced in the Court on 18th November, 2024 at Kolkata. Sd/- Sd/- (SONJOY SARMA) (RAKESH MISHRA) JUDICIAL MEMBER ACCOUNTANT MEMBER Kolkata, Dated 18.11.2024 *SS, Sr.Ps Page | 3 ITA No.1069/KOL/2024 Adhunik Infrastructures Private Limited; A.Y. 2015-16 आदेश की प्रतितिति अग्रेतिि/Copy of the Order forwarded to : 1. अिीिार्थी / The Appellant 2. प्रत्यर्थी / The Respondent 3. संबंतिि आयकर आयुक्त / Concerned Pr. CIT 4. आयकर आयुक्त ( अिीि ) / The CIT(A)- 5. तिभागीय प्रतितिति , अतिकरण अिीिीय आयकर , कोिकािा/DR,ITAT, Kolkata, 6. गार्ड फाईि / Guard file. आदेशािुसार/ BY ORDER, TRUE COPY Sr. PS/ Assistant Registrar आयकर अिीिीय अतिकरण ITAT, Kolkata "