DEPUTY COMMISSIONER OF INCOME TAX, KOLKATA V. BHAGWAN DAS AGARWAL , KOLKATA

ITA 1692/KOL/2024

AI Insights

The case involves an appeal by the Deputy Commissioner of Income Tax, Kolkata against Bhagwan Das Agarwal concerning the assessment year 2013-14. The appeal was based on an order passed by the Ld. Commissioner of Income Tax, Kolkata-21, which was contested under sections 250, 153A, and 143(3) of the Income Tax Act, 1961. The primary contention in the appeal was the tax effect, which was below the threshold of Rs. 60 lakhs as specified in the CBDT Circular No. 09/2024. The Department of Revenue argued for a merit-based disposal, while the Assessee's representative highlighted precedents of similar cases with low tax effects being dismissed.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 470937 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-02-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Other Referred Cases: I.T.A. No. 1678-1680/Kol/2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 250; 268A

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH” KOLKATA SHRI PRADIP KUMAR CHOUBEY, JUDICIAL MEMBER SHRI SANJAY AWASTHI, ACCOUNTANT MEMBER I.T.A. No. 1692/Kol/2024 Assessment Year: 2013-14 Deputy Commissioner of Income Tax, Kolkata, 110, Shantipally, Aayakar Bhawan, Poorva, Kolkata – 700107 ....................…...…………….... Appellant vs. Bhagwan Das Agarwal, 21, Hemant Basu Sarani, Dalhousie - 700001 ..............…..…..................... Respondent [PAN: AFJPA9084Q] Appearances by: Assessee represented by : Devesh Poddar, AR Department represented by : P.N. Barnwal, CIT-DR Date of concluding the hearing : 28.01.2025 Date of pronouncing the order : 17.02.2025 ORDER PER SANJAY AWASTHI, ACCOUNTANT MEMBER: 1. The present appeal emanates from the order of the Ld. Commissioner of Income Tax, 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 2013-14, dated 29.02.2024, which has been passed against the assessment order u/s 153A/143(3) of the Act. 1.1 In this case, the Ld. AR pointed out, right at the outset, that this matter was pertaining to a tax effect of below Rs. 60 lacs. In fact, he placed on record two orders of the same assessee passed by the co-ordinate Bench, in which one of us was a co-author, to stress upon the fact that for the present appeal also, the same line has to be followed. I.T.A. No. 1692/Kol/2024 Bhagwan Das Agarwal 2 1.2 The Ld. DR requested that this matter should be disposed of on merit, rather than on account of low tax effect. 2. We find that order relied upon by the Ld. AR pertains to ITA No. 1678-1680/Kol/2024, dated 04.11.2024 in the case of the very same assessee, in which the following finding has been given: “3. It is seen, at the outset, that the tax effect on the disputed additions before us is less than Rs. 60 lakhs as prescribed in the CBDT’s latest Circular No. 09/2024 dated 17.09.2024 for filing appeals by the Revenue before this Tribunal. 3.1. This circular prescribes that the revised monetary limits shall apply retrospectively to pending appeals as well. 4. The ld. DR has also fairly stated that tax effect involved in appeals are less than the prescribed limit. 5. In view of above stated position, the appeals of the Revenue are dismissed u/s 268A of the Act because of tax effect lower than the prescribed limits as per CBDT Circular No. 09/2024 (supra). 6. In case, at a later stage, it is found that these appeals are indeed covered under ‘exceptions’ then the department would be at liberty to move the ITAT with an MA for appropriate considerations.” 2.1. Considering that this matter has an identical set of facts regarding low tax effect we follow the order from which portions have been extracted (supra) and dismiss this appeal with the directive that in case at a later stage, it is found that this appeal is indeed covered under ‘exceptions’ then the department would be at liberty to move the ITAT with an MA for appropriate consideration. 3. In the result, all the appeals filed by the Revenue is dismissed. Order pronounced in the court 17.02.2025. Sd/- Sd/- [Pradip Kumar Choubey] [Sanjay Awasthi] Judicial Member Accountant Member Dated: 17.02.2025 AK, PS I.T.A. No. 1692/Kol/2024 Bhagwan Das Agarwal 3 Copy of the order forwarded to: 1. Bhagwan Das Agarwal, 2. Deputy Commissioner of Income Tax, Kolkata 3. CIT(A)- 4. CIT- 5. CIT(DR) //True copy// By order Assistant Registrar, Kolkata Benches "