INCOME TAX OFFICER, WARD-1(1), DHANBAD, DHANBAD V. KALYAN BARLA, DHANBAD

ITA 363/RAN/2024

AI Insights

The case involves an appeal by the Income Tax Officer, Ward-1(1), Dhanbad against Kalyan Barla, Dhanbad, concerning the Assessment Year 2016-17. The appeal was directed against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, dated 16.07.2024. The primary contention in the appeal was the tax effect, which amounted to Rs. 2,65,664, significantly below the threshold of Rs. 60,00,000 set by the recent CBDT Circular for filing appeals. The Revenue's appeal was thus dismissed based on the low tax effect, with a note that if the case falls within any exceptions in the future, the Revenue could seek restoration of the appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 473124 (ITAT-RANCHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-01-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2016-2017
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KHUBCHAND T. PANDYA
• Keywords: Tax effect; TDS
• Section: 250

Judgement Text

" P a g e 1 | 4 IN THE INCOME TAX APPELLATE TRIBUNAL RANCHI BENCH, RANCHI (SMC) BEFORE SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER ITA No.363/RAN/2024 Assessment Year:2016-17 ITO,Ward-1(1), Dhanbad, Vs. Kalyan Barla, Dhanbad PAN/GIR No. ALVPB6683L (Appellant) .. (Respondent) Assessee by : None(Submission filed) Revenue by : Shri Khubchand T.Pandya, Sr.DR Date of Hearing : 23/01/2025 Date of Pronouncement : 27/01/2025 O R D E R 1. This captioned appeal filed by the Revenue emanates from the order of the ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi (In short ‘the ld. CIT(A)”) dated.16.07.2024 passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as the “Act”) for Assessment Year 2016-17 as per the grounds of appeal on record. This appeal was heard and disposed off on low tax effect. ITA No. 363/Ran/2024 Assessment Year : 2016-17 P a g e 2 | 4 2. At the very outset, the ld. DR submitted that the tax effect in this case is Rs.2,65.664/-. As evident from the aforesaid submission the tax effect is below the tax limit for filling appeal before the Tribunal as contemplated by the recent Circular of CBDT No. 09/2024, dated 17.09.2024. 3. That as per the said Circular No. 09/2024, it is mandated that appeal to be filed by the Revenue before the Tribunal has to be of the monetary limit of Rs.60,00,000/- and above. The relevant extract of the aforesaid circular is as follows: “2. As a step towards management of litigation, it has been decided by the Board to revise the monetary limits for filing of appeals in Income-tax cases as stated in para 4.1 of the aforementioned Circular as follows: Sl.no. Appeals/SlPs in Income- tax matters Monetary Limit (Tax effect in Rs.) 1. Before Income Tax Appellate Tribunal 60 Laklh 2. Before High Court 2 Crore 3. Before Supreme Court 5 Crore 3. Monetary limits given in paragraph 2 with regard to filing appeal/ SLP shall be applicable to all cases including those relating to TDS/ TCS under the Income-tax Act, 1961 with exceptions as per paras 3.1 and 3.2 of Circular No. 5/2024 dated 15.03.2024, where the decision to appeal/ file SLP shall be taken on merits, without regard to the tax effect and the monetary limits.” ITA No. 363/Ran/2024 Assessment Year : 2016-17 P a g e 3 | 4 4. In view of the directives pertaining to the circular which is binding on the Department and after hearing the submissions of the ld. DR, I dismiss this appeal of the Revenue on low tax effect. However, in the near future if this case falls within any of the “exceptions” then in such situation the Revenue shall be at liberty to apply for restoration of such appeal as per law before the Tribunal. 5. As per the above terms, this appeal of the Revenue is dismissed on the ground of low tax effect. 6. In the result, the appeal of the Revenue is dismissed.. Order pronounced in the open court on 27/01/2025. Sd/- (Partha Sarathi Chaudhury) JUDICIAL MEMBER Ranchi; Dated 27 /01/2025 S.S, SPS Copy of the Order forwarded to : 1. The Appellant : ITO,Ward-1(1) Dhanbad. 2.The Respondent:, Kalyan Barla, Dhanbad. 3. The CIT(A)- NFAC, Delhi 4. Pr.CIT,Ranchi 5. DR, ITAT, 6. Guard file. //True Copy// ITA No. 363/Ran/2024 Assessment Year : 2016-17 P a g e 4 | 4 By order Sr.Pvt.secretary ITAT, Patna Date Initial 1. Draft dictated on 23.01.2025 Sr.PS 2. Draft placed before author 27.01.2025 Sr.PS 3. Draft proposed & placed before the second member JM 4. Draft discussed/approved by Second Member. JM 5. Approved Draft comes to the Sr.PS/PS Sr.PS 6. Kept for pronouncement on Sr.PS 7. File sent to the Bench Clerk Sr.PS 8. Date on which file goes to the OS 9. Date on which file goes to the SPS 10. Date of dispatch of Order. "