INCOME TAX OFFICER, WARD-1, VAPI, VAPI V. .DARSHAK AJITBHAI GANDHI, VAPI, GUJARAT

ITA 608/SRT/2024

AI Insights

The case involves an appeal by the Income Tax Officer, Ward-1, Vapi against Darshak Ajitbhai Gandhi concerning an assessment order for the year 2018-19. The appeal was dismissed by the Income Tax Appellate Tribunal, Surat Bench, primarily due to the tax effect being below the threshold set by the Central Board of Direct Taxes (CBDT) for filing appeals. The assessee's Cross Objection was also dismissed as the main appeal's dismissal rendered it academic.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 33940 (ITAT-SURAT)
• Duration Of Justice: 6 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-12-2024
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Appeal Filed On: 22-05-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 147

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI PAWAN SINGH, JUDICIAL MEMBER AND SHRI BIJAYANANDA PRUSETH, ACCOUNTANT MEMBER ITA No. 608/Srt/2024 (Assessment Year 2018-19) (Physical hearing) I.T.O., Ward-1, Vapi. Vs. Darshak Ajitbhai Gandhi, Plot No. C-5/42, Commercial Sector, GIDC, Vapi-396195, Gujarat. PAN No. ACOPG 1490 J Appellant/ Revenue Respondent/ Assessee C.O. No. 16/Srt/2024 (Arising out of ITA No. 608/Srt/2024) (AY: 2018-19) Darshak Ajitbhai Gandhi, Plot No. C-5/42, Commercial Sector, GIDC, Vapi-396195, Gujarat. PAN No. ACOPG 1490 J Vs. I.T.O., Ward-1, Vapi. APPELLANT RESPONDEDNT Department represented by Shri Mukesh Jain, Sr. DR Assessee represented by Adjournment Application by Sh Nitin Gheewala CA Appeals instituted on 22/05/2024 and C.O. on 02/07/2024 Date of hearing 10/12/2024 Date of pronouncement 10 /12/2024 Order under Section 254(1) of Income Tax Act PER: PAWAN SINGH, JUDICIAL MEMEBER: 1. This appeal by Revenue and Cross Objection (CO) therein by assessee are directed against order of National Faceless Appeal Centre, Delhi/Commissioner of Income tax (Appeals) [for short to as “NFAC/Ld. CIT(A)] dated 27/03/2024, which in turn arise out of assessment order passed by the Assessing Officer under section 147 r.w.s. 144 r.w.s 144B of the Income Tax Act, 1961 dated 28/02/2023 for assessment year (AY) 2018-19. 2. Perusal of grounds of appeal raised by the revenue shows that total tax effect in the present appeal mentioned by Assessing Officer in para-10 ITA No. 608/Srt/2024 & CO 16/Srt/2024 ITO Vs Darshak Ajitbhai Gandhi 2 of Form-36, is only Rs. 58,44,685/- which is less than the monetary limit of Rs.60.00 lacs for filing appeal before Income Tax Appellate Tribunal (ITAT), as fixed by the Central Board of Direct Taxes (CBDT), in its latest Circular No.09/2024 dated 17/9/2024. Thus, the appeal filed by the revenue is not maintainable and deserve to be dismissed. 3. The learned Senior Departmental Representative (ld. Sr. DR) for the Revenue after going through the figure of effect would mentioned on Form-36 submit that the Revenue may be given liberty to file the appropriate application for seeking the revival of appeal, in case at later stage, if it is discovered that tax effect income or the appeal is covered by any exception of circulars of CBDT. 4. We have considered the contentions of both the parties and perused the orders of Assessing Officer and order passed by Ld.CIT(A). We have noted that the tax effect in this appeal is of Rs. 58,44,685/-, which is less than the monetary limit of Rs.60.00 lacs as fixed by CBDT Circular No. 09/2024 dated 17/09/2024 for filing appeal before the Tribunal. Hence, the appeal filed by the Revenue is dismissed. However, the Revenue is given liberty to get the appeal revive, if at later stage, it is discovered that grounds raised by the Revenue is covered by any exception clause of any circular of CBDT. In the result, appeal of the Revenue is dismissed. 5. Considering the facts, that we have dismissed the appeal of the Revenue on account of low tax effect, therefore, specific adjudication on the grounds of Cross Objection have become academic and thus, dismissed as infructuous. Finally, the appeal of the revenue and cross objection filed by the assessee are dismissed. ITA No. 608/Srt/2024 & CO 16/Srt/2024 ITO Vs Darshak Ajitbhai Gandhi 3 6. In the result, both i.e. appeal of the revenue and the cross objection of the assessee are dismissed. Order announced in open court on 10th December, 2024. Sd/- Sd/- (BIJAYANANDA PRUSETH) (PAWAN SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Surat, Dated: 10/12/2024 *Ranjan Copy to: 1. Assessee 2. Revenue 3. CIT 4. DR 5. Guard File By Order // TRUE COPY // Sr. Private Secretary, ITAT, Surat "