ITO, Agra V. Shri Mukesh Kumar Agarwal, Agra

ITA 10/AGR/2009

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 6906 (ITAT-AGRA)
• Duration Of Justice: 1 year(s) 2 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-04-2010
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 19-04-2010
• Assessment Year: 2000-2001
• Appeal Filed On: 21-01-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R C SHARMA
• Keywords: Tax effect
• Section: 268A

Judgement Text

1 ITA 10-09 IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH : AGRA. ( BEFORE SHRI R.K. GUPTA AND SHRI P.K. BANSAL ) ITA NO. 10/AG./2009 ASSTT. YEAR : 2000-01. THE INCOME-TAX OFFICER, VS. SHRI MUKESH KUMAR AGA RWAL, WARD 4(2), AGRA. C-46, KAMLA NAGAR, AGRA. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI R. C. SHARMA, JR. D/R RESPONDENT BY : SHRI ANURAG SINHA, ADV OCATE ORDER PER P.K. BANSAL, A.M. THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAINST THE ORDER OF LD. CIT (A) DATED 22.10.2008. 2. AT THE OUTSET, THE LD. A/R POINTED OUT THAT THE TAX EFFECT IN THIS APPEAL IS LESS THAN RS. 2 LACS. THEREFORE, THE DEPARTMENT SHOULD NOT HA VE FILED THE APPEAL BEFORE THE TRIBUNAL IN VIEW OF CBDT INSTRUCTION NO. 2 OF 2005 DATED 24 TH OCTOBER, 2005. IT WAS ALSO POINTED OUT THAT HONBLE ALLAHABAD HIGH COURT IN THE CASE O F CIT VS. RAJENDRA PRASAD SHARMA, 10 MTC 814 (ALL.) HAS TAKEN THE SAME VIEW. THE CALC ULATION OF THE TAX EFFECT WAS ALSO SUBMITTED BEFORE US, WHICH WAS CONCEDED BY THE LD. D/R. 3. WE HAVE CAREFULLY CONSIDERED THE RIVAL SUBMISSIO NS AND ALSO PERUSED THE CIRCULAR ISSUED BY THE BOARDS INSTRUCTION NO. 2 OF 2005 DAT ED 24 TH OCTOBER, 2005. THE TAX EFFECT 2 IN THIS CASE IS ONLY RS. 67,068/-. THEREFORE, IN TH IS APPEAL THE TAX EFFECT IS LESS THAN RS. 2 LACS AND THE CASE IS CLEARLY COVERED BY THE INSTRUC TIONS OF THE BOARD, WHICH IS BINDING ON THE DEPARTMENT. THE CASE OF THE ASSESSEE IS DULY CO VERED BY THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF TANNA & MODI VS. CIT, 292 ITR 209 (SC) AND THAT OF HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF CI T VS. RAJENDRA PRASAD SHARMA, 10 MTC 814 (ALL.). IN THIS CASE IT HAS BEEN HELD BY T HEIR LORDSHIPS THAT THE REVENUE SHOULD NOT HAVE FILED APPEAL WHEN THE TAX EFFECT IS BELOW THE AMOUNT SPECIFIED IN THE BOARDS CIRCULAR. NOW SECTION 268A HAS BEEN INSERTED WITH E FFECT FROM 1.4.1999 WHICH ALSO SUPPORTS THE CASE OF THE ASSESSEE. IN VIEW OF THE ABOVE, WE DISMISS THE APPEAL FILED BY THE REVENUE. 4. IN THE RESULT, APPEAL FILED BY THE REVENUE IS DI SMISSED. 5. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 19. 4.2010. SD/- SD/- ( R.K. GUPTA ) (P.K. BANSAL ) JUDICIAL MEMBER ACCOUNTANT MEMBER AGRA, DATED : 19/04/2010. D/- COPY FORWARDED TO :- THE APPELLANT THE RESPONDENT THE CIT THE CIT (A) CONCERNED. THE D/R, ITAT AGRA. GUARD FILE (ITA 10/AG/2009) BY ORDER, AR ITAT AGRA. 3