Dy. Commissioner of Income Tax , Circle-17(2), Hyderabad V. VSN Commercials Private Limited, Hyderabad

ITA 1047/Hyd/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 7158 (ITAT-HYDERABAD)
• Duration Of Justice: 10 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB-A
• Next Hearing Date: 01-04-2019
• Assessment Year: 2014-2015
• Appeal Filed On: 22-05-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: C V PAWAN
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES A, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER I.T.A. NO. 1047/HYD/2018 ASSESSMENT YEAR: 2014-15 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-17(2), HYDERABAD VS M/S. VSN COMMERCIALS PRIVATE LIMITED, HYDERABAD [PAN: AACCV0829K] (APPELLANT) (RESPONDENT) FOR REVENUE : SHRI C.V. PAWAN, DR FOR ASSESSEE : SHRI K.C. DEVDAS, AR DATE OF HEARING : 01-04-2019 DATE OF PRONOUNCEMENT : 05-04-2019 O R D E R PER S. RIFAUR RAHMAN, A.M. : THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)5, HYDERABAD, DATED 14-03-2018 FOR THE AY. 2014-15. 2. REVENUE FILED A LETTER DT. 16-08-2018 TO WITHDRAW THIS APPEAL DUE TO TAX EFFECT, AS PER WHICH TAX DUE FROM THE ASSESSEE IS ONLY RS. 18,71,662/-. 3. THEREFORE THE CIRCULAR NO. 03/2018 DATED 11-07-201 8 ISSUED BY THE CENTRAL BOARD OF DIRECT TAXES (CBDT) IN EXERCISE ITA NO. 1047/HYD/2018 :- 2 -: OF ITS POWER VESTED UNDER SEC. 268A(1) OF THE I.T. AC T COMES INTO PLAY, WHEREIN, THE MONETARY LIMIT FOR FILING THE A PPEALS BY THE REVENUE BEFORE THE ITAT AND VARIOUS HIGH COURTS AS WELL AS APEX COURT ARE REVISED WITH AN OBJECT OF THE REDUCIN G THE TAX LITIGATION. VIDE PARA 3 OF THE SAID CIRCULAR (SUP RA) IS STATED THAT IN CASES WHERE THE TAX EFFECT IN THE APPEALS TO BE FILED BEFORE THE APPELLATE TRIBUNAL DOES NOT EXCEED RS. 20 LAKHS APPEALS SHOULD NOT BE FILED. THUS TAKING A NOTE OF CBD T CIRCULAR NO. 03/2018, DATED 11-07-2018 AND CONSIDERI NG THE FACT THAT THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN RS. 20 LAKHS, THE PRESENT APPEAL DESERVES TO BE DISMISSED AS NOT PRESSED / NOT MAINTAINABLE. HOWEVER, WE MAKE IT CLEAR THAT THE ISSUES RAISED IN THE INSTANT APPEAL ARE LEFT OPEN TO BE EXAMINED IN THE APPROPRIATE PROCEEDINGS, IF ARISES, IN FUTURE. AT THE SAME TIME WE ALSO MAKE IT CLEAR THAT IF THE APPEAL FALLS IN ANY OF THE EXCEPTIONS REFERRED TO IN THE ABOVE SAID CBDT CIRCULAR, THE REVENUE IS AT LIBERTY TO MOVE AN APPLIC ATION FOR RECALLING THE ORDER, IF SO, ADVISED. 4. ACCORDINGLY IN THE LIGHT OF CBDT CIRCULAR NO. 03/2 018 DATED 11-07-2018, THE APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 5 TH APRIL, 2019 SD/- SD/- (P. MADHAVI DEVI) (S. RIF AUR RAHMAN) JUDICIAL MEMBER ACCOUNTANT M EMBER HYDERABAD, DATED 5 TH APRIL, 2019 TNMM ITA NO. 1047/HYD/2018 :- 3 -: COPY TO : 1. THE DY. COMMISSIONER OF INCOME TAX, CIRCLE-17(2) , HYDERABAD. 2. M/S. VSN COMMERCIALS PRIVATE LIMITED, 5-3-372, N EW MODI MANSION, RP ROAD, HYDERABAD. 3. CIT(APPEALS)-5, HYDERABAD. 4. PR.CIT-5, HYDERABAD. 5. D.R. ITAT, HYDERABAD. 6. GUARD FILE.