Appeal details
Counselvise Citation
[2016] 133 COUNSELVISE.COM (IT) 8770 (ITAT-BANGALORE)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
2 year(s) 5 month(s) 23 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
07-01-2016
Appeal Filed By
Department
Order Result
Dismissed
Bench Allotted
B
Next Hearing Date
07-01-2016
Assessment Year
misc
Appeal Filed On
15-07-2013
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI N.V.VASUDEVAN , JUDICIAL MEMBER A ND SHRI ABRAHAM P GEORGE , ACCOUNTANT MEMBER ITA NO. 1120 / BANG/20 1 3 (ASSESSMENT YEAR: 2008 - 09 ) DEPUTY COMMISSIONER OF INCOME - TAX, CENTRAL C IRCLE, MYSORE. VS. APPELLANT M/S. SK SRINIVASA & CO. NO.1A, 1 ST BLOCK, 1 ST FLOOR, VIJAYANAGAR III STAGE, MYSORE - 570017 PAN: ABGFS5656M RESPONDENT APPELLANT BY: SHRI L.V.BHASKA REDDY, JCIT (DR) RESPONDENT BY: SHRI H.GURUSWAMY, IT P. DATE OF HEARING : 0 7 /01/2016 DATE OF PRONOUNCEMENT: 07 / 01 /201 6 O R D E R PER N.V.VASUDEVAN , JM : THIS IS AN APPEAL FILED BY REVENUE DIRECTED AGAINST ORDER DATED 11/3/2013 OF CIT (A) , MYSORE, F OR ASSESSMENT YEAR 2008 - 09. 02. WHEN THE APPE AL WAS TAKEN UP FOR HEARING , LD. COUNSEL FOR THE ASSESSEE POINTED OUT TO THE LD. DR THAT TAX EFFECT INVOLVED IN THIS APPEAL WAS LESS THAN RS.10 LAKHS FOR THE IMPUGNED ITA NO . 1120/BAN G/201 3 PAGE 2 ASSESSMENT YEAR AND BY VIRTUE OF CIRCULAR NO.21/2015, DT.10.12.2015, WAS BELOW THE LIMITS LAID DOWN FOR FILING APPEALS BEFORE THIS TRIBUNAL. 03. LD. DR SUBMITTED THAT PARA 8 OF THE CIRCULAR WAS NOT APPLICABLE IN THIS CASE. THEREFORE HE DID NOT OBJECT TO THE APPLICATION OF THE CIRCULAR. 04. WE HAVE PERUSED THE ORDERS AND HEARD THE CONTENTI ONS. PARA 4 OF THE CIRCULAR NO.21/2015 (SUPRA) IS REPRODUCED HEREUNDER : 4. FOR THIS PURPOSE, TAX EFFECT MEANS THE DIFFERENCE BETWEEN THE TAX ON THE TOTAL INCOME ASSESSED AND THE TAX THAT WOULD HAVE BEEN CHARGEABLE HAD SUCH TOTAL INCOME BEEN REDUCED BY THE AMOUNT OF INCOME IN RESPECT OF THE ISSUES AGAINST WHICH APPEAL IS INTENDED TO BE FILED (HEREINAFTER REFERRED TO AS DISPUTED ISSUES ). HOWEVER THE TAX WILL NOT INCLUDE ANY INTEREST THEREON, EXCEPT WHERE CHARGEABILITY OF INTEREST ITSELF IS IN DISPUTE . IN CASE THE CHARGEABILITY OF INTEREST IS THE ISSUE UNDER DISPUTE, THE AMOUNT OF INTEREST SHALL BE THE TAX EFFECT. IN CASES WHERE RETURNED LOSS IS REDUCED OR ASSESSED AS INCOME, THE TAX EFFECT WOULD INCLUDE NOTIONAL TAX ON DISPUTED ADDITIONS. IN CASE O F PENALTY ORDERS, THE TAX EFFECT WILL MEAN QUANTUM OF PENALTY DELETED OR REDUCED IN THE ORDER TO BE APPEALED AGAINST. 05. THE TAX EFFECT ON THE ISSUES THAT IS DISPUTED BY THE REVENUE IS LESS THAN RS.10 LAKHS FOR THE IMPUGNED ASSESSMENT YEAR . CONSTITUTI ONAL VALIDITY OF ANY PROVISIONS OF THE ACT OR RULES NOR THE LEGALITY OR VIRES OF ANY BOARD ORDER, NOTIFICATION, INSTRUCTION OR CIRCULAR WAS AN ISSUE BEFORE THE LOWER AUTHORITIES. REVENUE HAS NOT BROUGHT TO OUR NOTICE ANYTHING TO SHOW THAT THE ITA NO . 1120/BAN G/201 3 PAGE 3 APPEAL AROSE ON AN ISSUE EMANATING FROM ANY REVENUE AUDIT OBJECTIONS ACCEPTED BY THE DEPARTMENT. ADD ITION GIVING RISE TO THE APPEAL DOES NOT RELATE TO ANY UNDISCLOSED FOREIGN ASSETS/ BANK ACCOUNTS. THUS WE FIND THAT THE CIRCULAR NO.21/ 2015 (SUPRA) IS SQUARELY APPLI CABLE IN THIS CASE. HOWEVER IF REVENUE, AT A LATER STAGE FIND THAT APPEAL ARISE OUT OF ISSUES EMANATING FROM AUDIT OBJECTION IT WILL BE FREE TO FILE MP FOR RECALLING THIS ORDER. 06. WITH THE ABOVE OBSERVATIONS APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING I.E. ON 0 7 /01/2016 SD/ - SD/ - ( ABRAHAM P GEORGE ) ( N.V.VASUDEVAN ) ACCOUNTANT MEMBER JUDICIAL MEMBER EKSRINIVASULU COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BA NGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME - TAX APPELLATE T RIBUNAL BANGALORE
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