The Income Tax Officer, Ward-2, Gandhidham V. M/s Surya Cotton Inds., RAJKOT-GUJARAT

ITA 114/RJT/2017

• Counselvise Citation: [2022] 104 COUNSELVISE.COM (IT) 9488 (ITAT-RAJKOT)
• Duration Of Justice: 5 year(s) 5 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-09-2022
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2013-2014
• Appeal Filed On: 12-04-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect; Tax effect
• Section: 268A

Judgement Text

आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरणआयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण, राजकोट 瀈यायपीठ 瀈यायपीठ瀈यायपीठ 瀈यायपीठ, , , , राजकोट IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT (Conducted Through Virtual Court) BEFORE SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER AND SMT.SUCHITRA KAMBLE, JUDICIAL MEMBER ITA No.114/RJT/2017 Assessment Year :2013-14 ITO, Ward-2 Gandhidham. Vs. M/s.Surya Cotton Industries Office No.11/12, Morabia Commercial Complex Plot No.4, Sector 9 Gandhidham. अपीलाथ / (Appellant) यथ /(Respondent) Assessee by : Shri Chetan Agarwal, CA Revenue by : Shri B.D. Gupta, Sr.DR स ु नवाई क तार ख/ Date of Hearing : 28/09/2022 घोषणा क तार ख /Date of Pronouncement: 30/09/2022 आदेश/O R D E R PER SUCHITRA KAMBLE, JUDICIAL MEMBER Present appeal has been filed by the assessee against order passed by the ld. Commissioner of Income-Tax(Appeals)-3, Ahmedabad [hereinafter referred to as “Ld.CIT(A) under section 250of the Income Tax Act, 1961 ("the Act" for short) dated 1.1.2017 pertaining to the Asst.Year 2013-14. 2. At the outset, it is submitted by the ld.counsel for the assessee that tax effect involved on the disputed addition of Rs.89,20,816/- is below Rs.50 lakhs and therefore, the present appeal filed by the Revenue is not maintainable in view of recent CBDT circular no.17 of 2019 prohibiting filing of appeal by the Department before the Tribunal where tax effect is below Rs.50 lakhs. The ld.DR did not dispute applicability of the recent CBDT circular and left to the Tribunal to pass appropriate order in the matter. ITA No.114/RJT/2017 2 3. Admittedly tax effect in both appeals of the Revenue are below Rs.50 lakhs, and therefore, keeping in view the above CBDT circular and provisions of section 268A of the Income Tax Act, we are of the view that the present appeals of the Revenue deserve to be dismissed at the threshold. They are accordingly dismissed. However, it is observed that in case on re-verification at the end of the AO it can be demonstrated that the tax effect on the disputed addition is more, or Revenue’s case falls within the ambit of exceptions provided in the Circular, then the Department will be at liberty to approach the Tribunal for recall of this order. Such application should be filed within the time period prescribed in the Act 4. In the result, the appeal of the Revenue is dismissed due to low tax effect. Order pronounced in the Court on 30 th September, 2022 at Ahmedabad. Sd/- Sd/- (ANNAPURNA GUPTA) ACCOUNTANT MEMBER (SUCHITRA R. KAMBLE) JUDICIAL MEMBER Ahmedabad, dated 30/09/2022