Assistant Commissioner of Income-tax, V. M/s. Bhalchandra Prabhakar Patil (HUF),

ITA 1180/PUN/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 0319 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 3 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 29-08-2018
• Assessment Year: 2012-2013
• Appeal Filed On: 01-06-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANJEEV GHEI
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE . , , , BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI VIKAS AWASTHY, JM . / ITA NO . 1180 /P U N/201 6 / ASSESSMENT YEAR : 20 1 2 - 13 THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 1, JALGAON ....... / APPELLANT / V/S. M/S. BHALCHANDRA PRABHAKAR PATIL (HUF), PLOT NO. F - 23, MIDC, JALGAON 425003 PAN : AACHP2472F / RESPONDENT ASSESSEE BY : S MT. DEEPA KHARE REVENUE BY : SHRI SANJEEV GHEI / DATE OF HEARING : 11 - 09 - 201 8 / DATE OF PRONOUNCEMENT : 11 - 09 - 201 8 / ORDER PER VIKAS AWASTHY, JM : TH E APPEAL HAS BEEN FILED BY THE REVENUE AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) - 2, NASHIK DATED 17 - 03 - 2016 FOR THE ASSESSMENT YEAR 20 1 2 - 13. 2 ITA NO . 1180/PUN/2016, A.Y. 2012 - 13 2. SMT. DEEPA KHARE APPEARING ON BEHALF OF THE ASSESSEE SUBMITTED AT THE OUTSET THAT THE APPEAL OF THE REVENUE IS LIABLE TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN TERMS OF RECENT CBDT CIRCULAR NO. 3/2018, DATED 11 - 07 - 2018. THE LD. COUNSEL FURNISHED WOR KING OF TAX EFFECT. AS PER THE CALCULATION SHEET PROVIDED BY THE ASSESSEE , THE TAX EFFECT IS RS.18,72,622/ - INCLUDING SURCHARGE AND CESS. 3. SHRI SANJEEV GHEI REPRESENTING THE DEPARTMENT FAIRLY ADMITTED THAT TAX EFFECT IN THE PRESENT APPEAL BY THE DE PARTMENT IS LESS THAN RS.20 LAKHS. 4. BOTH SIDES HEARD. THE REVENUE IS IN APPEAL AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEAL) IN DELETING THE DISALLOWANCE OF ADDITION MADE ON ACCOUNT OF U NSECURE D LOAN OF RS.65,53,604/ - . THE TAX EFFECT AS PER THE CALCULATION OF ASSESSEE IS RS.18,72,622/ - . THE LD. DR HAS NOT RAISED ANY OBJECTION TO THE CALCULATION FURNISHED BY ASSESSEE. ADMITTEDLY, THE TAX EFFECT INVOLVED IN APPEAL IS LESS THAN THE MONETARY LIMIT PRESCRIBED BY THE RECENT CBDT CIRCULAR FOR FIL ING OF APPEALS BEFORE THE TRIBUNAL BY THE DEPARTMENT. THE CBDT VIDE CIRCULAR NO. 3/2018, DATED 11 - 07 - 2018 HAS RAISED THE MONETARY LIMIT OF TAX EFFECT FOR FILING OF APPEALS BY THE DEPARTMENT BEFORE THE TRIBUNAL TO RS.20 LAKHS. THE CIRCULAR APPLIES TO THE AP PEALS TO BE FILED BY THE DEPARTMENT IN FUTURE AS WELL AS THE APPEALS PENDING BEFORE THE TRIBUNAL. WITHOUT GOING INTO MERIT OF THE ISSUES RAISED IN THE APPEAL, IN VIEW OF THE CBDT CIRCULAR THE PRESENT APPEAL OF THE REVENUE IS DISMISSED ON ACCOUNT OF LOW TAX EFFECT. 3 ITA NO . 1180/PUN/2016, A.Y. 2012 - 13 5. BEFORE PARTING, WE CLARIFY HERE THAT THE REVENUE SHALL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RESTORATION OF APPEAL, WITH THE REQUISITE MATERIAL TO SHOW THAT THE APPEAL IS PROTECTED BY THE EXCEPTIONS PRESCRIBED IN PARA 10 OF THE CIRCULAR (SUPRA). 6. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ON TUESDAY, THE 11 TH DAY OF SEPTEMBER, 2018. SD/ - SD/ - ( . /D. KARUNAKARA RAO ) ( / VIKAS AWASTHY) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE; / DATED : 11 TH SEPTEMBER, 2018 RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 2, NASHIK 4. THE PR. CIT - 2, NASHIK 5. , , , / DR, ITAT, A BENCH, PUNE. 6. / GUARD FILE. / / // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE