The Income tax Officer, Ward-4(1)(3), Ahmedabad V. M/s. Shree Siddhi Enertech Ltd., Ahmedabad

ITA 1275/AHD/2017

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 4122 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 8 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-02-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2012-2013
• Appeal Filed On: 25-05-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANTOSH KANNA
• Assessee Lawyers: S N DIVETIA
• Keywords: Tax effect

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL, B BENCH, AHMEDABAD BEFORE SHRI RAJPAL YADAV, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER ITA NO.1275/AHD/2017 / ASSTT. YEAR: 2012-13 ITO, WARD - 4(1)(3) AHMEDABAD. VS. M/S.SHREE SIDDHI ENERTECH LTD. D-1001, GANESH MERIDIAN OPP: AMIRAJ FARM NR.GUJARAT HIGH COURT S.G. HIGHWAY, AHMEDABAD 380 060. PAN : AAOCS 3160 L. ( APPLICANT ) ( RESPONENT ) REVENUE BY : SHRI SANTOSH KANNA, SR.DR ASSESSEE BY : SHRI S.N. DIVETIA, AR / DATE OF HEARING : 14/02/2019 / DATE OF PRONOUNCEMENT: 14/02/2019 +,/ O R D E R PER RAJPAL YADAV, JUDICIAL MEMBER: REVENUE IS IN APPEAL BEFORE THE TRIBUNAL AGAINST OR DER OF LD.CIT(A)-8, AHMEDABAD DATED 2.3.2017 PASSED FOR THE ASSTT.YEAR 2012-13, WHEREBY THE LD.CIT(A) HAS DIRECTED THE AO NOT TO TREAT INTEREST OF RS.67,29,498/- ON FIXED DEPOSITS AS INCOME FROM OTHER SOURCES. 2. THE LD. COUNSEL FOR THE ASSESSEE AT THE OUTSET S UBMITTED THAT THE APPEAL OF THE REVENUE DESERVES TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT INVOLVED IN IT. HE SUBMITTED THAT THE TAX EFFECT ON THE DIS PUTED INTEREST INCOME OF RS.67,29,498/- IS BELOW RS.20 LAKHS, AND THEREFORE, BY VIRTUE OF THE CBDT INSTRUCTION BEARING NO.3 OF 2018 DATED 11.08.2018, THE REVENUE IS PROHIBITED FROM FILING APPEAL BEFORE THE TRIBUNAL THEREFORE, T HE PRESENT APPEAL IS NOT ITA NO.1275/AHD/2017 2 MAINTAINABLE AT THE THRESHOLD. THE LD.DR HAS NOT D ISPUTED APPLICABILITY OF ABOVE CIRCULAR CITED BY THE LD.COUNSEL FOR THE ASSE SSEE, AND HAS NOT POINTED OUT WHETHER THE CASE OF THE REVENUE FALL WITHIN THE AMB IT OF EXCEPTIONS PROVIDED IN THE CIRCULAR OR NOT. THUS, KEEPING IN VIEW THE ABOVE CBDT CIRCULAR, WHICH IS APPLICABLE TO PENDING APPEALS ALSO, AND PROVISIO NS OF SECTION 268A OF THE INCOME TAX ACT, WE ARE OF THE VIEW THAT THE APPEAL OF THE REVENUE DESERVES TO BE DISMISSED. IT IS ACCORDINGLY DISMISSED. HOWEVER, IT IS OBSERVED THAT IN CASE ON RE-VERIFICA TION AT THE END OF THE AO IT COMES TO THE NOTICE THAT THE TAX EFFECT IS MO RE OR REVENUES CASE FALLS WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE CIRC ULAR, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR REC ALL OF THIS ORDER. SUCH APPLICATION SHOULD BE FILED WITHIN THE TIME PERIOD PRESCRIBED IN THE ACT. 5. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D DUE TO LOW TAX EFFECT. ORDER PRONOUNCED IN THE COURT ON 14 TH FEBRUARY, 2019 AT AHMEDABAD. S D / - (AMARJIT SINGH) ACCOUNTANT MEMBER S D / - (RAJPAL YADAV) JUDICIAL MEMBER AHMEDABAD; DATED 14/02/2019