Income-tax Officer, V. Shri Manish R. Dhoot, Aurangabad

ITA 1279/PUN/2014

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 5235 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 1 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 23-02-2018
• Assessment Year: 2011-2012
• Appeal Filed On: 12-06-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Deemed dividend; 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 . 1279 /P U N/201 4 / ASSESSMENT YEAR : 20 1 1 - 12 THE INCOME TAX OFFICER, (CENTRAL), AURANGABAD ....... / APPELLANT / V/S. S HRI MANISH R. DHOOT, MANGALAM VISHRAM BAUG COLONY, PADAMPURA, AURANGABAD PAN : AERPD6890E / RESPONDENT ASSESSEE BY : SHRI KISHOR PHADKE REVENUE BY : SHRI AJAY MODI / DATE OF HEARING : 2 6 - 07 - 201 8 / DATE OF PRONOUNCEMENT : 2 6 - 0 7 - 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) , AURANGABAD DATED 28 - 03 - 2014 FOR THE ASSESSMENT YEAR 20 1 1 - 12. 2. SHRI KISHOR PHADKE 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 C IRCULAR NO. 3/2018, 2 ITA NO . 1279/PUN/2014, A.Y. 2011 - 12 DATED 11 - 07 - 2018. THE LD. AR FURNISHED WORKING OF TAX EFFECT INVOLVED IN THE APPEAL. 3. SHRI AJAY MODI REPRESENTING THE DEPARTMENT FAIRLY ADMITTED THAT IN THE PRESENT APPEAL BY THE DEPARTMENT TAX EFFECT IS LESS THAN RS.20 LAKHS. 4. BOTH SIDES HEARD. THE REVENUE IS IN APPEAL AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) IN DELETING THE ADDITION OF RS.44,13,092/ - MADE ON ACCOUNT OF DEEMED DIVIDEND U/S. 2(22) (E) OF THE ACT. UNDISPUTEDLY, THE TAX EFFECT INVOLVED IN APPEAL IS RS.13,63,645/ - , WHICH IS LESS THAN THE MONETARY LIMIT PRESCRIBED BY RECENT CBDT CIRCULAR FOR FILING OF APPEAL S BEFORE THE TRIBUNAL BY THE DEPARTMENT. THE CBDT VIDE C IRCULAR 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 APPEALS TO BE FILED BY THE DEPARTMENT IN FUTURE, AS WELL AS THE APPEALS PENDING BEFORE THE TRIBUNAL. THUS, IN VIEW OF THE CBDT C IRCULAR THE PRESENT APPEAL OF THE REVENUE IS LIABLE TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ON THURSDAY, THE 2 6 TH DAY OF JULY, 2018. SD/ - SD/ - ( . /D. KARUNAKARA RAO ) ( / VIKAS AWASTHY) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE; / DATED : 2 6 TH JU LY , 2018 RK 3 ITA NO . 1279/PUN/2014, A.Y. 2011 - 12 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) , AURANGABAD 4. / THE CIT , CENTRAL, NAGPUR 5. , , , / DR, ITAT, A BENCH, PUNE. 6. / GUARD FILE. / / // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE