DCIT, New Delhi V. M/s. JC Decaux Advertising India Pvt. Ltd., New Delhi

ITA 1315/DEL/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6662 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2010-2011
• Appeal Filed On: 05-03-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Retrospective amendment; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: D: NEW DELHI) BEFORE SHRI N.K BILLAIYA, ACCOUNTANT MEMBER & SHRI KULDIP SINGH, JUDICIAL MEMBER ITA NO:- 1315/DEL/2015 (ASSESSMENT YEAR-2010-11) DCIT, CIRCLE-13(2), NEW DELHI. VS. M/S JC DECAUX ADVERTISING INDIA PVT. LTD., NEW DELHI, 231, PHASE-III, OKHLA INDUSTRIES AREA, NEW DELHI. PAN NO: AABCJ6312Q APPELLANT RESPONDENT REVENUE BY : SH. AMIT JAIN, SR. DR ASSESSEE BY : SH. K.M. GUPTA, ADV. . DATE OF HEARING : 11.07.2018. DATE OF PRONOUNCEMENT : 19/07/2018. ORDER PER: KULDIP SINGH, JM THE APPELLANT, DCIT, CIRCLE-13(2), NEW DELHI (HEREI NAFTER REFERRED TO AS THE REVENUE) BY FILING THE PRESENT APPEAL, SOUGHT TO SET ASIDE THE IMPUGNED ORDER DATED 31.12.2014 PASSED BY LD. CIT(A )-V, NEW DELHI, QUA THE ASSESSMENT YEAR 2010-11. 2 ITA NO.-1315/DEL/2015. M/S JC DECAUX ADVERTISING PVT. LTD. 2. PERUSAL OF THE AFORESAID APPEAL FILED BY THE RE VENUE APPARENTLY SHOW THAT THE SAME IS HAVING LOW TAX EFFECT AS PER CBDT CIRCULAR NO.3/2018 DATED 11 TH JULY, 2018 VIDE WHICH THE REVENUE HAS BEEN DIRECTED NOT TO PREFER ANY APPEAL IN CASE THE TAX E FFECT IS LESS THAN RS.20,00,000/- AND THIS FACTUAL POSITION HAS BEEN F AIRLY CONCEDED BY THE LD. D.R. THE LD. A.R. CONTENDED THAT THE APPEAL OF THE REVENUE MAY BE DISMISSED IN THE LIGHT OF CBDT CIRCULAR (SUPRA). 3. WE HAVE HEARD PARTIES ON THE ISSUE IN CONTROVER SY AND PERUSED THE MATERIAL ON RECORD. PERUSAL OF CBDT CIRCULAR (SUPRA ) SHOWS THAT MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFOR E THE TRIBUNAL, HON'BLE HIGH COURT AND HON'BLE SUPREME COURT HAS BEEN REVIS ED AND THE RELEVANT PORTION OF THE AFORESAID CIRCULAR IS EXTRACTED AS U NDER: SUBJECT: REVISION OF MONETARY LIMITS FOR FILING OF APPEA LS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HIGH C OURTS AND SLPS/APPEALS BEFORE SUPREME COURT-MEASURES FOR R EDUCING LITIGATION-REG. REFERENCE IS INVITED TO BOARDS CIRCULAR NO. 21 OF 2015 DATED 10.12.2015 WHEREIN MONETARY LIMITS AND OTHER CON DITIONS FOR FILING DEPARTMENTAL APPEALS (IN INCOME-TAX MATTERS) BEF ORE INCOME TAX APPELLATE TRIBUNAL, HIGH COURTS AND SLPS/ APPEALS BEFORE SUPREME COURT WERE SPECIFIED. 2. IN SUPERSESSION OF THE ABOVE CIRCULAR, IT HAS BEEN DECIDED BY THE BOARD THAT DEPARTMENTAL APPEALS MAY BE FILED ON MERITS BE FORE INCOME TAX APPELLATE TRIBUNAL AND HIGH COURTS AND SLPS/ APPEALS BEFORE SUPREME COURT KEEPING IN VIEW THE MONETARY LIMITS AND CONDITIONS SPECIFIED BELOW. 3. HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMITS GIVEN HE REUNDER: 3 ITA NO.-1315/DEL/2015. M/S JC DECAUX ADVERTISING PVT. LTD. S. NO. APPEALS/SLPS IN INCOME-TAX MATTERS MONETARY LIMIT (IN RS) 1 BEFORE APPELLATE TRIBUNAL 20,00,000/- 2 BEFORE HIGH COURT 50,00,000/- 3 BEFORE SUPREME COURT 1,00,00,000/- IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MERELY BE CAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETARY LIMITS PRESCR IBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 12. IT IS CLARIFIED THAT THE MONETARY LIMIT OF RS. 20 LAKHS FOR FILING APPEALS BEFORE THE ITAT WOULD APPLY EQUALLY TO CROSS O BJECTIONS UNDER SECTION 253(4) OF THE ACT. CROSS OBJECTIONS BE LOW THIS MONETARY LIMIT, ALREADY FILED, SHOULD BE PURSUED FOR DISMISSA L AS WITHDRAWN/ NOT PRESSED. FILING OF CROSS OBJECTIONS BELO W THE MONETARY LIMIT MAY NOT BE CONSIDERED HENCEFORTH. SIMILARLY, REFERENCES TO HIGH COURTS AND SLPS/ APPEALS BEFORE S UPREME COURT BELOW THE MONETARY LIMIT OF RS. 50 LAKHS AND RS. 1 CRORE RESPECTIVELY SHOULD BE PURSUED FOR DISMISSAL AS WITHDRAWN / NOT PRESSED. REFERENCES BEFORE HIGH COURT AND SLPS/ APPE ALS BELOW THESE LIMITS MAY NOT BE CONSIDERED HENCEFORTH. 13. THIS CIRCULAR WILL APPLY TO SLPS/ APPEALS/ CROSS OBJ ECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL A ND IT SHALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/ APPEALS/ C ROSS OBJECTIONS/REFERENCES. PENDING APPEALS BELOW THE SPEC IFIED TAX LIMITS IN PARE 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. 14. THE ABOVE MAY BE BROUGHT TO THE NOTICE OF ALL CONCE RNED. 15. THIS ISSUES UNDER SECTION 268A OF THE INCOME-TAX ACT 1961 4. THE CONTENTION OF LD. SR. D.R. THAT HE NEEDS SO ME TIME TO PROCURE THE REPORT FROM THE ASSESSING OFFICER TO WORK OUT T HE TAX EFFECT, IS NOT TENABLE BECAUSE WHEN APPARENTLY, THE APPEAL IN QUES TION IS COVERED UNDER CBDT CIRCULAR NO.3/2018 DATED 11 TH JULY, 2018 (SUPRA), THE REVENUE CANNOT IMPORT THE FACTS WITHIN THE KNOWLEDGE OF THE ASSESSING OFFICER TO FURTHER PROLONG THE MATTER. HOWEVER, IN CASE ANY FA CT WHICH IS OTHERWISE 4 ITA NO.-1315/DEL/2015. M/S JC DECAUX ADVERTISING PVT. LTD. NOT ON RECORD, WARRANTS THE RESTORATION OF THE PRES ENT APPEAL, THE REVENUE IS AT LIBERTY TO APPROACH THE TRIBUNAL UNDER RELEVA NT PROVISIONS OF LAW. 5. IN VIEW OF THE CBDT CIRCULAR NO.3/2018 DATED 11 .07.2018 HAVING RETROSPECTIVE EFFECT AND WHAT HAS BEEN DISCUSSED AB OVE, WE ARE OF THE CONSIDERED VIEW THAT THE AFORESAID APPEAL IS NOT MA INTAINABLE BECAUSE OF LOW TAX EFFECT I.E. LESS THAN RS.20,00,000/- HENCE, THE AFORESAID APPEAL FILED BY THE REVENUE IS HEREBY DISMISSED HAVING BEE N BECOME INFRUCTUOUS. 6. IN THE RESULT, APPEAL FILED BY THE REVENUE IS DI SMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 19/7/2018 SD/- SD/- (N.K. BILLAIYA) (KULDIP SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 19.07.2018 POOJA/ COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI 5 ITA NO.-1315/DEL/2015. M/S JC DECAUX ADVERTISING PVT. LTD. DATE OF DICTATION 12/7/2018 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 19/7/2018 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS 19/7/2018 DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT 19/7/2018 DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS 20/7/2018 DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER 6 ITA NO.-1315/DEL/2015. M/S JC DECAUX ADVERTISING PVT. LTD.