The DCIT, Central Circle 2(2), Ahmedabad V. Shri Lalitkumar Gyanchand Gandhi, Ahmedabad

ITA 1510/AHD/2013

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 0766 (ITAT-AHMEDABAD)
• Duration Of Justice: 7 year(s) 6 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-12-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 05-04-2017
• Assessment Year: 2010-2011
• Appeal Filed On: 22-05-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: L P JAIN
• Assessee Lawyers: P B PARMAR
• Keywords: Retrospective amendment; Tax effect
• Section: 268A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH (VIRTUAL COURT) BEFORE: SHRI MAHAVIR PRASAD, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEM BER DEPUTY COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE-2(2), AHMEDABAD (APPELLANT) VS SHRI LALITKUMAR G. GYANCHAND GANDHI, 1, PRERNATIRTH BUNGLOW, SATELLITE, AHMEDABAD PAN: ABBPG0424E (RESPONDENT) REVENUE BY: SHRI L.P. JAIN, SR. D.R. ASSESSEE BY: SHRI P.B. PARMAR, A.R. DATE OF HEARING : 07-12-2020 DATE OF PRONOUNCEMENT : 14-12-2020 /ORDER PER : AMARJIT SINGH, ACCOUNTANT MEMBER:- THIS REVENUES APPEAL FOR A.Y. 2010-11, ARISES FROM ORDER OF THE CIT(A)- III, AHMEDABAD DATED 19-03-2013, IN PROCEEDINGS UN DER SECTION 271AAA OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. 2. IN THIS CASE, REVENUE HAS REQUESTED FOR TRANSFER OF APPEAL FROM AHMEDABAD TO JODHPUR BENCH. HOWEVER, DURING THE COURSE OF AP PELLATE PROCEEDINGS BEFORE US, THE LD. DEPARTMENTAL REPRESENTATIVE HAS AGREED THAT ON ACCOUNT OF LOW TAX EFFECT THERE IS NO NEED TO TRANSFER THIS APPEAL AND SAME M AY BE DISMISSED BECAUSE OF THE LOW TAX EFFECT. ITA NO. 1510/AHD/2013 ASSESSMENT YEAR 2010-11 I.T.A NO. 1510/AHD/2013 A.Y. 2010-11 PAGE NO DEPUTY CIT VS. SHRI LALITKUMAR G. GYANCHAND 2 3. WE FIND THAT THE APPEAL OF THE REVENUE IS PRESEN TED ON 22.5.2013. ON 8.8.2019 THE CBDT HAS ISSUED INSTRUCTIONS BEARING N O. 17 OF 2019 PROHIBITING ITS SUBORDINATE AUTHORITIES FROM FILING OF THE APPEAL T O THE TRIBUNAL AGAINST THE ORDER OF THE CIT(A) WHERE THE TAX EFFECT BY VIRTUE OF THE RELIEF GIVEN BY THE CIT(A) IS LESS THAN RS.50 LAKHS. THE INSTRUCTIONS HAVE BEEN MADE APPLICABLE WITH RETROSPECTIVE EFFECT, MEANING THEREBY, THESE INSTRU CTIONS ARE APPLICABLE ON PENDING APPEALS ALSO. IN THE PRESENT CASE, TAX EFFECT ON THE TOTAL INCOME ASSESSED MINUS THE TAX THAT WOULD HAVE BEEN CHARGEABLE HAD SUCH TO TAL INCOME BEEN REDUCED BY THE AMOUNT OF INCOME IN RESPECT OF THE ISSUE AGAINS T WHICH APPEAL IS FILED, IS LESS THAN RS.50 LAKHS. FURTHER, THE CASE OF THE REVENUE DOES NOT FALL WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE CIRCULAR. THUS, KEEPING IN VIEW THE ABOVE CBDT CIRCULAR AND PROVISIONS OF SECTION 268A OF THE INCO ME TAX ACT, WE ARE OF THE VIEW THAT THE PRESENT 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 MORE OR REVENUES 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. IN V IEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DISMISSED DUE TO LOW TAX EFFECT. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 14-12-2020 SD/- SD/- (MAHAVIR PRASAD) (AMARJIT SINGH) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD : DATED 14/12/2020 I.T.A NO. 1510/AHD/2013 A.Y. 2010-11 PAGE NO DEPUTY CIT VS. SHRI LALITKUMAR G. GYANCHAND 3 / COPY OF ORDER FORWARDED TO:- 1. ASSESSEE 2. REVENUE 3. CONCERNED CIT 4. CIT (A) 5. DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDER/ , / ,