DCIT 11(2)(1), MUMBAI V. SITEL INDIA P.LTD, MUMBAI

ITA 1546/MUM/2016

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 7115 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 1 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: K
• Assessment Year: 2011-2012
• Appeal Filed On: 18-03-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANISH KUMAR SINGH
• Assessee Lawyers: M P LOHIYA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH J MUMBAI BEFORE SHRI SAKTIJIT DEY (JUDICIAL MEMBER) AND SHRI N.K. PRADHAN (ACCOUNTANT MEMBER) ITA NO. 1546/MUM/2016 ASSESSMENT YEAR: 2011 - 12 DY. COMMISSIONER OF INCOME TAX - 11(2)(1), ROOM NO. 417, AAYAKARBHAVAN, M.K. MARG, MUMBAI - 400020. VS. M/S SITEL INDIA PVT. LTD., BOOMERANG UNIT NO. 501, WING - A&B, 5 TH FLOOR, CHANDIVAL I STUDIO, ANDHERI (E), MUMBAI . PAN NO. AACCC0408M APPELLANT RESPONDENT REVENUE BY : MR. MANISH KUMAR SINGH, DR ASSESSEE BY : MR. M.P. LOHIYA & MR. NIKHIL TIWARI , AR S DATE OF HEARING : 04 /0 2 /2019 DATE OF PRONOUNCEMENT: 30/04/2019 ORDER PER N.K. PRADHAN, A.M. THE CENTRAL BOARD OF DIRECT TAXES (CBDT) VIDE CIRCULAR NO. 3/2018 DATED 11.07.2018 HAS SPECIFIED THAT APPEALS SHALL NOT BE FILED BEFORE THE INCOME TAX APPELLATE TRIBUNAL (ITAT) IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMIT OF RS.20,00,00 0/ - . FOR THIS PURCHASE, TAX EFFECT MEANS THE DIFFERENCE BETWEEN THE TAX ON THE TOTAL INCOME ASSESSED AND THE TAX THAT WOULD HAVE BEEN CHARGEABLE HAD SUCH TOTAL INCOME BEEN REDUCED BY THE AMOUNT OF INCOME IN RESPECT OF ISSUES M/S SITEL INDIA PVT. LTD. ITA NO. 1546/MUM/2016 2 AGAINST WHICH APPEAL IS INTEN DED TO BE FILED. FURTHER, TAX EFFECT SHALL BE TAXES INCLUDING APPLICABLE SURCHARGE AND CESS. HOWEVER, THE TAX WILL NOT INCLUDE ANY INTEREST THEREON, EXCEPT WHERE CHARGEABILITY OF INTEREST ITSELF IS IN DISPUTE. IN CASE THE CHARGEABILITY OF INTEREST IS THE ISSUE UNDER DISPUTE, THE AMOUNT OF INTEREST SHALL BE THE TAX EFFECT. IN CASES WHERE RETURNED LOSS IS REDUCED OR ASSESSED AS INCOME, THE TAX EFFECT WOULD INCLUDE NOTIONAL TAX ON DISPUTED ADDITIONS. IN CASE OF PENALTY ORDER, THE TAX EFFECT WILL MEAN QUANTUM OF PENALTY DELETED OR REDUCED IN THE ORDER TO BE APPEALED AGAINST. 2. IN THE CAPTIONED APPEAL, THE TAX EFFECT, IF THE DEPARTMENT APPEAL ALLOWED IS RS.1,88,758/ - . THIS IS AS PER THE COMPUTATION SHEET FILED BY THE LD. COUNSEL OF THE ASSESSEE, WHICH IS NOT OBJECTED BY THE LD. DR. AT PARA 13 OF THE ABOVE CIRCULAR, IT HAS BEEN MENTIONED THAT: 13. THIS CIRCULAR WILL APPLY TO SLPS/APPEALS/CROSS OBJECTION/REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SHALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/APPEALS/CROSS OBJECTIONS/REFERENCES. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/NOT PRESSED. 3. IN VIEW OF THE ABOVE, THE PRESENT APPEAL FILED BY THE REVENUE, INVOLVING TAX EFFECT OF LESS THAN RS.20,00,000/ - IS DI SMISSED AS WITHDRAWN. ORDER PRONOUNCED IN THE OPEN COURT ON 30/04/2019. SD/ - SD/ - ( SAKTIJIT DEY ) (N.K. PRADHAN) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; M/S SITEL INDIA PVT. LTD. ITA NO. 1546/MUM/2016 3 DATED: 30/04/2019 RAHUL SHARMA, SR. P.S. COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A) - 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE . BY ORDER, //TRUE COPY// ( SR. PRIVATE SECRETARY ) ITAT, MUMBAI