ITO, W-6(1), Ludhiana V. M/s Chabra Land and Housing Pvt. Ltd., Ludhiana

ITA 1560/CHANDI/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 3644 (ITAT-CHANDIGARH)
• Duration Of Justice: 8 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-08-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2005-2006
• Appeal Filed On: 11-12-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH A , CHANDIGARH !' , # $ ! % & ' ( ) , $ BEFORE SMT.DIVA SINGH, JUDICIAL MEMBER AND SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER ./ ITA NOS.1560 & 1561/CHD/2018 / ASSESSMENT YEARS : 2005-06 & 2006-07 THE INCOME TAX OFFICER, WARD-6(1), LUDHIANA. M/S CHABRA LAND & HOUSING PVT. LTD., C/O SMT. PRIYA LEKHI, 116 NASEEB ENCLAVE, NEAR AZAD GAS CO., HAIBOWAL KALAN, LUDHIANA. ./PAN NO: AAACC9128Q /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI HARRY RIKHY, ADV. ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR ./ ITA NO.1078/CHD/2018 / ASSESSMENT YEAR : 2010-11 THE D.C.I.T., CIRCLE-1(EXEMPTION), CHANDIGARH. M/S KAMLA NEHRU COLLEGE FOR WOMEN, PALHI ROAD, PHAGWARA, PUNJAB. ./PAN NO: AAAAK6283E /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI Y.K. SOOD, CA ! / REVENUE BY : SHRI CHANDRAJEET SINGH, CIT DR. ./ ITA NO.5/CHD/2018 / ASSESSMENT YEAR : 2011-12 ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 2 THE D.C.I.T., CENTRAL CIRCLE-I, CHANDIGAH. M/S HANSA TUBES PVT. LTD., 181/25, INDUSTRIAL AREA, PHASE-I, CHANDIGARH. ./PAN NO: AAACH7966H /APPELLANT /RESPONDENT & C.O.NO.11/CHD/2018 IN ./ ITA NO.5/CHD/2018 / ASSESSMENT YEAR : 2011-12 M/S HANSA TUBES PVT. LTD., 181/25, INDUSTRIAL AREA, PHASE-I, CHANDIGARH. THE D.C.I.T., CENTRAL CIRCLE-I, CHANDIGAH. ./PAN NO: AAACH7966H /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI AJAY JAIN, CA. ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR ./ ITA NO.657/CHD/2015 / ASSESSMENT YEAR : 2011-12 THE D.C.I.T., CC-II, LUDHIANA. M/S DILLANO LUXURIOUS JEWELS LTD., HD-7, PITAMPURA, NEW DELHI. ./PAN NO.AADCD2171M /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI SUDHIR SEHGAL, ADV. ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR ./ ITA NO.1410/CHD/2018 / ASSESSMENT YEAR : 2010-11 ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 3 THE INCOME TAX OFFICER, WARD PARWANOO. M/S HILL CREST FOOD, PLOT NO.12A, SECTOR-3, PARWANOO. DISTT. SOLAN. ./PAN NO.AAEFH2773F /APPELLANT /RESPONDENT /ASSESSEE BY : NONE ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR ./ ITA NO.144/CHD/2019 / ASSESSMENT YEAR : 2012-13 THE INCOME TAX OFFICER, WARD-7(1), LUDHIANA. M/S APNA PUNJAB RESORTS LTD., CANAL ROAD, ADJOINING SOUTH CITY, LUDHIANA. ./PAN NO.AAECA3001C /APPELLANT /RESPONDENT & C.O.NO.14/CHD/2019 IN ./ ITA NO.144/CHD/2019 / ASSESSMENT YEAR : 2012-13 M/S APNA PUNJAB RESORTS LTD., CANAL ROAD, ADJOINING SOUTH CITY, LUDHIANA. THE INCOME TAX OFFICER, WARD-7(1), LUDHIANA. ./PAN NO.AAECA3001C /APPELLANT /RESPONDENT /ASSESSEE BY : NONE ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR ./ ITA NO.1171/CHD/2018 / ASSESSMENT YEAR : 2013-14 ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 4 THE A.C.I.T., CIRCLE-3(1), CHANDIGARH. M/S G.S.C.O. INFRASTRUCTURE (P) LTD., SCO-67, SECTOR-20, CHANDIGARH. ./PAN NO: AACCG4392A /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI PARIKSHIT AGGARWAL, CA ! / REVENUE BY : SMT.MEENAKSHI VOHRA, SR.DR I.T.(SS) NO.53/CHD/2005 BLOCK PERIOD ENDING ON 14.9.1999 THE A.C.I.T., YAMUNA NAGAR. M/S SUKHDEV DASS JAGDISH PARSHAD, RAILWAY ROAD, JAGADHRI. . ./PAN NO: ----- /APPELLANT /RESPONDENT & C.O.NO.81/CHD/2005 IN I.T.(SS) NO.53/CHD/2005 BLOCK PERIOD ENDING ON 14.9.1999 M/S SUKHDEV DASS JAGDISH PARSHAD, RAILWAY ROAD, JAGADHRI. THE A.C.I.T., YAMUNA NAGAR. ./PAN NO: ----- /APPELLANT /RESPONDENT I.T.(SS) NO.25/CHD/2005 BLOCK PERIOD ENDING ON 14.9.1999 THE A.C.I.T., YAMUNA NAGAR. M/S SANJAY GARG C/O M/S DWARKA ENTERPRISES, GAURI SHANKAR LINK ROAD, JAGADHRI. ./PAN NO: ----- /APPELLANT /RESPONDENT & ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 5 C.O.NO.64/CHD/2005 IN I.T.(SS) NO.25/CHD/2005 BLOCK PERIOD ENDING ON 14.9.1999 M/S SANJAY GARG C/O M/S DWARKA ENTERPRISES, GAURI SHANKAR LINK ROAD, JAGADHRI. THE A.C.I.T., YAMUNA NAGAR. ./PAN NO: ----- /APPELLANT /RESPONDENT /ASSESSEE BY : SHRI ASHWANI KUMAR, CA. ! / REVENUE BY : SHRI CHANDRAJEET SINGH, CIT DR ' # $ /DATE OF HEARING : 20.08.2019 %&'( $ /DATE OF PRONOUNCEMENT: 27.08.2019 /ORDER PER ANNAPURNA GUPTA, ACCOUNTANT MEMBER : THE ABOVE APPEALS PERTAINING TO DIFFERENT ASSESSEES HAVE BEEN PREFERRED BY THE REVENUE CHALLENGING THE ORDER PASSED BY THE CIT(A) AND THE TAX EFFECT INVOLVED IN ALL THE APPEALS DOES NOT EXCEED RS.50 LACS. THE ABOVE APPEA LS HAVE BEEN FIXED FOR HEARING BEFORE US ON ACCOUNT OF THE ENHANCEMENT IN THE MONETARY LIMIT FOR FILING THE AP PEALS BY THE DEPARTMENT TO RS.50 LACS BY THE CBDT VIDE ITS C IRCULAR NO.17/2019. THE CROSS OBJECTIONS, IT WAS POINTED OU T WERE BROADLY IN SUPPORT OF THE ORDER OF THE CIT(A). ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 6 2. BEFORE US, IT WAS POINTED OUT THAT THE CBDT VIDE ITS RECENT CIRCULAR NO.17/2019 DATED 8.8.2019 HAD ENHAN CED THE MONETARY LIMIT FOR FILING THE APPEALS BY THE DE PARTMENT BEFORE THE I.T.A.T. FROM RS.20 LACS TO RS.50 LACS A ND SINCE THE TAX EFFECT INVOLVED IN ALL THE ABOVE APPEALS FE LL WITHIN THIS SPECIFIED LIMIT, THE APPEALS WERE LIABLE TO BE WITHDRAWN BY THE DEPARTMENT AS PER THE SAID CIRCULAR. 3. THE LD. DR FAIRLY ADMITTED THAT THE TAX EFFECT I NVOLVED IN ALL THE ABOVE APPEALS DID NOT EXCEED RS.50 LACS. . 4. WE HAVE HEARD THE PARTIES. WE HAVE ALREADY DEALT WITH THE MODIFICATION MADE BY THE RECENT CBDT CIRCULAR NO.17/2019 IN THE CASE OF ACIT VS. M/S ALCHEMIST LT D. IN ITA NO.1142 & 1143/CHD/2012 DATED 26.12.2019. AFTER GOING THROUGH THE CONTENTS OF CBDT CIRCULAR NO.17/2 019 WE HAVE NOTED THAT IT HAS EFFECTED ENHANCEMENT IN MONE TARY LIMITS FOR FILING THE APPEALS BY THE DEPARTMENT TO RS.50 LACS AND ALSO THE SAID ENHANCEMENT APPLIES TO PENDING AP PEALS ALSO WHEN READ ALONGWITH EARLIER CBDT CIRCULAR NO. 3/2018. OUR FINDINGS IN THAT CASE ARE AS UNDER: 4. WE HAVE CONSIDERED THE CONTENTIONS OF THE PARTIES BEFORE US AND HAVE ALSO GONE THROUGH THE CBDT CIRCULAR NO.17/2019 DATED 8/8/19, AND HAVE NOTED THE ENHANCEMENT IN MONETARY LIMITS FOR FILING APPEAL BY THE DEPARTMENT TO THE ITAT TO RS.50 LACS FROM THE EARLIER LIMIT OF RS. 20 LACS WHICH WAS SPECIFIED VIDE CIRCULAR NO.3/2018.WE ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 7 HAVE ALSO NOTED THAT THE CBDT HAS VIDE THIS CIRCULAR MODIFIED ONLY PARA 3 AND 5 OF ITS EARLIER CIRCULAR NO.3/2018 LEAVING ALL OTHER PARAS INTACT. PARA 13 OF THE EARLIER CIRCULAR DEALT WITH APPLICABILITY OF THE CIRCULAR RETROSPECTIVELY TO PENDING APPEALS ALSO AND READ AS UNDER: 13. THIS CIRCULAR WILL APPLY TO SLPS/APPEALS/ CROS S OBJECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SHALL ALSO APPLY RETROSPECTI VELY TO PENDING SLPS/ APPEALS/CROSS OBJECTIONS/ REFERENC ES. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN P ARA 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. 5. SINCE THIS PARA HAS NOT BEEN MODIFIED BY THE RECENT CIRCULAR, THE ENHANCED MONETARY LIMITS SPECIFIED IN THE RECENT CIRCULAR WILL APPLY TO THE PENDING APPEALS ALSO. IN VIEW OF THE CBDT CIRCULAR NO. 17/2019 (SUPRA) READ ALONGWITH CIRCULAR NO.3/2018,THE PRESENT APPEALS OF THE REVENUE IS DISMISSED DUE TO LOW TAX EFFECT. 5. IN VIEW OF THE CBDT CIRCULAR NO.17/2019 READ ALONGWITH CBDT CIRCULAR NO.3/2018, THE PRESENT APPE ALS OF THE REVENUE STAND DISMISSED AS WITHDRAWN. 6. IT IS, HOWEVER, CLARIFIED THAT THE DISMISSAL OF THE ABOVE APPEAL SHALL NOT BE TAKEN TO BE AFFIRMATION OF THE ORDER OF THE CIT(A) ON MERITS. THE LEGAL ISSUE RAISED BY THE REVENUE IS BEING LEFT OPEN TO BE ADJUDICATED IN AN APPROPRI ATE CASE. 7. AS THE APPEALS FILED BY THE REVENUE ARE FOUND TO BE NON-MAINTAINABLE AND AS THE CROSS OBJECTIONS AROSE ONLY AS A RESULT OF THOSE APPEALS AND MERELY SUPPORT THE OR DER OF THE CIT(A), THE CROSS OBJECTIONS FILED BY THE ASSESSEES ARE ALSO DISMISSED AS INFRUCTUOUS. ITA NOS.1560 ,1561/CHD/2018 & ORS. A.YS 2005-06 & 2006-07 8 8. IN THE RESULT, ALL THE APPEALS FILED BY THE REVE NUE AND CROSS OBJECTIONS FILED BY THE ASSESSEE ARE DISMISSE D. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- !' % & ' ( ) (DIVA SINGH) (ANNAPURNA GUPTA) # $ / JUDICIAL MEMBER + $ / ACCOUNTANT MEMBER %! /DATED: 27 TH AUGUST, 2019 * * &) *+ ,+ / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. ' - / CIT 4. ' - ( )/ THE CIT(A) 5. +./ 0 , $ 0 , 123/4 / DR, ITAT, CHANDIGARH 6. /3 5# / GUARD FILE &) ' / BY ORDER, ! / ASSISTANT REGISTRAR