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ITA 1611/KOL/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 8496 (ITAT-KOLKATA)
• Duration Of Justice: 8 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2013-2014
• Appeal Filed On: 26-07-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RADHEY SHYAM
• Assessee Lawyers: ROBIN MAHESWARI ACA
• Keywords: Tax effect; Rule 8D
• Section: 14A

Judgement Text

I.T.A. NO. 1611/KOL/2018 ASSESSMENT YEAR: 2013-2014 M/S. MITTAL TECHNOPACK PVT. LIMITED 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA D BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, VICE-PRESIDENT (KZ) AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER I.T.A. NOS. 1611/KOL/2018 ASSESSMENT YEAR: 2013-2014 DEPUTY COMMISSIONER OF INCOME TAX,...... .........APPELLANT CENTRAL CIRCLE-4(1), KOLKATA, AAYAKAR BHAWAN POORVA,4 TH FLOOR, 110, SHANTI PALLY, KOLKATA-700 107 -VS.- M/S. MITTAL TECHNOPACK PVT. LIMITED,............... ...........................RESPONDENT 14, BENTINCK STREET, 2 ND FLOOR, KOLKATA-700 001 [PAN: AADCM 4589 Q] APPEARANCES BY: SHRI RADHEY SHYAM, CIT (D.R.), FOR THE APPELLANT SHRI ROBIN MAHESWARI, ACA, FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : APRIL 08, 2019 DATE OF PRONOUNCING THE ORDER : APRIL 08, 2019 O R D E R PER SHRI P.M. JAGTAP, VICE-PRESIDENT (KOLKATA ZONE) :- THIS APPEAL IS PREFERRED BY THE REVENUE AGAINST TH E ORDER PASSED BY THE LD. COMMISSIONER OF INCOME TAX (APPEALS)-2, KOL KATA DATED 09.05.2018 ON THE FOLLOWING GROUNDS:- (1) THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) HAS ERRED IN LAW IN DELETING THE DISALLOWANCE OF RS.2,27,698/- MADE BY THE AO U/S 14A READ WITH RULE 8D OF I.T. RULE OF THE I.T. ACT, 1962 WITHOUT CONSIDERING CBDTS CIRCULAR NO. 5 OF 2014 DATED 11.02.2014. (2) THAT ON THE FACTS AND CIRCUMSTANCES OF THE C ASE, THE LD. CIT(A) HAS ERRED IN HOLDING THAT DISALLOWANCE U/S 14A OF THE ACT CANNOT BE MADE IF NO EXEMPTED INCOME IS EITHER RECEIVED OR RECEIVABLE DURING THE PREVIOUS YEAR. I.T.A. NO. 1611/KOL/2018 ASSESSMENT YEAR: 2013-2014 M/S. MITTAL TECHNOPACK PVT. LIMITED 2 2. AS POINTED OUT BY THE LD. COUNSEL FOR THE ASSESS EE, AT THE OUTSET, THE TAX EFFECT INVOLVED IN THIS APPEAL OF THE REVENUE I S LESS THAN THE MONETARY LIMIT OF RS.20,00,000/- FIXED BY THE CBDT VIDE CIRC ULAR NO. 3/2018 DATED 11.07.2018 FOR FILING THE APPEAL BEFORE THE TRIBUNA L AND THIS POSITION CLEARLY EVIDENT FROM THE GROUNDS RAISED BY THE REVE NUE IN THIS APPEAL IS NOT DISPUTED BY THE LD. D.R. SINCE THE SAID CIRCULA R ISSUED BY THE CBDT IS MADE APPLICABLE TO ALL THE PENDING APPEALS ALSO, WE TREAT THIS APPEAL OF THE REVENUE AS NOT MAINTAINABLE ON ACCOUNT OF LOW T AX EFFECT AND DISMISS THE SAME. 3. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON APRIL 08, 201 9. SD/- SD/- (S.S. VISWANETHRA RAVI) (P.M. JAGTAP) JUDICIAL MEMBER VICE -PRESIDENT (KZ) KOLKATA, THE 8 TH DAY OF APRIL, 2019 COPIES TO : (1) DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-4(1), KOLKATA, AAYAKAR BHAWAN POORVA,4 TH FLOOR, 110, SHANTI PALLY, KOLKATA-700 107 (2) M/S. MITTAL TECHNOPACK PVT. LIMITED, 14, BENTINCK STREET, 2 ND FLOOR, KOLKATA-700 001 (3) COMMISSIONER OF INCOME TAX (APPEALS)-2, KOLKAT A, (4) COMMISSIONER OF INCOME TAX- , (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.