The ITO, Ward-4, Unjha, Patan V. The Agriculture Development Co.Op.Credit Society Ltd., Siddhpur

ITA 1670/AHD/2019

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 4373 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 10 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-10-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Appeal Filed On: 11-11-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S S SHUKLA
• Assessee Lawyers: H V DOSHI
• Keywords: Tax effect
• Section: 268A

Judgement Text

- , - IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH A BEFORE SHRI RAJPAL YADAV, VICE-PRESIDENT AND SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER ITA NO.1669 AND 1670/AHD/2019 / ASSTT.YEAR : 2014-15 AND 2013-14 ITO, WARD - 4 , UNJHA PATAN. VS. THE AGRICULTURE DEVELOPMENT CO - OP CREDIT SOCIETY LTD. ZAPALI POLE SIDDHPUR PAN : AAAAA 1055 C ( APPLICANT ) ( RESPONENT ) REVENUE BY : SHRI S.S. SHUKLA, SR.DR ASSESSEE BY : SHRI H.V. DOSHI, AR / DATE OF HEARING : 29/09/2021 ! / DATE OF PRONOUNCEMENT: 04/10/2021 / O R D E R PER RAJPAL YADAV, VICE-PRESIDENT THE ABOVE TWO APPEALS OF THE REVENUE ARE DIRECTED A GAINST ORDERS OF THE LD.CIT(A), GANDHINAGAR, AHMEDABAD OF EVEN DA TED I.E. 19.9.2019 PASSED FOR THE ABOVE TWO ASSESSMENT YEARS. 2. IN THIS APPEAL, THE GRIEVANCE OF THE REVENUE IS THAT THE LD.CIT(A) HAS ERRED IN DELETING RS.1,96,745/- OUT OF RS.39,34 ,892/- FOR THE ASSTT.YEAR 2014-15 AND RS.2,35,224/- OUT OF RS.47,0 4,485/- FOR THE ASSTT.YEAR 2013-14 IN RESPECT OF INTEREST INCOME EA RNED FROM FIXED DEPOSITS WITH THE NATIONALIZED BANK. 3. AT THE OUTSET, IT IS NOTICED BY THE BENCH THAT I N FORM NO.36, IN GROUND OF APPEAL AT SR.NO.10, THE DEPARTMENT HAS ME NTIONED TOTAL TAX EFFECT ON THE DISPUTED DISALLOWANCE FOR THE ASSTT.Y EAR 2013-14 IS AROUND RS.6,43,050/- AND RS.9,50,392/- FOR THE ASSTT.YEAR 2014-15 TAX EFFECT, AND THEREFORE, A QUERY WAS PUT TO THE LD.DR ABOUT M AINTAINABILITY OF ITA NO.1669 AND 1670/AHD/2019 2 APPEALS OF THE REVENUE BEFORE THE TRIBUNAL IN VIEW OF RECENT CBDT CIRCULAR NO.17 OF 2019 PROHIBITING FILING OF APPEAL BY THE DEPARTMENT BEFORE THE TRIBUNAL WHERE TAX EFFECT IS BELOW RS.50 LAKHS. THE LD.DR DID NOT DISPUTE APPLICABILITY OF THE RECENT CBDT CI RCULAR AND LEFT TO THE TRIBUNAL TO PASS APPROPRIATE ORDER IN THE MATTER. 4. ADMITTEDLY TAX EFFECT IN BOTH APPEALS OF THE REV ENUE ARE BELOW RS.50 LAKHS, AND THEREFORE, KEEPING IN VIEW THE ABO VE CBDT CIRCULAR AND PROVISIONS OF SECTION 268A OF THE INCOME TAX AC T, WE ARE OF THE VIEW THAT THE PRESENT APPEALS OF THE REVENUE DESERV E TO BE DISMISSED AT THE THRESHOLD. THEY ARE ACCORDINGLY DISMISSED. HOWEVER, IT IS OBSERVED THAT IN CASE ON RE-VERIFICA TION AT THE END OF THE AO IT CAN BE DEMONSTRATED THAT THE TAX EFFECT O N THE DISPUTED ADDITION IS MORE, OR REVENUES CASE FALLS WITHIN TH E AMBIT OF EXCEPTIONS PROVIDED IN THE CIRCULAR, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALL OF THIS ORDER. SU CH APPLICATION SHOULD BE FILED WITHIN THE TIME PERIOD PRESCRIBED IN THE A CT 5. IN THE RESULT, APPEALS OF THE REVENUE ARE DISMIS SED DUE TO LOW TAX EFFECT. ORDER PRONOUNCED IN THE COURT ON 4 TH OCTOBER, 2021 AT AHMEDABAD. S D / - ( PRADIP KUMAR KEDIA ) ACCOUNTANT MEMBER S D / - (RAJPAL YADAV) VICE-PRESIDENT AHMEDABAD; DATED 04/10/2021