ACIT, New Delhi V. M/s. Interglobe Hotels Pvt. Ltd., New Delhi

ITA 1773/DEL/2017

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 4660 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 8 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-11-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2012-2013
• Appeal Filed On: 24-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S N MEENA
• Keywords: Tax effect; Rule 8D
• Section: 14A

Judgement Text

ACIT VS. INTERGLOBE HOTELS P. LTD./ I.T.A.NO.1773/D EL/2017/A.Y.2012-13 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C NEW DELHI BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER AND MS. SUCHITRA KAMBLE, JUDICIAL MEMBER . . /. I.T.A NO.1773/DEL/2017 / ASSESSMENT YEAR:2012-13 ACIT CIRCLE-12(2), ROOM NO. 420B, C.R. BUILDING, NEW DELHI. VS. M/S INTERGLOBE HOTELS P. LTD. GROUND FLOOR, CENTRAL WING, THAPAR HOUSE, 124, JANPATH, NEW DELHI. APPELLANT / RESPONDENT PAN NO. AABC12732H /REVENUE BY SHRI S.N. MEENA, SR. DR /ASSESSEE BY NONE / DATE OF HEARING: 2 6 .11.2019 /PRONOUNCEMENT ON 2 6 .11.2019 /O R D E R PER N.K. BILLAIYA, A.M. 1. THIS APPEAL FILED BY THE REVENUE AGAINST THE IMP UGNED ORDER DATED 09.01.2017 PASSED BY THE LD. CIT(APPEALS)-4, NEW DE LHI IN RELATION TO ASSESSMENT YEAR 2012-13 ON THE FOLLOWING GROUNDS: 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, LD. CIT(A) HAS ERRED IN DELETING THE DISALLOWA NCE OF RS. 82,30,828/- MADE U/S 14A OF THE INCOME TAX ACT, 1961 READ WITH RULE 8D(2)(II) OF THE INCOME TAX RUL ES, 1962. ACIT VS. INTERGLOBE HOTELS P. LTD./ I.T.A.NO.1773/D EL/2017/A.Y.2012-13 PAGE 2 OF 3 2. THE APPELLANT CRAVES LEAVE FOR RESERVING THE RIGHT TO AMEND, MODIFY, ADD OR FOREGO ANY GROUND(S) OF APPEA L AT ANY TIME BEFORE OR DURING THE HEARING OF APPEAL. 2. WE HAVE HEARD THE LEARNED CIT (D.R.), WHO HAS PO INTED OUT THE TAX EFFECT INVOLVED IN THIS APPEAL, IS BELOW MONETARY L IMIT PRESCRIBED BY THE CBDT. WE FIND THAT THE CBDT VIDE CIRCULAR NO.17/201 9 DATED 8 TH AUGUST 2019 [F.NO.279/ MISC.142/ 2007-ITJ (PT)] BY AMENDIN G PARA 3 OF CBDT CIRCULAR NO.3/2018 DATED 11.07.2018 HAS ENHANCED TH E MONETARY LIMIT FOR FILING OF APPEAL BEFORE TRIBUNAL TO RS.50 LAKHS AND HAS ALSO REMOVED THE ANOMALY IN PARA 5 OF SAID CIRCULAR NO. 3/2018. WE FIND THAT THE PRESENT CASE DOES NOT FALL WITHIN THE EXCEPTIONS CL AUSE 10 OF SAID CBDT CIRCULAR NO. 3/2018. THEREFORE, THE PRESENT APPEAL IS NOT MAINTAINABLE AS PER ABOVE CIRCULAR NO. 17/2019, HENCE DISMISSED. TH IS CIRCULAR IS APPLICABLE TO ALL PENDING APPEALS AS CLARIFIED BY C BDT LETTER DATED 20.08.2019 [F. NO. 279/MISC./M-93/2018-ITJ] AND IN THE LIGHT OF JUDGMENT OF HON`BLE SUPREME COURT IN THE CASE OF PR . CIT, JAIPUR V. MEENAKSHI MODI SLP (CIVIL) DIARY NO. 25076 OF 2019- DATED 16.08.2019 WHEREIN THE HON`BLE SUPREME COURT HAS DISMISSED THE APPEAL OF REVENUE, AS TAX INVOLVED WAS LESS THAN RS. 2 CRORES . HOWEVER, THE REVENUE IS AT LIBERTY TO APPROACH TO THIS TRIBUNAL FOR RECALLING THIS ORDER, IF IT IS COMES TO THE NOTICE OF THE AO THAT THE TAX EFFECT IS MORE THAN THE MONETARY LIMIT PROVIDED UNDER ABOVE CIRCULAR OR THE APPEALS IS FALL WITHIN AMBIT OF THE EXCEPTIONS PROVIDED UNDER THE SAID CIR CULAR. ACIT VS. INTERGLOBE HOTELS P. LTD./ I.T.A.NO.1773/D EL/2017/A.Y.2012-13 PAGE 3 OF 3 3. IN THE RESULT, THE APPEAL OF THE REVENUE IS STAN DS DISMISSED. THE ORDER PRONOUNCED IN THE OPEN COURT ON 26.11.201 9 SD/- SD/- (SUCHITRA KAMBLE) (N.K. BILLAIYA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 26 TH NOVEMBER, 2019 *KAVITA ARORA, SR. PS COPY OF ORDER SENT TO- ASSESSEE/AO/PR. CIT/ CIT (A) / ITAT (DR)/GUARD FILE OF ITAT. BY ORDER ASSISTANT REGISTRAR, ITAT: DELHI BENCHES-DELHI