A.C.I.T., Cir. 2, Gwalior V. Sh. Mahendra Kumar Jain, Gwalior

ITA 187/AGR/2012

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 94156 (ITAT-AGRA)
• Duration Of Justice: 3 year(s) 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-12-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 04-08-2014
• Assessment Year: 2005-2006
• Appeal Filed On: 11-05-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJARSHI DWIVEDI
• Keywords: Competent authority; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA BENCH, AGRA BEFORE : SHRI S.V. MEHROTRA, ACCOUNTANT MEMBER AND SHRI C. M. GARG, JUDICIAL MEMBER ITA NO. 185 TO 188/AGRA/2012 ASSTT. YEAR : 2003-04 TO 2006-07 A.C.I.T., CIRCLE 2, VS. SHRI MAHENDRA KUMAR JA IN, GWALIOR OPP. BALAJI TRANSPORT COMPANY, DAL BAZAR, LASHKAR, GWALIOR. [PAN:ACGPJ2274B] (APPELLANT) (RESPONDENT) APPELLANT BY : SH. RAJARSHI DWIVEDI, CIT/ DR RESPONDENT BY : SH. RAJENDRA SHARMA, ADVOCATE DATE OF HEARING : 21.12.2015 DATE OF PRONOUNCEMENT : 22.12.2015 ORDER PER C.M. GARG, JUDICIAL MEMBER : THESE APPEALS HAVE BEEN PREFERRED BY REVENUE AG AINST THE ORDERS OF CIT(A), GWALIOR DATED 23.02.2012 RELATING TO THE AS SESSMENT YEARS 2003-04 TO 2006-07. 2. THESE APPEALS HAVE BEEN FIXED FOR HEARING IN VIE W OF RECENT CBDT INSTRUCTION NO. 21/2015 DATED 10.12.2015, REVISING THE MONETARY LIMIT OF RS.10.00 LACS FOR NOT FILING THE APPEAL BEFORE THE TRIBUNAL IN TERMS OF SECTION 268A(1) OF THE INCOME-TAX ACT. 3. THE CBDT IN ITS RECENT CIRCULAR NO. 21/2015 DATE D 10.12.2015 HAS PROVIDED THAT NO DEPARTMENTAL APPEAL SHALL BE FILED BEFORE THE ITAT WHEREIN ITA NO. 185 TO 188/AGRA/2012 2 THE TAX EFFECT INVOLVED IS LESS THAN RS.10 LAKHS. F URTHER, IN PARA 10 OF THE CIRCULAR, IT IS PROVIDED THAT THIS INSTRUCTION WOUL D APPLY RETROSPECTIVELY AND THE PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT O F RS.10 LAKH MAY BE WITHDRAWN/NOT PRESSED. 4. THE LEARNED CIT-DR APPEARING ON BEHALF OF THE RE VENUE BEFORE US, AT THE OUTSET, SUBMITTED THAT APPEAL CAN BE WITHDRAWN ONLY AFTER GETTING THE APPROVAL OF COMPETENT AUTHORITY. HE FURTHER REFERRE D TO PARA 7 OF THE CIRCULAR TO SUBMIT THAT DISMISSAL OF APPEAL, HOWEVER, IN ANY CASE, ON ACCOUNT OF LOW TAX EFFECT SHOULD NOT BE CONSIDERED AS A PRECEDENCE IN THE MATTERS OF SUBSEQUENT YEARS WHERE THE TAX EFFECT IS ABOVE THE MONETARY LI MIT PRESCRIBED BY THIS CIRCULAR AND THE ISSUE SHOULD BE DECIDED ON MERITS. 5. THE LEARNED COUNSEL FOR THE ASSESSEE, ON THE OTH ER HAND, STATED THAT THE CIRCULAR IS SQUARELY APPLICABLE TO THE PRESENT APPE ALS OF THE REVENUE. 6. AFTER CONSIDERING THE SUBMISSIONS OF BOTH THE P ARTIES, WE FIND THAT PRIMA FACIE, THE TAX EFFECT INVOLVED IN THESE APPEA LS BY THE REVENUE IS BELOW RS. 10.00 LACS AND, THEREFORE, WE DEEM IT PROPER TO DISMISS THE APPEALS PARTICULARLY BECAUSE ALL THE PENDING APPEALS ARE CO VERED BY CIRCULAR IN VIEW OF PARA 10 OF THE CIRCULAR. HOWEVER, WE MAY CLARIFY TH AT IF ON RECEIPT OF THIS ORDER, THE ASSESSING OFFICER FINDS THAT THE TAX EFFECT IS ABOVE RS.10 LACS OR IN ANY OTHER MANNER, THE CIRCULAR IS NOT APPLICABLE IN VIE W OF EXCEPTIONS CULLED OUT IN THE CIRCULAR, HE WILL BE AT LIBERTY TO FILE MISCELL ANEOUS APPLICATION FOR RECALLING OF THIS ORDER WHICH THE TRIBUNAL WILL CONSIDER IN A CCORDANCE WITH LAW. WE FURTHER FIND CONSIDERABLE FORCE IN THE CONTENTION O F THE CIT/DR THAT THIS ORDER CANNOT BE CONSIDERED AS AN ACCEPTANCE BY THE REVENU E ON THE ISSUE INVOLVED IN THESE APPEALS AND WILL NOT BE AN ESTOPPEL FOR TH E REVENUE TO TAKE UP THE ITA NO. 185 TO 188/AGRA/2012 3 ISSUES, INVOLVED IN THESE APPEALS, BEFORE ITAT ON M ERITS IF THE TAX EFFECT IN THOSE YEARS IS MORE THAN RS.10 LACS. 7. KEEPING IN VIEW THE ABOVE CIRCULAR AND THE PROVI SIONS OF SECTION 268A OF THE INCOME-TAX ACT, 1961 AND WITHOUT GOING INTO MERITS OF THE CASES, WE DISMISS THE INSTANT APPEALS FILED BY THE REVENUE AS TAX EFFECT IN EACH OF THESE APPEALS IS LESS THAN RS.10.00 LACS. 8. IN THE RESULT, THE APPEALS OF THE REVENUE ARE DI SMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 22.12.2015. SD/- SD/- (S.V. MEHROTRA) (C.M. GARG) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED :22.12.2015 *AKS/- COPY OF ORDER FORWARDED TO: (1) THE APPELLANT (2) THE RESPONDENT (3) COMMISSIONER (4) CIT(A) (5) DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT. REGISTRAR ITA NO. 185 TO 188/AGRA/2012 4 DATE INITIAL 1. DRAFT DICTATED ON 21.12.15 PS 2. DRAFT PLACED BEFORE AUTHOR 22.12.15 PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS PS/PS 6. KEPT FOR PRONOUNCEMENT ON PS 7. FILE SENT TO THE BENCH CLERK PS 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER.