ITO, Dehradun V. Shri Harish Chandra Batra, Dehradun

ITA 188/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 2867 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 09-01-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: KAPIL GOYAL
• Keywords: Retrospective amendment; Tax effect
• Section: 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C , NEW DELHI BEFORE SH. N. K. SAINI, AM AND SH. K. N. CHARY , JM IT A NO. 188/DEL/2015 : ASSTT. YEAR : 2010 - 11 INCOME TAX OFFICER, WARD - 1( 3), DEHRADUN - 248001 VS HARISH CHANDRA BATRA, 158/14, OFFICERS ENCLAVE, KOCHHAR COLONY, RAJPUR ROAD, DEHRADUN - 248001 (APPELLANT) (RESPONDENT) CO NO. 281/DEL/2015 : ASSTT. YEAR : 2010 - 11 HARISH CHANDRA BATRA, 158/14, OFFICERS ENCLAVE, KOCHHAR COLONY, RAJPUR ROAD, DEHRADUN - 248001 VS INCOME TAX OFFICER, WARD - 1(3), DEHRADUN - 248001 (APPELLANT) (RESPONDENT) PAN NO. A JAPB6071D ASSESSEE BY : SH. KAPIL GOYAL, ADV. REVENUE BY : SH. ARUN KUMAR YADAV , SR. DR DATE OF HEARING : 18.12 .201 7 DATE OF PRONOUNCE MENT : 18 .12 .201 7 ORDER PER N. K. SAINI, AM : THE A PPEAL FILED BY THE DEPARTMENT AND CROSS O BJECTION BY THE ASS ESSEE ARE DIRECTED AGAINST THE ORDER DATED 10.10.2014 OF LD. CIT(A) - I , DEHRADUN . 2. DURING THE COURSE OF HEARING, THE LEARNED COUNSEL FOR THE ASSESSEE AT THE VERY OUTSET STATED THAT THE TAX EFFECT IN ITA NO . 188 /DE L/201 5 CO NO. 281 /DEL/201 5 HARISH CHANDRA BATRA 2 THIS APPEAL IS LESS THAN RS.10,00,000/ - , THEREFORE, THE DEPARTMENT OUGHT NOT TO HAVE FILED THIS APPEAL IN VIEW OF THE CIRCULAR ISSUED BY THE CBDT AND THE PROVISIONS CONTAINED IN SECTION 268A OF THE INCOME TAX ACT, 1961 (HEREINAFTER TO BE REFERRED AS THE ACT). 3. ON THE OTHER HAND, THE LD. D.R., ALTHOUGH SUPP ORTED THE ORDER OF THE ASSESSING OFFICER, BUT COULD NOT CONTROVERT THIS FACT THAT TAX EFFECT IN THIS APPEAL IS LESS THAN RS.10,00,000/ - . 4. AFTER CONSIDERING THE SUBMISSIONS OF BOTH THE PARTIES AND THE MATERIAL AVAILABLE ON RECORD, IT IS NOTICED THAT SECT ION 268A HAS BEEN INSERTED BY THE FINANCE ACT, 2008 WITH RETROSPECTIVE EFFECT FROM 01/04/99. THE SAID SECTION 268 OF THE ACT PROVIDES THAT THE BOARD MAY ISSUE INSTRUCTION OR DIRECTIONS TO THE OTHER INCOME - TAX AUTHORITIES FIXING MONETARY LIMITS FOR NOT FILI NG THE APPEALS BEFORE THE APPELLATE TRIBUNAL OR THE COURTS, SAID INSTRUCTIONS/DIRECTIONS ARE BINDING ON THE INCOME TAX AUTHORITIES. 5. IT IS NOTICED THAT THE CBDT HAS ISSUED CIRCULAR NO.21 OF 2015 DATED 10.12.2015, VIDE WHICH IT HAS REVISED THE MONETARY L IMIT TO RS.10,00,000/ - FOR NOT FILING THE APPEAL ITA NO . 188 /DE L/201 5 CO NO. 281 /DEL/201 5 HARISH CHANDRA BATRA 3 BEFORE THE TRIBUNAL. THE RELEVANT PORTION OF THE SAID CIRCULAR READS AS UNDER: .. ... 3. HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONE TARY LIMITS GIVEN HEREUNDER: S. NO APPEALS IN INCOME - TAX MATTER MONETARY LIMIT (IN RS) 1 BEFORE APPELLATE TRIBUNAL 10,00,000/ - 2 BEFORE HIGH COURT 20,00,000/ - 3 BEFORE SUPREME COURT 25,00,000/ - IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MEREL Y BECAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETARY LIMITS PRESCRIBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 9. THE MONETARY LIMITS SPECIFIED IN PARA 3 ABOVE SHALL NOT APPLY TO WRIT MATTERS AND DIRECT TAX MATTERS OTHER THAN INCOME TAX. FILING OF APPEALS IN OTHER DIRECT TAX MATTERS SHALL CONTINUE TO BE GOVERNED BY RELEVANT PROVISIONS OF STATUTE & RULES. FURTHER, FILING OF APPEAL IN CASES OF INCOME TAX, WHERE THE TAX EFFECT IS NOT QUANTIFIABLE OR NOT INVOLVED, SUCH AS THE CASE OF REGISTRATION OF TRUSTS OR INSTITUTIONS UNDER SECTION 12A OF THE IT ACT, 1961, SHALL NOT BE GOVERNED BY THE LIMITS SPECIFIED IN PARA 3 ABOVE AND DECISION TO FILE APPEAL IN SUCH CASES MAY BE TAKEN ON MERITS OF A PARTICU LAR CASE. ITA NO . 188 /DE L/201 5 CO NO. 281 /DEL/201 5 HARISH CHANDRA BATRA 4 10. THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN HIGH COURTS/ TRIBUNALS. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. APPEALS BEFORE THE SUPR EME COURT WILL BE GOVERNED BY THE INSTRUCTIONS ON THIS SUBJECT, OPERATIVE AT THE TIME WHEN SUCH APPEAL WAS FILED. 6. FROM CLAUSE 10 OF THE ABOVE SAID CIRCULAR IT IS CLEAR THAT THESE INSTRUCTIONS ARE APPLICABLE TO THE PENDING APPEALS ALSO AND AS PER CLAU SE 3, THERE IS CLEAR CUT INSTRUCTION TO THE DEPARTMENT TO WITHDRAW OR NOT TO PRESS THE APPEALS FILED BEFORE THE ITAT WHEREIN TAX EFFECT IS LESS THAN RS.10,00,000/ - . THESE INSTRUCTIONS ARE OPERATIVE RETROSPECTIVELY TO THE PENDING APPEALS. 7. KEEPING IN VIE W THE CBDT CIRCULAR NO.21 OF 2015 DATED 10.12.2015 AND ALSO THE PROVISIONS OF SECTION 268A OF INCOME TAX ACT, 1961, WE ARE OF THE VIEW THAT THE REVENUE SHOULD NOT HAVE FILED THE INSTANT APPEAL BEFORE THE TRIBUNAL. 8 . AS REGARDS TO THE CROSS OBJECTION FI L ED BY THE ASSESSEE IS CONCERNED, S INCE WE HAVE ALREADY DISMISSED THE APPEAL OF THE REVENUE AS AFORESAID, ON ACCOUNT OF LOW TAX EFFECT . THEREFORE, THE CROSS OBJECTION FILED BY THE ASSESSEE HAS BECOME INFRUCTUOUS AND DISMISSED . ITA NO . 188 /DE L/201 5 CO NO. 281 /DEL/201 5 HARISH CHANDRA BATRA 5 9 . IN THE RESULT, THE APPEAL OF THE DEPARTMENT AND CROSS OBJECTION OF THE ASSESSEE ARE DISMISSED. ( ORDER PRON OUNCED IN THE COURT ON 18 /12 / 2017 ) S D/ - SD/ - ( K. N. CHARY ) (N. K. SAINI) JUDICIAL MEMBER ACCOUNTANT MEMB ER DATED: 18 /12 /2017 *SUBODH* COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT 4 . CIT(APPEALS) 5 . DR: ITAT ASSISTANT REGISTRAR