ITO, New Delhi V. Sh. Jawahar Narang, New Delhi

ITA 1890/DEL/2011

• Counselvise Citation: 189020114 RSA 2011
• Duration Of Justice: 5 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-10-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 12-10-2011
• Assessment Year: 2007-2008
• Appeal Filed On: 18-04-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: Y KAKKAR
• Assessee Lawyers: BARENDRA BEHERA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D NEW DELHI BEFORE SHRI R.P. TOLANI AND HSRI A.N. PAHUJA ITA NO. 1890/DEL/2011 ASSTT. YR: 2007-08 INCOME-TAX OFFICER, VS. JAWAHAR NARANG, WARD-28(1), NEW DELHI. PROP. NARANG MACHIENRY STO RE, C/O D. BHATIA & CO., 25, LAKHANI INSURANCE BUILDING, ASAF ALI ROAD, NEW DELHI-2. PAN/GIR NO. AEPPN8779L (APPELLANT ) ( RESPONDENT ) APPELLANT BY : MS. Y. KAKKAR . DR ASSESSEE BY : SHRI BARENDRA BEHERA CA O R D E R PER R.P. TOLANI, J.M : THIS IS REVENUES APPEAL AGAINST CIOT(A)S ORDER DA TED 7-2-2011 RELATING TO A.Y. 2007-08. SOLE EFFECTIVE GROUND RAI SED IS AS UNDER: ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LE ARNED CIT(A) ERRED IN DELETING THE ADDITION OF RS. 3,46, 000/- OUT OF ADVERTISEMENT AND IN RESTRICTING THE DISALLOWANCE O F RS. 10,78,273/- TO RS. 3,43,324/- WITHOUT AFFORDING AN OPPORTUNITY TO THE ASSESSING OFFICER U/S 46A(3). 2. LEARNED COUNSEL FOR THE ASSESSEE AT THE OUT SET SUBMITTED THAT THE TAX EFFECT INVOLVED IN REVENUES APPEAL IS LESS THAN RS . 3 LACS AND THEREFORE IN VIEW OF CBDT INSTRUCTION, THE DEPARTMENTAL APPEAL I S NOT MAINTAINABLE AND MAY BE REJECTED AS SUCH. 3. LEARNED DR ON THE OTHER HAND, RELIED ON THE ORDE R OF AO. 2 4. WE HAVE HEARD RIVAL SUBMISSIONS AND HAVE GONE TH ROUGH THE MATERIAL AVAILABLE ON RECORD. IT IS NOT DISPUTED THAT THE T AX EFFECT INVOLVED IN REVENUES APPEAL IS LESS THAN RS. 3 LACS. AS PER CB DT INSTRUCTION NO. 1979 DATED 27-3-2000; INSTRUCTION NO. 2 OF 2005 DATED 2 4-10-2005; AND RECENT INSTRUCTION NO. 33/2011[F.NO.279/MISC.-142/2007-ITJ ] DATED 9-2-2011, DEPARTMENTAL APPEALS BEFORE THE ITAT WOULD NOT BE MAINTAINABLE IF THE TAX EFFECT IS BELOW RS. 3 LACS. THUS IN VIEW OF CBDT IN STRUCTIONS, REFERRED TO ABOVE, THE DEPARTMENTAL APPEAL IS NOT MAINTAINABLE. IN ARRIVING AT SUCH CONCLUSION WE ARE ALSO FORTIFIED BY THE RATIO OF DE CISIONS IN THE FOLLOWING CASES: (1) CIT VS. PRADEEP KUMAR GUPTA (2007) 207 CTR (DEL) 11 5; (2) ACIT VS. SATISH CHAND JAIN (2006) 10 SOT 383 (DEL.) ; (3) ACIT VS. DOON VALLEY MOTORS (2006) 10 SOT 525 (DEL. ); (4) JCIT VS. DEV RAJ AGARWAL (2005) 92 TTJ (LUCKNOW) 43 6; (5) ITA NO. 3839/D/04 & C.O. 28/DEL/07 ITO VS. M/ S M.J. WARE HOUSING (P) LTD.& VICE VERSA DATED 31-8-2007. 5. IN THE RESULT, REVENUES APPEAL IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 12-10-2011. SD/- SD/- (A.N. PAHUJA ) ( R.P. TOLANI ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 12-10-2011. MP COPY TO : 1. ASSESSEE 2. AO 3. CIT 4. CIT(A) 5. DR 3