ITO, New Delhi V. Sangeeta Rani, Gurgaon

ITA 1893/DEL/2016

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 5081 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-08-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Assessment Year: 2011-2012
• Appeal Filed On: 08-04-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K SAROHA
• Keywords: Business income; Tax effect
• Section: 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES D: DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI B.R.R. KUMAR, ACCOUNTANT MEMBER ITA.NO.1893 & 1894/DEL./2016 ASSESSMENT YEAR 2011-2012 THE INCOME TAX OFFICER, WARD-44(1), ROOM NO.1810, 18 TH FLOOR, CIVIC CENTRE, NEW DELHI. VS., SMT. SANGEETA RANI, H.NO.12, BV MARG, DLF PHASE-II, GURGAON, HARYANA. PAN ADGPR5885B (APPELLANT) (RESPONDENT) FOR REVENUE : SHRI A.K. SAROHA, CIT - D.R. FOR ASSESSEE : SHRI SHAILESH GUPTA, C.A. DATE OF HEARING : 14 .0 8 .2019 DATE OF PRONOUNCEMENT : 19 .0 8 .2019 ORDER PER BHAVNESH SAINI, J.M. BOTH THE APPEALS BY REVENUE HAS BEEN DIRECTED AGAINST THE ORDERS OF THE LD. CIT(A)-15, DELHI, DATED 21.01.2016 AND 22.01.2016, FOR THE A.Y. 2011-2012. 2. IN ITA.NO.1893/DEL./2016 THE A.O. MADE THE ADDITION OF RS.1,14,96,800/- ON ACCOUNT OF SHORT TERM CAPITAL GAINS AND MADE FURTHER ADDITION OF RS.64,461/- ON 2 ITA.NO.300/DEL./2017 M/S. MODI ENTERTAINMENT NETWORK LTD., NEW DELHI. ACCOUNT OF ESTIMATED BUSINESS INCOME. BOTH THESE ADDITIONS HAVE BEEN DELETED BY THE LD. CIT(A). 3. IN ITA.NO.1894/DEL./2016, THE REVENUE CHALLENGED THE CANCELLATION OF PENALTY UNDER SECTION 271(1)(C) OF THE I.T. ACT, 1961, IN A SUM OF RS.35,10,383/-. 4. ADMITTEDLY, THE TAX EFFECT IN THE DEPARTMENTAL APPEALS IS LESS THAN RS.50 LAKHS. VIDE CIRCULAR NO.3/2018 DATED 11 TH JULY, 2018 ISSUED BY CBDT UNDER SECTION 268A OF THE I.T. ACT, IT HAS BEEN DIRECTED THAT THE DEPARTMENT SHALL NOT FILE APPEAL BEFORE THE TRIBUNAL IN CASE WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMIT OF RS.20 LAKHS. IT IS ALSO DIRECTED THAT THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN THE TRIBUNAL. PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT MAY BE WITHDRAWN/NOT PRESSED BY THE DEPARTMENT. THE CBDT VIDE CIRCULAR NO.17/2019 DATED 08.08.2019 AMENDED THE EARLIER CIRCULAR NO.3/2018 (SUPRA) WHEREBY IT HAS BEEN DIRECTED THAT MONETARY LIMIT FOR FILING THE DEPARTMENTAL APPEAL IN INCOME TAX CASES MAY BE ENHANCED FURTHER THROUGH THIS AMENDMENT IN PARA-3 OF THE 3 ITA.NO.300/DEL./2017 M/S. MODI ENTERTAINMENT NETWORK LTD., NEW DELHI. CIRCULAR MENTIONED ABOVE AND ACCORDINGLY, THE MONETARY LIMIT FOR FILING THE APPEAL BEFORE THE APPELLATE TRIBUNAL HAVE BEEN ENHANCED TO RS.50 LAKHS. SINCE CIRCULAR NO.17/2019 DATED 08.08.2019 HAVE BEEN ISSUED TO AMEND ITS EARLIER CIRCULAR NO.3/2018 (SUPRA), THEREFORE, ALL THE CONDITIONS OF EARLIER CIRCULAR NO.3/2018 SHALL APPLY ACCORDINGLY. 5. THE LD. D.R. IN VIEW OF THE ABOVE BOARDS CIRCULARS DID NOT PRESS THE DEPARTMENTAL APPEALS. THE CASES OF THE DEPARTMENT WOULD NOT FALL IN THE EXCEPTIONS PROVIDED IN THE ABOVE BOARD CIRCULARS. IN THE RESULT, THE DEPARTMENTAL APPEALS ARE NOT MAINTAINABLE AS THE APPEALS ARE FILED AGAINST THE BOARD INSTRUCTIONS REFERRED TO ABOVE AND THEREFORE, THE APPEALS OF THE DEPARTMENT ARE LIABLE TO BE DISMISSED. 6. IN THE RESULT, APPEALS OF THE DEPARTMENT ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (B.R.R. KUMAR) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER DELHI, DATED 19 TH AUGUST, 2019 VBP/- 4 ITA.NO.300/DEL./2017 M/S. MODI ENTERTAINMENT NETWORK LTD., NEW DELHI. COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT D BENCH 6. GUARD FILE //BY ORDER// ASST. REGISTRAR : ITAT : DELHI BENCHES : DELHI.