Depurty Commission of Income Tax circle-3, Nagpur V. M/s P.N. Dewalkar constructions , Nagpur

ITA 200/NAG/2019

AI Insights

The case involves appeals by the Revenue against the orders of the Commissioner of Income Tax (Appeals)-2, Nagpur, concerning the assessment years 2009-10 and 2011-12. The appeals were dismissed based on the monetary limit set by the CBDT Circular No.17/2019, which aims to reduce tax litigation by not allowing appeals where the tax effect is below Rs. 50 lakhs. The court acknowledged that the tax effect in these cases was below the threshold and thus, the appeals were not maintainable under the circular's guidelines.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136692 (ITAT-NAGPUR)
• Duration Of Justice: 4 year(s) 1 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-10-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 26-09-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 22-08-2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJAT SINGHAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR BENCH, NAGPUR – VIRTUAL COURT BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER आयकर अपील सं. / ITA Nos.199 & 200/NAG/2019 िनधाᭅरण वषᭅ / Assessment Years : 2009-10 & 2011-12 DCIT, Circle-3, Nagpur. Vs. M/s. P. N. Dewalkar Constructions, Rahate Layout, Parsodi, At Post- Umrer, Dist. Nagpur- 441203. PAN : AAIFP2700L Appellant Respondent आदेश / ORDER PER INTURI RAMA RAO, AM: These are the appeals filed by the Revenue directed against the separate orders of ld. Commissioner of Income Tax (Appeals)- 2, Nagpur [‘the CIT(A)’] dated 03.05.2019 for the assessment years 2009-10 and 2011-12 respectively. 2. It is stated before us that the tax effect in these appeals is less than Rs.50 lakhs and therefore, the Circular No.17/2019 dated Revenue by : Shri Rajat Singhal Assessee by : Shri Mukesh Agrawal Date of hearing : 27.09.2023 Date of pronouncement : 13.10.2023 ITA Nos.199 & 200/NAG/2019 2 08.08.2019 issued by the Central Board of Direct Taxes (CBDT) in exercise of its power vested under Sec.268A(1) of the IT Act comes into play wherein, the monetary limit for filing the appeal by the Revenue before the ITAT and various High Courts as well as Apex Court are revised with an object of reducing the tax litigation. Vide para 3 of the said circular (supra) it is stated that in cases where the tax effect in the appeals to be filed before the Appellate Tribunal does not exceed Rs.50 lakhs appeals should not be filed. Thus, taking a note of CBDT Circular No.17/2019, dated 08.08.2019 and considering the fact that the tax effect in these appeals is less than Rs.50 lakhs, these appeals deserve to be dismissed as not pressed / not maintainable. However, we make it clear that the issues raised in these appeals are left open to be examined in the appropriate proceedings, if arises, in future. At the same time, we also make it clear that if these appeals fall in any of the exceptions referred to in the above said CBDT Circular, the Revenue is at liberty to move an application for recalling the order if so advised. Accordingly, in the light of CBDT Circular No.17/2019 dated 08/08/2019, these appeals filed by the Revenue stand dismissed. ITA Nos.199 & 200/NAG/2019 3 3. In the result, both the above appeals filed by the Revenue stand dismissed. Order pronounced on this 13 th day of October, 2023. Sd/- Sd/- (PARTHA SARATHI CHAUDHURY) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 13 th October, 2023. Sujeet आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A)-2, Nagpur. 4. The Pr. CIT-2, Nagpur. 5. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, नागपुर / DR, ITAT, Nagpur. 6. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.