The ACIT, Circle-4, Baroda V. Shri Vishal R. Agrawal, Baroda

ITA 2032/AHD/2014

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 5688 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-07-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2008-2009
• Appeal Filed On: 07-07-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD A BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI S. S. GODARA, JUDICIAL MEMBER) ITA. NO: 2032/AHD/2014 (ASSESSMENT YEAR: 2008-09) ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-4, BARODA V/S SHRI VISHAL R. AGRAWAL, 61, ALKAPURI SOCIETY, ALKAPURI, BARODA-390005 (APPELLANT) (RESPONDENT) PAN: ABLPA2034L APPELLANT BY : SHRI K. MADHUSUDAN, SR. D .R. RESPONDENT BY : NONE ( )/ ORDER DATE OF HEARING : 25 -07-201 7 DATE OF PRONOUNCEMENT : 27-07-2017 PER N.K. BILLAIYA, ACCOUNTANT MEMBER: 1. WITH THIS APPEAL, THE REVENUE HAS CHALLENGED THE CO RRECTNESS OF THE ORDER OF THE LD. CIT(A)-III, BARODA DATED 28.04.2014 PERTAIN ING TO A.Y. 2008-09. ITA NO . 203 2/AHD/2014 . A.Y. 2008-0 9 2 2. THE GRIEVANCE OF THE REVENUE READS AS UNDER:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND IN LAW THE LD CIT (A) ERRED IN DIRECTING THE AO TO TAX LONG TERM CAPITAL GAIN @10% AS PROVIDED IN PROVISO BELOW CLAUSE (D) OF SUB SECTION (1) OF SECT ION 112 OF THE ACT INSTEAD OF 20% AS APPLIED BY THE AO WITHOUT APPRECIATING THE F ACT THAT THE ASSESSEE BEING AN INDIVIDUAL FALLS UNDER THE PURVIEW OF CLAU SE (A) SUB SECTION (1) OF SECTION 112 OF THE ACT WHEREIN THE PROVISO INSERTED BELOW CLAUSE (A) OF SUB SECTION (1) OF SECTION 112 PROVIDES FOR TAX RATE @2 0% ON LONG TERM CAPITAL GAIN. 3. WE FIND THAT THE AMOUNT OF TAX DEMANDED AS IT STOOD BEFORE THE FIRST APPELLATE AUTHORITY WAS RS. 1418885/-. A PERUSAL OF THE GRIEV ANCE OF THE REVENUE SHOWS THAT THE DISPUTE IS WHETHER THE TAX SHOULD BE LEVIE D @ 10% OR 20%. THE LD. CIT(A) HAS HELD THAT THE TAX SHOULD BE LEVIED @ 10% . CONSIDERING THE REVENUE INVOLVED IN THE LITIGATION, IN OUR CONSIDERED OPINI ON, THIS APPEAL OF THE REVENUE HAS TO BE DISMISSED IN THE LIGHT OF THE CBDT CIRCUL AR NO. 21 OF 2015 DATED 10.12.2015. 4. HOWEVER, IF THE REVENUE FEELS THAT THE TAX EFFECT I S GREATER THAN RS. 10 LAKHS THEN IT MAY APPROACH THE TRIBUNAL AS PER THE PROVIS IONS OF THE LAW. 5. AS OF NOW, THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 27 - 07- 20 17 SD/- SD/- (S. S. GODARA) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY ACCOUNTANT MEMBER AHMEDABAD: DATED 27 /07/2017