Deputy Commissioner of Income-tax, Circle - 1(1), Pune V. M/s. Avakash Holdings Pvt.Ltd, Pune

ITA 2120/PUN/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 3590 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 5 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-03-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 11-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S P WALIMBE
• Keywords: Tax effect
• Section: 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, PUNE BEFORE SHRI D. KARUNAKARA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, J UDICIAL MEMBER . / I TA NO. 2 120 /PUN/201 7 / ASSE SSMENT YEAR : 20 1 4 - 1 5 THE DY. COMMISSIONER OF INCOME - TAX, CIRCLE 1 (1), PUNE . ....... / APPELLANT / V/S. M/S. AVAKASH HOLDINGS PVT. LTD., 212/2, SOLI POONAWALLA ROAD, HADAPSAR, PUNE 411028 PAN : A ABCA5794R / RESPONDENT REVENUE BY : SHRI S.P. WALIMBE A SSESSEE BY : SHRI NIKHIL PATHAK / DATE OF HEARING : 04 . 0 3 .20 20 / DATE OF PRONOUNCEMENT : 04 . 0 3.2020 / ORDER PER D. KARUNAKARA RAO , AM: THIS APPEAL IS FILED BY THE REVENUE AGAINST THE ORDER OF THE CIT(A), PUNE - 1, DATED 29 . 0 6 .201 7 FOR THE ASSESSMENT YEAR 20 1 4 - 1 5 . 2. BEFORE US, AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE APPEAL OF THE REVENUE IS LIABLE TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN TERMS OF LATEST CBDT CIRCULAR NO. 17 /201 9 [F.NO.279/MISC.142/2007 - ITJ (PT)] DATED 08 TH AUGUST , 201 9 READ WITH 2 ITA NO. 2 120 /PUN/201 7 M/S. AVAKASH HOLD INGS PVT. LTD. CIRCULAR NO.3 OF 2018 DATED 11.07.2018 . THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE REVENUE IN APPEAL RAISED GROUNDS ASSAILING THE FINDINGS OF CIT(A) IN DELETING THE ADDITION S. THUS, THE TAX EFFECT ON THE SAID ADDITIONS IS LESS TH A N RS.50 LAKHS. 3. THE LD. DR FOR THE REVENUE FAIRLY ADMITTED THAT IN THE PRESENT APPEAL BY THE REVENUE THE TAX EFFECT IS LESS THAN RS.50 LAKHS. 4. BOTH SIDES HEARD. THE REVENUE IS IN APPEAL AGAINST THE ORDER OF CIT(A) IN DELETING THE ADDITIONS. UNDISPUTEDLY, THE TAX EFFECT INVOLVED IN APPEAL IS LESS THAN THE MONETARY LIMIT PRESCRIBED BY THE RECENT CBDT CIRCULAR NO.17/2019 [F.NO.2 79/MISC.142/2007 - ITJ (PT)] DATED 08 TH AUGUST, 2019 READ WITH CIRCULAR NO.3 OF 2018 DATED 11.07.2018 FOR FILING OF APPEALS BEFORE THE TRIBUNAL BY THE DEPARTMENT. THE CBDT VIDE CIRCULAR DATED 08 - 08 - 2019 (SUPRA) HAS AMENDED PARA 3 OF CIRCULAR NO.3 OF 2018 DA TED 11 - 07 - 2018 THEREBY ENHANCING MONETARY LIMIT OF TAX EFFECT FROM RS.20 LAKHS TO RS.50 LAKHS FOR FILING OF APPEALS BY THE DEPARTMENT BEFORE THE TRIBUNAL. THUS, WITHOUT GOING INTO MERIT OF THE ISSUES RAISED IN THE APPEAL, IN VIEW OF THE CBDT CIRCULAR (SUP RA) THE PRESENT APPEAL OF THE REVENUE IS DISMISSED ON ACCOUNT OF LOW TAX EFFECT. 5. BEFORE PARTING, WE CLARIFY HERE THAT THE REVENUE SHALL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RESTORATION OF APPEAL, WITH THE REQUISITE MATERIAL TO SHOW THAT THE APP EAL IS PROTECTED BY THE EXCEPTIONS 3 ITA NO. 2 120 /PUN/201 7 M/S. AVAKASH HOLD INGS PVT. LTD. PRESCRIBED IN PARA 10 OF THE CIRCULAR DATED 11 - 07 - 2018 AND ITS AMENDMENT DATED 20 - 08 - 2018. 6. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRO NOUNCED IN THE OPEN COURT ON 4 TH DAY OF MARCH , 20 20 . SD/ - SD/ - S.S. VISWANETHRA RAVI D. KARUNAKARA RAO JUDICIAL MEMBER ACCOUNTANT MEMBER / PUNE; / DATED : 4 TH MARCH , 2 0 20 . GCVSR / COPY OF THE ORDER FORWARDE D TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. THE CIT(A), PUNE - 1 . 4. THE PR. CIT - 1, PUNE . 5. , , , / DR, ITAT, B BENCH, PUNE. 6. / GUARD FILE. / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE .