Deputy Commissioner of Income-tax, Circle - 2, Sangli V. The Ugar Sugar Works Ltd, Sangli

ITA 2131/PUN/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9158 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-09-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 16-09-2019
• Assessment Year: 2010-2011
• Appeal Filed On: 11-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIJIT HALDAR
• Keywords: Tax effect
• Section: 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE BEFORE SHRI R.S.SYAL, VP AND SHRI PARTHA SARATHI CHAUDHURY , JM . / I TA NO. 2131 /PUN/20 17 / ASSESSMENT YEAR : 2010 - 11 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 2, SANGLI. ....... / APPELLANT / V/S. THE UGAR SUGAR WORKS LTD. MAHAVEER NAGAR, DIST. SANGLI, PIN - 416 416 PAN: AAACT7580R / RESPONDENT A SSESSEE BY : SHRI NIKHIL PATHAK REVENUE BY : SHRI ABHIJIT HALDAR / DATE OF HEARING : 25 .0 9 .2019 / DATE OF PRONOUNCEMENT : 26 .0 9 .2019 / ORDER PER PARTHA SARATHI CHAUDHU RY, JM : THIS APPEAL PREFERRED BY THE REVENUE EMANATES FROM THE ORDER OF THE LD. CIT(APPEAL) - 1, KOLHAPUR DATED 06.07.2017 FOR THE ASSESSMENT YEAR 2010 - 11 AS PER THE GROUNDS OF APPEAL ON RECORD. 2 ITA NO. 2131 /PUN/20 17 A.Y. 2010 - 11 2. THE LD. AR OF THE ASSESSEE SUBMITTE D AT THE OUTSET THAT THE APPEAL OF REVENUE IS LIABLE TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN TERMS OF RECENT CBDT CIRCULAR NO.17/2019 [F NO.279/MISE.142/2007 - ITJ (PT)], DATED 08 - 08 - 2019 READ WITH CIRCULAR NO.3 OF 2018 DATED 11.07.2018 REVISING THE UPWARD MONETARY LIMITS FOR FILING OF APPEALS IN INCOME TAX CASES BEFORE VARIOUS APPELLATE FORUMS. THE EARLIER CBDT CIRCULAR NO.03/2019 DATED 11.07.2018 FIXED MONETARY LIMIT FOR FILING OF APPEALS BEFORE THE TRIBUNAL AT RS.20 LAKHS. SUCH LIMIT HAS BEEN ENHANCED IN THE RECENT CBDT CIRCULAR DATED 08.08.2019 FROM RS.20 LAKHS TO RS. 50 LAKHS. THE LD. AR OF THE ASSESSEE POINTED THAT TAX EFFECT INVOLVED IN TH IS APPEAL IS RS.24,18,614 / - INCLUDING SURCHARGE AND CESS. THUS, THE T AX EFFECT ON THE ADDITION IS LESS THAN RS.50 LAKHS. 3. THE LD. DR FAIRLY ADMI TTED THAT IN THE PRESENT APPEAL BY THE DEPARTMENT TAX EFFECT IS LESS THAN RS.50 LAKHS. 4. BOTH SIDES HEARD. UNDISPUTEDLY, THE TAX EFFECT INVOLVED IN THESE APPEALS IS LESS THAN THE MONETARY LIMIT PRESCRIBED BY THE RECENT CBDT CIRCULAR NO.17/2019 [F NO.279/MISE.142/2007 - ITJ (PT)] DATED 08 - 08 - 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 DAT ED 08.08.2019 (SUPRA.) HAS AMENDED PARA 3 OF CIRCULAR NO.3 OF 2018 DATED 11.07.2018 THEREBY ENHANCING MONETARY LIMIT OF TAX EFFECT FROM RS.20 LAKHS TO RS.50 LAKHS FOR FILING 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 (SUPRA) THE PRESENT APPEAL OF THE REVENUE IS DISMISSED ON ACCOUNT OF LOW TAX EFFECT. 3 ITA NO. 2131 /PUN/20 17 A.Y. 2010 - 11 5. BEFORE PARTING, WE CLARIFY HERE THAT THE REVENUE SHALL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RESTOR ATION OF APPEAL, WITH THE REQUISITE MATERIAL TO SHOW THAT THE APPEAL IS PROTECTED BY THE EXCEPTIONS 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 ON 26 TH DAY OF SEPTEMBER , 201 9 . SD/ - SD/ - R.S.SYAL PARTHA SARATHI CHAUDHURY VICE PRESIDENT JUDICIAL MEMBER / PUNE; / DATED : 26 TH SEPTEMBER , 2019 . SB / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. THE CIT(APPEAL) - 1, KOLHAPUR. 4. THE PR. CIT - 1, KOLHAPUR. 5 . , , , / DR, ITAT, A BENCH, PUNE. 6 . / GUARD FILE. // TRUE COP Y // / BY ORDER, / PRIVATE SECRETARY , / ITAT, PUNE . 4 ITA NO. 2131 /PUN/20 17 A.Y. 2010 - 11 DATE 1 DRAFT DICTATED ON 25 .0 9 .2019 SR.PS/PS 2 DRAFT PLACED BEFORE AUTHOR 26 .0 9 .201 9 SR.PS/PS 3 DRAFT PROPOSED AND PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER AM/JM 5 APPROVED DRAFT COMES TO THE SR. PS/PS SR.PS/PS 6 KEPT FOR PRONOUNCEMENT ON SR.PS/PS 7 DATE OF UPLOADING OF ORDER SR.PS/PS 8 FILE SENT TO BENCH CLERK SR.PS/PS 9 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 10 DATE ON WHICH FILE GOES TO THE A.R 11 DATE OF DISPATCH OF ORDER