The DCIT, Circle-1, Ahmedabad V. M/s. Bluecoat Pvt.Ltd., Ahmedabad

ITA 2139/AHD/2012

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 9710 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 4 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-02-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 29-01-2016
• Assessment Year: 2008-2009
• Appeal Filed On: 26-09-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJEEP SINGH
• Assessee Lawyers: UKTI PARIKH
• Keywords: Retrospective amendment; Tax effect

Judgement Text

, C IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH, AHMEDABAD BEFORE SHRI RAJPAL YADAV , JUDICIAL MEMBER AND SHRI ANIL CHATURVEDI , ACCOUNTANT MEMBER ./ ITA NO . 2139 / AHD/ 20 1 2 [ [ / ASS TT. YEAR : 20 08 - 20 09 ] DCIT, CIR.1 AHMEDABAD. VS BLUECOAT PVT. LTD. MAHARSHI COMPLEX SARDAR PATEL COLONY P.O. NAVJIVAN, AHMEDABAD 380 014. PAN : AAACB 7703 N. ( APPLICANT ) (RESPONDENT) REVENUE BY : SHRI RAJEEP SINGH, SR.DR ASSESSEE BY : MS. UKTI PARIKH / DATE OF HEARING : 29 / 01 /201 6 / DATE OF PRONOUNCEMENT: 01 / 02 /201 6 / O R D E R PER RAJPAL YADAV, JUDICIAL MEMBER : THE REVENUE IS IN APPEAL BEFORE US AGAINST TH E ORDER OF THE LD.CIT(A) - 6 , AHMEDABAD DATED 6.7.2012 PASSED FOR THE ASSTT.YEAR 2008 - 09. 2. THE GRIEVANCE OF THE REVENUE IS THAT THE LD.CIT(A) HAS ERRED IN ALLOWING DEDUCTION OF EMPLOYEES CONTRIBUTION TO PF/ESIC OF RS.21,302/ - PAID BEFORE DU E DATE OF FILING RETURN AND THAT THE LD.CIT(A) HAS ALSO ITA NO. 2139 /AHD/201 2 2 ERRED IN DELETING THE DISALLOWANCE OF DEDUCTION OF RS.14,70,329/ - UNDER SECTION 80IC OF THE ACT. 3. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE POINTED OUT THAT APPEAL FILED BY THE REVENUE IS HIT BY THE CBDT CIRCULAR NO.21/2015 DATED 10.12.2015, WHEREBY, THE BOARD HAS DIRECTED THE DEPARTMENT NOT TO FILE DEPARTMENTS APPEAL BEFORE THE TRIBUNAL, WHERE THE TAX EFFECT IS BELOW RS.10 LAKHS, AND AS SUCH THE PRE SENT APPEAL OF THE REVENUE IS LIABLE TO BE DISMISSED IN LIM I NE . THE LD.DR, HAS NOT CONTROVERTED TO THE DIRECTIONS OF THE CBDT CONTAINED IN THE ABOVE CIRCULAR. 4. WE FIND THAT THIS APPEAL WAS PRESENTED ON 26 .09.2012. ON 10.12.2015 THE CBDT HAS ISSUED INS TRUCTIONS BEARING NO. 21/2015 PROHIBITING ITS SUBORDINATE AUTHORITIES FROM FILING OF THE APPEAL TO THE TRIBUNAL AGAINST THE ORDER OF THE CIT(A) WHERE THE TAX EFFECT BY VIRTUE OF THE RELIEF GIVEN BY THE CIT(A) IS LESS THAN RS.10 LAKHS. THE INSTRUCTIONS HAVE BEEN MADE APPLICABLE WITH RETROSPECTIVE EFFECT, MEANING THEREBY, THESE INSTRUCTIONS ARE APPLICABLE ON PENDING APPEALS ALSO. IN THE PRESENT CASE, THE ASSESSED INCOME OF THE ASSESSEE IS OF RS. 83,94,890/ - . THE TAX EFFECT ON THE IMPUGNED ADDITIONS IS LESS T HAN RS.10 LAKHS. THE REFORE, THE PRESENT APPEAL DESERVE S TO BE DISMISSED BEING TREATED TO BE FILED IN VIOLATION OF CBDT INSTRUCTIONS. FURTHER, T HE CASE DOES NOT FALL WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE INSTRUCTIONS. IT IS FUR T HER OBSERVED THAT SINCE, WHILE FILING THE APPEAL S , SUCH FACTORS COULD NOT BE CROSS - VERIFIED, T HER E FORE, IN CASE, ON RE - VERIFICATION AT THE E ND OF THE AO, IT CAME TO THE N OTICE THAT THE TAX EFFECT IS MORE OR IT FALLS WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE INSTRUCTIO N, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALL OF THIS ORDER. SUCH APPLICATION SHOULD BE ITA NO. 2139 /AHD/201 2 3 FILED WITHIN FOUR YEARS OF THIS ORDER. IN VIEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DISMISSED. 5 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 1 S T FEBRUARY , 201 6 AT AHMEDABAD. S D / - S D / - ( ANIL CHATURVEDI) ACCOUNTANT MEMBER (RAJPAL YADAV) JUDICIAL MEMBER AHMEDABAD; DATED 0 1 / 02 /201 6 T R U E C O P Y / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , / DR, ITAT, 6. [ / GUARD FILE . / BY ORDER, / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD