The DCIT, Circle-9, Surat V. Shri Jivanbhai Bhagwanbhai Patel, Surat

ITA 2196/AHD/2011

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 9593 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 year(s) 5 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-02-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 02-02-2016
• Assessment Year: 1997-1998
• Appeal Filed On: 02-09-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V K SINGH
• 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 MANISH BORAD, ACCOUNTANT MEMBER ./ ITA.NO.2196/AHD/2011 / ASSTT. YEAR: 1997-1998 DCIT, CIR.9 SURAT. VS SHRI JIVANBHAI BHAGWANBHAI PATEL RANGNANAGAR SOCIETY L.H. ROAD, SURAT. ! / (APPELLANT) '# ! / (RESPONDENT) REVENUE BY : SHRI V.K. SINGH, SR.DR ASSESSEE BY : NONE (WS) / DATE OF HEARING : 02/02/2016 / DATE OF PRONOUNCEMENT: 03/02/2016 $%/ O R D E R PER RAJPAL YADAV, JUDICIAL MEMBER: THE REVENUE IS IN APPEAL BEFORE US AGAINST THE ORDE R OF LD.COMMISSIONER INCOME-TAX (APPEALS)-V, SURAT DATED 10.5.2011 PASSED FOR THE ASSTT.YEAR 1997-98 2. THE GRIEVANCE OF THE REVENUE IS THAT THE LD.CIT( A) HAS ERRED IN DELETING THE ADDITION OF RS.20,36,931/- ON ACCOUNT OF 10% O F THE LABOUR WITHOUT APPRECIATING THE FACTS OF THE CASE. ITA NO.2196/AHD/2011 2 3. NONE APPEARED ON BEHALF OF THE ASSESSEE. HOWEVE R, THE LD. COUNSEL FOR THE ASSESSEE FILED WRITTEN SUBMISSIONS ON BEHALF OF THE ASSESSEE STATING THEREIN THAT AS PER APPLICABLE RATE OF TAX FOR THE ASSTT.YE AR 1997-98 THE TAX DEMAND ON THE IMPUGNED ADDITION COMES TO RS.8,14,773/- WHICH IS LESS THAN THE LIMIT OF RS.10.00 LAKHS PRESCRIBED BY CBDT CIRCULAR NO.21/20 15 DATED 10.12.2015 RESTRICTING THE FILILING OF THE APPEAL BEFORE THE T RIBUNAL. THEREFORE, THE APPEAL OF THE REVENUE IS NOT MAINTAKABLE AND SHOULD BE DIS MISSED. THE LD.DR HAS NOT DISPUTED THIS SUBMISSION OF THE ASSESSEE. 4. WE FIND THAT THIS APPEAL WAS PRESENTED ON 30.10. 2012. ON 10.12.2015 THE CBDT HAS ISSUED INSTRUCTIONS BEARING NO. 21/201 5 PROHIBITING ITS SUBORDINATE AUTHORITIES FROM FILING OF THE APPEAL T O 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 I NSTRUCTIONS ARE APPLICABLE ON PENDING APPEALS ALSO. IN THE PRESENT CASE, THE ASSESSED INCOME OF THE ASSESSEE IS OF RS.25,60,896/-. THE ADDITION DELETE D BY THE CIT(A) IS RS.20,36,931/-. THE TAX EFFECT ON DELETION OF THIS TOTAL ADDITION WOULD BE LESS THAN RS.10 LAKHS. THEREFORE, THE PRESENT APPEAL DE SERVES TO BE DISMISSED BEING TREATED TO BE FILED IN VIOLATION OF CBDT INST RUCTIONS. THE CASE DOES NOT FALL WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE INSTRUCTIONS. IT IS FURTHER OBSERVED THAT SINCE, WHILE HEARING THE APPEAL, SUCH FACTORS COULD NOT BE CROSS- VERIFIED, THEREFORE, IN CASE, ON RE-VERIFICATION A T THE END OF THE AO, IT CAME TO THE NOTICE THAT THE TAX EFFECT IS MORE OR IT FALLS WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE INSTRUCTION, THEN THE DEPARTMENT WI LL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALL OF THIS ORDER. SUCH APPLIC ATION SHOULD BE FILED WITHIN ITA NO.2196/AHD/2011 3 FOUR YEARS OF THIS ORDER. IN VIEW OF THE ABOVE, TH E APPEAL OF THE REVENUE IS DISMISSED. 5. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D. ORDER PRONOUNCED IN THE COURT ON 3 RD FEBRUARY, 2016 AT AHMEDABAD. SD/- SD/- ( MANISH BORAD ) ACCOUNTANT MEMBER (RAJPAL YADAV) JUDICIAL MEMBER AHMEDABAD; DATED 03/02/2016