The ITO, ( Intl. Taxn.), Baroda V. Shri Paresh Natvarlal Shah, Baroda

ITA 2290/AHD/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 8243 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 3 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-11-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2008-2009
• Appeal Filed On: 03-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SANKET BAKSHI
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI S. S. GODARA, JUDICIAL MEMB ER) ITA. NO: 2290/AHD/2015 & C.O. NO. 171/AHD/15 (ASSESSMENT YEAR: 2008-09) DEPUTY COMMISSIONER OF INCOME-TAX, INTERNATIONAL TAXATION, BARODA V/S PARESH NATVARLAL SHAH,4, MADHAV PARK SOCIETY, OPP. INDRA COMPLEX, LALBAUG ROAD, BARODA-390004 (APPELLANT) (RESPONDENT) PAN: AIYPS1575L APPELLANT BY : SHRI PRASOON KABRA, SR. D. R. RESPONDENT BY : SHRI SANKET BAKSHI, C.A. ( )/ ORDER DATE OF HEARING : 01-11-201 7 DATE OF PRONOUNCEMENT : 14-11-2017 PER N.K. BILLAIYA, ACCOUNTANT MEMBER 1. THIS APPEAL BY THE REVENUE AND THE CROSS OBJECTION OF THE ASSESSEE ARE DIRECTED AGAINST THE ORDER OF THE LD. CIT(A)-13, AHMEDABAD D ATED 22.05.2015 PERTAINING TO A.Y. 2008-09. ITA NO. 2290/AHD/2015 7 & C.O. NO. 171/A/15 . A.Y. 2008-09 2 2. THE SUM AND SUBSTANCE OF THE GRIEVANCE OF THE REVEN UE IS THAT THE LD. CIT(A) ERRED IN ALLOWING THE CLAIM OF BENEFIT OF SECTION 54EC OF THE ACT WITH RESPECT TO THE CAPITAL GAINS EARNED BY THE ASSESSEE DURING THE YEA R UNDER CONSIDERATION. 3. AT THE VERY OUTSET, THE LD. COUNSEL FOR THE ASSESSE E FURNISHED THE FOLLOWING COMPUTATION OF TAX EFFECT: PARCSH N SHAH COMPUTATION OF TAX EFFECT FOR AY 200 8-09 ITA NO. 2290/A/2015 - DEPARTMENT'S A PPEAL PARTICULARS AMOUNT (RS.) TOTAL INCOME AS PER AO TOTAL INCOME AS PER CIT(A) AMOUNT CONTESTED AS BY THE DEPARTMENT 56,01,050 23,41,050 32,60,000 TAX 20% 6,52,000 EDUCATION AND HIGHER EDUCATION CESS @ 3% 19,560 NET TAX IMPACT 6,71,560 NOTE: THE DEPARTMENT HAS CHALLENGED THE ACTION OF T HE CIT(A) IN DELETING ADDITION MADE BY THE AO FOR CLAIM OF DEDUCTION U/S. 54EC OF THE ACT OF RS.3 2,60,000/-. THE RATE OF TAX ON LONG TERM CAPITAL GA IN IS 20%. 4. A PERUSAL OF THE ABOVE SHOWS THAT THE TAX EFFECT BE ING LESS THAN RS. 10 LACS, THE APPEAL HAS TO BE DISMISSED IN THE LIGHT OF THE CBDT CIRCULAR NO. 21 OF 2015 DATED 10.12.2015. 5. IF THE REVENUE SUBSEQUENTLY FEELS THAT THE APPEAL I S NOT HIT BY THE SAID CIRCULAR OF THE CBDT IT MAY APPROACH THE TRIBUNAL AS PER PROVIS IONS OF THE LAW. ITA NO. 2290/AHD/2015 7 & C.O. NO. 171/A/15 . A.Y. 2008-09 3 6. C.O. WAS NOT PRESSED BY THE LD. COUNSEL AND THE SAM E IS ALSO DISMISSED AS NOT PRESSED. ORDER PRONOUNCED IN OPEN COURT ON 14 - 11- 2 017. SD/- SD/- (S. S. GODARA) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY A CCOUNTANT MEMBER AHMEDABAD: DATED: 14 /11/207 RAJESH COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AH MEDABAD