ACIT, New Delhi V. M/s Ooms Bitumen Modified Bitumen pvt. Ltd., Gurgaon

ITA 2371/DEL/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9590 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 5 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-10-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2012-2013
• Appeal Filed On: 20-04-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PARAMITA M BISWAS
• Keywords: Tax effect
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: E: NEW DELHI) BEFORE SHRI AMIT SHUKLA, JUDICIAL MEMBER AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT ME MBER ITA NO:- 2371/DEL/2017 (ASSESSMENT YEAR: 2012-13) ASSTT. CIT, CIRCLE - 19(1), NEW DELHI VS M/S OOMS BITUMEN MODIFIED BITUMEN PVT. LTD., UNIT NO. 807, B BLOCK, UNITECH BUSINESS ZONE, NIRVANA COUNTRY, DLF GOLD COURSE EXTENSION ROAD, SECTO-50, GURGAON-122002 PAN-AAACO4150E APPELLANT RESPONDENT APPELLANT BY SMT. PARAMITA M. BISWAS, CIT DR RESPONDENT BY NONE ORDER PER ANADEE NATH MISSHRA, AM [A]. THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAI NST THE ORDER DATED 14.02.2017 PASSED BY LEARNED COMMISSIONER OF INCOME TAX(APPEALS)-11, NEW DELHI [IN SHORT LD.CIT(A)] P ERTAINING TO ASSESSMENT YEAR 2012-13. IN THIS APPEAL, THE TAX E FFECT IS LESS THAN THE MONETARY LIMIT FIXED BY THE CENTRAL BOARD OF DI RECT TAXES (IN SHORT CBDT) IN ITS CIRCULAR NO.17/2009 DATED 08.0 8.2019. THE REVENUE HAS RAISED FOLLOWING GROUND OF APPEAL:- ITA NO: - 2371/DEL/2017 PAGE | 2 I. ON THE FACTS AND UNDER THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) HAS ERRED IN LAW AND THE FACTS IN DE LETING THE DISALLOWANCE OF RS. 1,07,62,793/- MADE BY THE ASSES SING OFFICER ON ACCOUNT OF FOREIGN EXCHANGE LOSS BY IGNO RING THE FACT THAT THE ASSESSEE COMPANY HAS NOT PRODUCED/FILED AN Y CONFIRMATION FROM OOMS AVENHOM HOLDING BC, OOM PROD UCTION BV, OOMS INTERNATIONAL HOLDING BV AND RSC OOSTPOORT AND THESE ARE VERY OLD LIABILITIES AND THE ASSESSEE COM PANY HAS ENOUGH INCOME FROM OPERATION AT MORE THAN RS. 53 CR ORES WHICH HAS TO BE UTILIZED FOR THE PAYMENT OF LIABILI TIES. [B]. AT THE OUTSET, IT WAS BROUGHT TO THE NOTICE BY US, AT THE TIME OF HEARING THAT TAX EFFECT IN THIS APPEAL IS BELOW RS. 50,00,000./-. VIDE RECENT CBDT CIRCULAR NO.17/2019 DATED 08.08.20 19 READ WITH EARLIER CBDT CIRCULAR NO. 3 OF 2018, DATED 11.07.20 18, MINIMUM THRESHOLD LIMIT OF TAX EFFECT OF FILING OF APPEALS BY REVENUE IN INCOME TAX APPELLATE TRIBUNAL ('ITAT', FOR SHORT) H AS BEEN ENHANCED TO RS. 50,00,000/-. IN A SUBSEQUENT CLARIF ICATION ISSUED BY CBDT VIDE F.NO. 279/MISC/M-93/2018-ITJ, DATED 20 /08/2019, IT HAS BEEN CLARIFIED BY CBDT THAT THE AFORESAID RE VISED MONETARY LIMIT IS ALSO APPLICABLE TO ALL PENDING APPEALS IN ITAT. THEREFORE, IN VIEW OF THE FOREGOING, WE ARE OF THE VIEW THAT THIS APPEAL FILED BY REVENUE IS NOT MAINTAINABLE. ACCORDINGLY THIS APPEA L IS DISMISSED BEING NOT MAINTAINABLE, HAVING REGARD TO AFORESAID CBDT CIRCULAR NO. 17/2019 DATED 08.08.2019 READ WITH AFORESAID CB DT CIRCULAR NO. 3 OF 2018 IN THE LIGHT OF AFORESAID CLARIFICATI ON DATED 20/08/2019. ITA NO: - 2371/DEL/2017 PAGE | 3 [C]. BEFORE LEAVING, WE CLARIFY THAT REVENUE WILL B E AT LIBERTY TO APPROACH INCOME TAX APPELLATE TRIBUNAL U/S 254(2) O F INCOME TAX ACT, 1961 SEEKING RECALL OF THIS ORDER AND, FOR RESTORATION OF THE APPEAL IF IT IS FOUND THAT THIS APPEAL OF REVENUE IS NOT COVERED BY AFORESAID CBDT CIRCULARS DATED 08.08.2019 AND 11.07.2018. [D]. IN THE RESULT, THE APPEAL BY REVENUE IS DISMI SSED. OUR DECISION WAS ORALLY PRONOUNCED IN THE OPEN COURT AF TER CONCLUSION OF HEARING ON THE DATE OF HEARING. NOW, THIS WRITTE N ORDER IS PRONOUNCED IN OPEN COURT ON 01.10.2019. SD/- SD/- (AMIT SHUKLA) (ANADEE NATH MISSHRA) JUDICIAL MEMBER ACCOUNTANT MEM BER DATED: 01.10.2019 SH COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI ITA NO: - 2371/DEL/2017 PAGE | 4 DRAFT DICTATED 30.09.2019 DRAFT PLACED BEFORE AUTHOR APPROVED DRAFT COMES TO THE SR.PS/PS ORDER SIGNED AND PRONOUNCED ON FILE SENT TO THE BENCH CLERK DATE ON WHICH FILE GOES TO THE AR DATE ON WHICH FILE GOES TO THE HEAD CLERK. DATE OF DISPATCH OF ORDER. DATE OF UPLOADING ON THE WEBSITE 01.10.2019