ACIT, Meerut V. Dr. Jaya Aggarwal, Meerut

ITA 2541/DEL/2010

• Counselvise Citation: 254120114 RSA 2010
• Duration Of Justice: 3 year(s) 7 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-01-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Next Hearing Date: 20-11-2013
• Assessment Year: 2003-2004
• Appeal Filed On: 28-05-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R S MEENA SENIOR
• Assessee Lawyers: K SAMPATH RAJIV SINGHAL; RAMIT KAKKAR S
• Keywords: Question of law; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH H : NEW DELHI) BEFORE SMT. DIVA SINGH, JUDICIAL MEMBER AND SHRI B.C. MEENA, ACCOUNTANT MEMBER ITA NO.2540/DEL./2010 (ASSESSMENT YEAR : 2000-01) ITA NO.2541/DEL./2010 (ASSESSMENT YEAR : 2003-04) ITA NO.2542/DEL./2010 (ASSESSMENT YEAR : 2005-06) ITA NO.2543/DEL./2010 (ASSESSMENT YEAR : 2001-02) ACIT, CENTRAL CIRCLE, VS. DR. JAYA AGGARWAL, MEERUT. 61, SHIVAJI ROAD, MEERUT. (PAN : ABEPA2534M) (APPELLANT) (RESPONDENT) ASSESSEE BY : S/SHRI K. SAMPATH, RAJIV SINGHAL AND RAMIT KAKKAR, ADVOCATES REVENUE BY : SHRI R.S. MEENA, SENIOR DR ORDER PER B.C. MEENA, ACCOUNTANT MEMBER : ALL THESE APPEALS FILED BY THE REVENUE EMANATE FROM THE ORDER OF LD. CIT (APPEALS), MEERUT. ITA NOS.2540 TO 2543/DEL./2010 2 2. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE TAX EFFECT IN THESE CASES IS LESS THAN RS. 3.00 LAKH. THIS P OSITION IS ADMITTED BY THE LD. D.R. THEREFORE, AS PER THE INSTRUCTION NO. 3/2011 DATE D 09.02.2011 THE REVENUE IS NOT PERMITTED TO FILE APPEAL BEFORE THE TRIBUNAL IF T HE TAX EFFECT IS LESS THAN RS. 3.00 LAKH. HE PLACED RELIANCE ON THE DECISION OF HO NBLE DELHI HIGH COURT DATED 25.03.2011 IN ITA NOS. 3 TO 5/2010. ON THE OTHER HAND, LD. DR FOR THE REVENUE SUBMITTED THAT INSTRUCTION NO. 3/2011 IS NOT APPL ICABLE FOR THE APPEALS FILED PRIOR TO ISSUE OF THE SAID INSTRUCTIONS. IT IS ALSO SUBMITTED THAT THE DECISION OF FULL BENCH OF PUNJAB & HARYANA HIGH COURT IN THE CASE OF CIT VS. VIRENDRA CONSTRUCTION CO., 239 CTR 1, THAT REVISED MONET ARY LIMITS ARE NOT APPLICABLE TO THE PENDING APPEALS, IS IN FAVOUR OF THE REVENUE. 3. WE HAVE HEARD BOTH THE PARTIES AND GONE THROUGH THE MATERIAL AVAILABLE ON RECORD. INSTRUCTION NO. 3/2011 DATED 09.02.2011 HAS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE I NCOME-TAX APPELLATE TRIBUNAL, HONBLE HIGH COURTS AND HONBLE SUPREME COURT. MONETARY LIMIT FOR FILING THE APPEAL BEFORE THE TRIBUNAL IS RS. 3.00 LAKH; BEFORE HONBLE HIGH COURT RS. 10.00 LAKH AND BEFORE HONBLE SUPREME COURT RS. 25.00 LAKH. HONBLE DELHI HIGH COURT IN THEIR ORDER DATED 25.03.2011 REFERRED TO ABOVE HAS HELD AS UNDER:- IT IS STATED THAT THE TAX IMPACT IN THE PRESENT CASES IS LESS THAN RS. 10.00 LAKHS. THE DEPARTMENT HAS RECENTLY ISSUED AN INSTRUCTION BEARING NO. 3/2011 DATED 09.02.2011, WHICH IS IDENTICAL TO ITS EARLIER INSTRUCTION BEARING NO. 5/2008 DATED 15.05.2008 EXCEPT THAT IN SO FAR AS THE HIGH COURT IS CONCERNED, T HE MONETARY LIMIT IN RESPECT OF APPEALS WHERE THE QUESTIONS OF LAW R AISED NEED NOT TO BE ANSWERED, HAS BEEN RAISED FROM RS. 4.00 LAKHS TO RS. 10.00 LAKHS. THE DIVISION BENCH OF THIS COURT IN ITA NO. 89/199 9 DECIDED ON 28.01.2011 HAS ALREADY HELD THAT THE INSTRUCTIO N BEARING NO. ITA NOS.2540 TO 2543/DEL./2010 3 5/2008 DATED 15.05.2008 WOULD APPLY EVEN TO THE OLD PENDING REFERENCES AND APPEALS. THIS PRINCIPLE WOULD TH US NATURALLY EQUALLY APPLY TO THE INSTANT INSTRUCTION BEARING NO.3/201 1 DATED 09.02.2011, AS WELL. THE TAX EFFECT BEING LESS THAN RS. 10 .00 LAKHS, THE QUESTION OF LAW DOES NOT REQUIRE TO BE ANSWERED. THE APP EALS ARE DISPOSED OF ACCORDINGLY. 3.1 LD. AR FOR THE ASSESSEE HAS ALSO RELIED ON THE DECISION OF HONBLE DELHI HIGH COURT IN THE CASE OF CIT VS. DELHI RACE CL UB LTD. IN ITA NO. 128/2008 DATED 03.03.2011 WHEREIN IT HAS BEEN HELD AS UNDE R:- THE TAX EFFECT INVOLVED IN THE PRESENT APPEAL IS RS. 4,65,860/-. AS PER THE RECENT GUIDELINES OF THE CBDT, APPEAL I N THOSE CASES WHERE THE TAX EFFECT IS LESS THAN RS. 10.00 LAKHS, AR E NOT TO BE ENTERTAINED. THIS COURT IN THE CASE OF CIT, DELHI-III VS. M/S P .S. JAIN & CO., BEING ITA NO. 179/1991 DECIDED ON 2 ND AUGUST, 2010 HAS TAKEN A VIEW THAT SUCH CIRCULAR WOULD ALSO APPLY TO PENDIN G CASES. 3.2 IN VIEW OF THE DECISION OF HONBLE HIGH COURT , IT IS HELD THAT INSTRUCTION NO. 3/2011 DATED 09.02.2011 WILL APPLY TO ALL P ENDING APPEALS. RESPECTFULLY FOLLOWING THE PRECEDENT, IT IS HELD THAT THE AP PEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFECT IS LESS THAN RS . 3.00 LAKHS. ACCORDINGLY, IT IS HELD THAT APPEAL FILED BY THE REVENUE IS NOT MAINTAIN ABLE. 4. IN THE RESULT, ALL THE APPEALS FILED BY THE R EVENUE ARE DISMISSED WITHOUT GOING INTO THE MERITS. ORDER PRONOUNCED IN OPEN COURT ON THIS 27 TH DAY OF JANUARY, 2014. SD/- SD/- (DIVA SINGH) (B.C. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED THE 27 TH DAY OF JANUARY, 2014 TS ITA NOS.2540 TO 2543/DEL./2010 4 COPY FORWARDED TO: 1.APPELLANT 2.RESPONDENT 3.CIT 4.CIT(A), MEERUT. 5.CIT(ITAT), NEW DELHI. AR, ITAT NEW DELHI.