ITO 23(3)(4), MUMBAI V. TIRUPATI ENTERPRISES, MUMBAI

ITA 2557/MUM/2014

• Counselvise Citation: 255719914 RSA 2014
• Duration Of Justice: 1 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-06-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2007-2008
• Appeal Filed On: 16-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SANJAY R PARIKH
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL 'SMC' BENCH, MUMBAI BEFORE SHRI D. MANMOHAN, VICE PRESIDENT ITA NO. 2557/MUM/2014 (ASSESSMENT YEAR: 2007-08) INCOME TAX OFFICER 23(3)(4)) M/S. TIRUPATI ENTERPRISES ROOM NO. 405, 4TH FLOOR PRATYAKSHAKAR BHAVAN BANDRA KURLA COMPLEX BANDRA (E), MUMBAI 400051 VS. C/O SHRI DHIRAJLAL S. THAKKAR B-18, RATANADEEP BUILDING S.L. ROAD, MULUND WEST MUMBAI 400080 PAN AABFT6991L APPELLANT RESPONDENT APPELLANT BY: SHRI JAVED AKHTAR RESPONDENT BY: SHRI SANJAY R. PARIKH DATE OF HEARING: 03.062014 DATE OF PRONOUNCEMENT: 03.06.2014 O R D E R PER D. MANMOHAN, V.P. THIS APPEAL IS FILED BY THE REVENUE AGAINST THE ORD ER DATED 24.01.2014 PASSED BY THE CIT(A)-7, MUMBAI AND IT PERTAINS TO A .Y. 2007-08. 2. REVENUE HAS RAISED THE FOLLOWING GROUND OF APPEA L: - 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW, THE LD. CIT(A) ERRED IN DIRECTING THE A.O. TO FOLLOW DI RECTIONS OF THE HON'BLE ITAT IN THE ASSESSEES OWN CASE FOR A.Y. 20 06-07 WHICH WAS RESTORED BACK TO THE FILE OF THE AO, THUS AMOUN TING TO RESTORING TO AO FOR DECISION FOR WHICH LD. C.I.T.(A ) HAS NO POWER UNDER THE ACT. IN VIEW OF THE LEGAL ISSUE BEING INV OLVED, THE ORDER OF THE LD. C.I.T(A) IS PERVERSE. 3. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED T HAT THE TAX EFFECT IN THE INSTANT CASE IS LESS THAN THE LIMIT PRESCRIBED BY THE CBDT. AS PER CIRCULAR NO. 3 DATED 09.02.2011 AN APPEAL SHOULD NO T BE PREFERRED BY REVENUE UNLESS THE TAX EFFECT IS ABOVE ` 3,00,000/- OR THE ISSUE ARISING OUT OF THE ORDER OF THE FIRST APPELLATE AUTHORITY IS EXCEP TIONAL IN NATURE AND IT IS SPECIFICALLY MENTIONED IN THE AUTHORISATION. IN THE ABSENCE OF SHOWING THAT ITA NO. 2557/MUM/2014 M/S. TIRUPATI ENTERPRISES . 2 THE CASE FALLS UNDER EXCEPTIONAL CIRCUMSTANCE THE A PPEAL FILED BY REVENUE DESERVES TO BE DISMISSED AS UNADMITTED. 4. THE LEARNED D.R. COULD NOT SUBSTANTIATE THAT THE ISSUE ARISING OUT OF THE ORDER OF THE FIST APPELLATE AUTHORITY IS EXCEPT IONAL IN NATURE. THEREFORE, IN THE LIGHT OF THE CIRCULAR ISSUED BY THE CBDT (SU PRA), WHICH IS BINDING UPON THE REVENUE AUTHORITIES, THIS APPEAL DESERVES TO BE DISMISSED AS UNADMITTED FOR WANT OF TAX EFFECT AND WE ORDER ACCO RDINGLY. ORDER PRONOUNCED IN THE OPEN COURT ON 3 RD JUNE, 2014. SD/- (D. MANMOHAN) VICE PRESIDENT MUMBAI, DATED: 3 RD JUNE, 2014 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 7, MUMBAI 4. THE CIT 23, MUMBAI CITY 5. THE DR, SMC BENCH, ITAT, MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI N.P.