DCIT, Circle-4(2), New Delhi V. Biltech Building Elements Ltd., New Delhi

ITA 2580/DEL/2022

AI Insights

The case involves an appeal by the Revenue against an order passed by the National Faceless Appeal Centre (NFAC), Delhi, concerning the assessment year 2019-20. The dispute centered on a quantum addition of Rs.41,28,780, which represented delayed payment of employees' contributions to Provident Fund (PF) and Employees State Insurance (ESI). The tax effect on this amount, as computed by the Revenue, was Rs.14,03,372, which is below the CBDT's threshold limit for maintaining an appeal before the Tribunal. The Tribunal proceeded to dismiss the appeal ex parte as no representative for the assessee appeared despite proper notice.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 300713 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-05-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 16-05-2023
• Assessment Year: 2019-2020
• Appeal Filed On: 20-10-2022
• Laws Referred To: Circular No. 17 of 2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI BENCH: ‘H’ NEW DELHI BEFORE SHRI G.S. PANNU, HON’BLE PRESIDENT AND SHRI SAKTIJIT DEY, JUDICIAL MEMBER ITA No.2580/Del/2022 Assessment Year: 2019-20 DCIT, Circle-4(2), New Delhi Vs. Biltech Building Elements Ltd., 124, Thapar House, Janpath, New Delhi PAN :AACCB4080A (Appellant) (Respondent) ORDER PER SAKTIJIT DEY, JM: This is an appeal by the Revenue against order dated 05.09.2022 passed by the National Faceless Appeal Centre (NFAC), Delhi, for the assessment year 2019-20. 2. When the appeal was called out, no one appeared on behalf of the assessee to represent the case, despite notice of hearing Appellant by Sh. Pramod Kumar, Sr. DR. Respondent by None Date of hearing 17.05.2023 Date of pronouncement 29.05.2023 ITA No.2580/De/2022 AY: 2019-20 2 | P a g e issued through postal department. Therefore, we proceed to dispose of the appeal ex parte qua the assessee after hearing learned Departmental Representative and based on materials on record. 3. As could be seen from the grounds raised in column no. 10 and tax relating to such ground, the quantum of addition disputed by the Revenue in present appeal is to the tune of Rs.41,28,780/- representing delayed payment of employees contribution to Provident Fund (PF) and Employees State Insurance (ESI). According to Revenue’s own computation, the tax effect on the amount disputed by the Revenue works out to Rs.14,03,372/-. Thus, the tax effect on the amount disputed by the Revenue in the present appeal is below the threshold limit of Rs.50 lakhs for maintaining an appeal before the Tribunal in terms of Circular No. 17 of 2019, dated 8 th August, 2019 issued by Central Board of Direct Taxes (CBDT). 4. Before us, the Revenue has failed to demonstrate that the appeal is protected by any of the exceptions to the extant circular issued by the CBDT. Thus, in our view, the present appeal is not maintainable. Accordingly, we dismiss the appeal. ITA No.2580/De/2022 AY: 2019-20 3 | P a g e 5. In the result, the appeal is dismissed. Order pronounced in the open court on 29 th May, 2023 Sd/- Sd/- (G.S. PANNU) (SAKTIJIT DEY) PRESIDENT JUDICIAL MEMBER Dated: 29 th May, 2023. RK/- Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi