ACIT, New Delhi V. Mr. S. Gurnam Singh, New Delhi

ITA 2668/DEL/2013

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 6405 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 10 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-03-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 11-02-2016
• Assessment Year: 2005-2006
• Appeal Filed On: 03-05-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NEETI KA KHANNA
• Assessee Lawyers: RAJ K BATRA
• Keywords: Unexplained cash credit; Tax effect
• Section: 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH G, NEW DELHI BEFORE SHRI C.M.GARG, JUDICIAL MEMBER AND SHRI O.P.KANT , ACCOUNTANT MEMBER ITA NO. 26 68/DEL./2013 ASSESSMENT Y EAR : 2005-06 ACIT VS. S. GU RNAM SINGH CIRCLE-26(1), ROOM NO. 1802 C-63B, DD A FLATS, BEHIND E-2 BLOCK, PRATAYAKSH KAR BHAWAN, RAGHBIR NAGAR CIVIC CENTRE, NEW DELHI NEW DELHI PAN : BPXPS3305H ASSESSEE BY : SHRI RAJ K. BATRA, ADV., REVENUE BY : SMT. NEETI KA KHANNA, SR. DR DATE OF HEARING : 11/02/2016 DATE OF PRONOUNCEMENT : 16 /03/2016 ORDER PER O.P.KANT, A.M. THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGA INST ORDER OF LD. CIT(A)-XXIV, NEW DELHI DATED 20.02.2013 AND PERTAI NS TO ASSESSMENT YEAR 2005-06. 2. THE REVENUE HAS QUESTIONED THE DELETION OF ADDI TION MADE OF RS. 24,09,460/- ON ACCOUNT OF UNEXPLAINED CASH CREDITS U/S 68 OF THE INCOME TAX ACT BY THE CIT (A) AND IN RESTRICTING THE SAME TO P EAK AMOUNT OF RS. 1,35,012/-. 3. AT THE OUTSET OF THE HEARING IT WAS POINTED OUT BY THE LD. AR THAT THOUGH THE ASSESSEE HAS GOT GOOD CASE ON MERITS BUT THE APPEAL WAS ALSO NOT ITA NO.2668/DEL/2013 S.GURNAM SINGH 2 MAINTAINABLE AS HAVING TAX EFFECT BELOW RS. 10,00,0 00/- AS PER THE CBDT CIRCULAR NO. 21/2015 DATED 10.12.2015. 4. THE LD. SR. DR ON THE OTHER HAND FAIRLY AGREE D THAT THE CBDT CIRCULAR NO. 24/2015 DATED 10.12.2015 IS APPLICABLE RETROSPECTIVELY, HOWEVER, HE SUBMITTED THAT WITHDRAWING OR NOT PRESSING THE A PPEAL MAY NOT BE TAKEN AS PRECEDENT ON THE ISSUE IN DISPUTE WHERE TAX EFFECT EXCEEDS THE MONETARY LIMITS. 5. CONSIDERING THE ABOVE SUBMISSION, WE AGREE WIT H THE PRELIMINARY OBJECTION RAISED BY THE LD. AR THAT THE PRESENT APP EAL PREFERRED BY THE REVENUE IS HAVING THE TAX EFFECT BELOW RS. 10,00,000/- AND IT IS NOT MAINTAINABLE AS THE SAME HAS BEEN PREFERRED BY THE REVENUE IN VIOLATION OF CBDT CIRCULAR NO. 21/2015 DATED 10.12.2015. THIS CIRCULAR IN OUR VIEW IS ALSO HAVING STATUTORY FORCE U/S 268(A) OF THE INCOME TAX ACT, 1961 (FOR S HORT ACT). WE THUS, HOLD THAT THE PRESENT APPEAL PREFERRED BY THE REVENUE IS NOT MAINTAINABLE AND THE SAME IS DISMISSED AS SUCH. FURTHER KEEPING IN MIND THE CLAUSE 6 OF THE SAID CIRCULAR, WE HOLD THAT OUR DECISION ON THE ISSUE I N DISPUTE IN THIS CASE SHALL NOT BE TREATED AS A PRECEDENT IN SIMILAR DISPUTES IN TH E CASE OF SAME ASSESSEE FOR ANY OTHER ASSESSMENT YEAR OR IN THE CASE OF ANY OTHER A SSESSEE FOR THE SAME OR ANY OTHER ASSESSMENT YEAR IF THE TAX EFFECT EXCEED THE SPECIFIED MONETARY LIMIT. 6. IN THE RESULT APPEAL OF THE REVENUE IS DISMIS SED. (ORDER PRONOUNCED IN THE COURT ON 16/03/201 6). SD/- SD/- (C.M.GARG) (O.P.KANT ) JUDICIAL MEMEBR ACCOUNTA NT MEMBER DATED: 16 / 03/2016 *BINITA* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ITA NO.2668/DEL/2013 S.GURNAM SINGH 3 ASSISTANT REGISTRAR DATE INITIAL 1. DRAFT DICTATED ON 10.03.2016 2. DRAFT PLACED BEFORE AUTHOR 11.03.2016 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS PS/PS 6. KEPT FOR PRONOUNCEMENT ON PS 7. FILE SENT TO THE BENCH CLERK PS 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER.