The Addl.CIT, Range-1, Ahmedabad V. M/s. Devlon Petrosilks Pvt. Ltd., Ahmedabad

ITA 280/AHD/2016

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 1559 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-05-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Next Hearing Date: 19-05-2016
• Assessment Year: 2009-2010
• Appeal Filed On: 04-02-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER AND ANIL CHATURVEDI, ACCOUNTANT MEMBER ./ I.T.A. NO.280/AHD/2016 ( / ASSESSMENT YEAR : 2009-10) ITO WARD-1(1)(4) AHMEDABAD / VS. M/S.DEVLON PETROSILKS PVT.LTD. 92-A NEW YORK TOWER-A NR. THALTEJ CROSS ROAD THALTEJ AHMEDABAD-380 009 ./ ./ PAN/GIR NO. : AACCD 2626 E ( / APPELLANT ) .. ( / RESPONDENT ) A SSESSEE BY : NONE (WRITTEN SUBMISSION) REVENUE BY : SHRI ALPESH PARMAR, SR.DR / DATE OF HEARING 19/5/2016 !' / DATE OF PRONOUNCEMENT 19/05/2016 / O R D E R PER SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER : THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX(APPEALS)-1, AHMEDABAD D ATED 10/11/2015 FOR THE ASSESSMENT YEAR 2009-10. 2. THE GROUND RAISED BY THE REVENUE IN THE PRESENT APPEAL READS AS UNDER:- ITA NO.280/AHD/2016 ITO VS. DEVLON PETROSILKS PVT.LTD. ASST.YEAR 2009-10 - 2 - THE LD.CIT(A) HAS ERRED IN LAW AND ON FACTS IN DE LETING THE PENALTY OF RS.51,000/- LEVIED U/S.271D OF THE IT ACT, 1961. ON THE FACT AND IN THE CIRCUMSTANCES OF THE CASE AN D IN LAW, THE CIT(A) OUGHT TO HAVE UPHELD THE ORDER OF THE ASSESSING OFF ICER TO THE EXTENT MENTIONED ABOVE SINCE THE ASSESSEE HAS FAILED TO DI SCLOSE HIS TRUE INCOME/BOOK PROFIT. 3. ON THE DATE OF HEARING, NONE APPEARED ON BEHALF OF ASSESSEE, HOWEVER, WRITTEN SUBMISSIONS DATED 11 TH APRIL-2016 HAVE BEEN FILED. THE LD. SR.D.R. FAIRLY ADMITTED THAT THE TAX EFFECT ON THE IMPUGNED ADDITIONS IS LESS THAN THE LIMIT PRESCRIBED BY THE CBDT CIRCULAR OF 10.12.2015 BEARING NO. 21 OF 2015. 4. WE HAVE HEARD THE LD. SR.D.R. AND PERUSED WRITTE N SUBMISSIONS AS WELL AS THE MATERIAL ON RECORD. ON PERUSING THE GRO UNDS OF APPEAL RAISED BY THE REVENUE, WE FIND THAT REVENUE IS AGGRIEVED B Y THE PENALTY OF RS.51,000/- THE TAX EFFECT OF WHICH IS BELOW RS.10 LACS. AS PER THE ANNOUNCEMENT OF CENTRAL BOARD OF DIRECT TAXES (CBDT ) DATED 10.12.2015 (CIRCULAR NO. 21 OF 2015), NO DEPARTMENT APPEALS ARE TO BE FILED AGAINST RELIEF GIVEN BY LD. CIT(A) BEFORE THE INCOME TAX TRIBUNAL UNLESS THE TAX EFFECT, EXCLUDING INTEREST EXCEEDS R S. 10 LACS AND IT FURTHER STATES THAT THE INSTRUCTIONS WILL APPLY RETROSPECTI VELY TO THE PENDING APPEALS. IN THE PRESENT CASE, SINCE IT IS AN UNDISP UTED FACT THAT ON THE ADDITIONS WHICH ARE IN DISPUTE, THE TAX EFFECT IS L ESS THAN RS. 10 LACS AND IN THE ABSENCE OF ANY MATERIAL ON RECORD BY THE REV ENUE TO DEMONSTRATE ITA NO.280/AHD/2016 ITO VS. DEVLON PETROSILKS PVT.LTD. ASST.YEAR 2009-10 - 3 - THAT THE ISSUE IN THE PRESENT APPEAL IS COVERED BY EXEMPTIONS SPECIFIED IN CLAUSE (8) OF THE AFORESAID CBDT CIRCULAR, WE ARE O F THE VIEW THAT THE MONETARY LIMIT PRESCRIBED BY THE INSTRUCTIONS OF TH E AFORESAID CBDT CIRCULAR WOULD BE APPLICABLE TO THE PRESENT APPEAL OF THE DEPARTMENT AND THEREFORE THE PRESENT APPEAL IS NOT MAINTAINABLE ON ACCOUNT OF LOW TAX EFFECT. IN SUCH CIRCUMSTANCES, WE DISMISS THE APPEA L OF REVENUE WITHOUT EXPRESSING ANY OPINION ON MERITS OF THE CASE. AS A RESULT, THE APPEAL OF REVENUE IS DISMISSED. 5. IN THE RESULT, REVENUES APPEAL IS DISMISSED. THIS ORDER PRONOUNCED IN OPEN COURT ON 19 /05/2016 SD/- SD/- ( SHAILENDRA KUMAR YADAV) ( ANIL CHATURVEDI ) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD; DATED 19/ 05 /2016 %.., .'../ T.C. NAIR, SR. PS !'#$%$' / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ()* + / CONCERNED CIT 4. + ( ) / THE CIT(A)-I, AHMEDABAD 5. ./0 '')* , )*' , ( / DR, ITAT, AHMEDABAD 6. 034 5 / GUARD FILE. / BY ORDER, . ' //TRUE COPY// / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD