Deputy Commissioner of Income tax, Pune V. M/s. Comsoft Info Tech Pvt.Ltd, Pune

ITA 284/PUN/2017

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 2172 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-08-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 27-06-2019
• Assessment Year: 2007-2008
• Appeal Filed On: 03-02-2017
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE . , , , BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI VIKAS AWASTHY, JM . / ITA NO S.284 & 285 /PUN/2017 / ASSESSMENT YEAR S : 20 07 - 08 & 2008 - 09 THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 1(1), PUNE ....... / APPELLANT / V/S. M/S. COMSOFT INFO TECH PVT. LTD., 167/A, 3 RD FLOOR, LARA CHAMBERS, KOTHRUD, PUNE 411038 PAN : AABCC1274C / RESPONDENT ASSESSEE BY : N O N E REVENUE BY : SHRI UODAL RAJ SINGH / DATE OF HEARING : 13 - 08 - 2019 / DATE OF PRONOUNCEMENT : 21 - 0 8 - 2019 / ORDER PER VIKAS AWASTHY, JM : THE SE TWO APPEALS HAVE BEEN FILED BY THE REVENUE AGAINST THE ORDER S OF COMMISSIONER OF INCOME TAX (APPEALS) - 1, PUNE FOR THE ASSESSMENT YEAR S 20 07 - 08 AND 2008 - 09 , RESPECTIVELY. BOTH THE IMPUGNED ORDERS ARE DATED 23 - 11 - 2016. 2 ITA N OS. 284 & 285/PUN/2017, A.YS. 2007 - 08 & 2008 - 09 2. SHRI UODAL RAJ SINGH REPRESENTING THE DEPARTMENT FAIRLY ADMITTED THAT IN THE PRESENT APPEAL S BY THE DEPARTMENT TAX EFFECT IS LESS THAN RS. 50 LAKHS. THE LD. DR POINTED THAT TAX EFFECT IN ASSESSMENT YEAR 2007 - 08 IS RS.49,74,951/ - AND IN ASSESSMENT YEAR 2008 - 09 IS RS.17,42,919/ - . 3. WE HAVE HEARD THE SUBMISSIONS OF LD. DR AND HAVE PERUSED THE MATERIAL AVAILABLE ON RECORD. THE REVENUE IN APPEAL FOR ASSESSMENT YEAR 2007 - 08 AND ASSESSMENT YEAR 2008 - 09 HAS ASSAILED THE ACTION OF COMMISSIONER OF INCOME TAX (APPEALS) I N ALLOWING ASSESSEES CLAIM OF DEDUCTION U/S. 10A OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT). AS PER THE TAX EFFECT CALCULATIONS FURNISHED BY THE DR , THE TAX EFFECT INVOLVED IN THE APPEAL FOR ASSESSMENT YEAR 2007 - 08 IS RS.49,74,951/ - AND RS.17,42,919/ - IN ASSESSMENT YEAR 2008 - 09. T HE TAX EFFECT INVOLVED IN BOTH THE APPEAL S IS LESS THAN THE MONETARY LIMIT PRESCRIBED BY THE RECENT CBDT CIRCULAR NO. 17/2019, DATED 08 - 08 - 2019 FOR FILING OF APPEALS BEFORE THE TRIBUNAL BY THE DEPARTMENT. THE CBDT VIDE CIRCULAR DATED 08 - 08 - 2019 (SUPRA) HAS AMENDED PARA 3 OF CIRCULAR NO. 3 OF 2018 DATED 11 - 07 - 2018 THEREBY ENHANCING MONETARY LIMIT OF TAX EFFECT FROM RS.20 LAKHS TO RS.50 LAKHS FOR FILING OF APPEALS BY THE DEPARTMENT BEFORE THE TRIBUNAL. THE CIRCULAR DATED 08 - 08 - 2019 APPLIES TO THE APPEALS ALREADY FILED AND THE APPEALS TO BE FILED BY THE DEPARTMENT IN FUTURE. THUS, WITHOUT GOING INTO MERIT OF THE ISSUES RAISED IN TH E APPEAL S , IN VIEW OF THE CBDT CIRCULAR (SUPRA) THE PRESENT APPEAL S BY THE REVENUE ARE DISMISSED ON ACCOUNT OF LOW TAX EFFECT. 4. BEFORE PARTING, WE CLARIFY HERE THAT THE REVENUE SHALL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RESTORATION OF APPEAL (S) , WITH THE REQUISITE 3 ITA N OS. 284 & 285/PUN/2017, A.YS. 2007 - 08 & 2008 - 09 MATERIAL TO SHOW THAT THE APPEAL (S) IS /ARE PROTECTED BY THE EXCEPTIONS PRESCRIBED IN PARA 10 OF THE CIRCULAR DATED 11 - 07 - 2018 AND ITS AMENDMENT DATED 20 - 08 - 2018. 5. IN THE RESULT, BOTH THE APPEAL S BY THE REVENUE ARE DISMISSED. ORDER PRONOUNCED ON WEDNESDAY, THE 21 ST DAY OF AUGUST, 2019. SD/ - SD/ - ( . /D. KARUNAKARA RAO ) ( / VIKAS AWASTHY) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE; / DATED : 21 ST AUGUST, 2019 RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 1, PUNE 4. THE PR. COMMISSIONER OF INCOME TAX - 1, PUNE 5. , , , / DR, ITAT, A BENCH, PUNE. 6. / GUARD FILE. // // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE