The Asstt. Commissioner of Income Tax, Navsari Circle, Navsari V. Shri Khemchandbhai Kungmal Tharwani, Navsari

ITA 2870/AHD/2016

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 2538 (ITAT-SURAT)
• Duration Of Justice: 5 year(s) 2 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-12-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 29-12-2021
• Assessment Year: 2011-2012
• Appeal Filed On: 27-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANUPMA SINGLA
• Assessee Lawyers: SHRIRASESH SHAH
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI PAWAN SINGH, JUDICIAL MEMBER AND DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER ITA No. 2870/AHD/2016 (AY 2011-12) (Hearing in Virtual Court) Asst. Commissioner of Income Tax, Navsari Circle, Room No. 202, Rangpuja Building, Swapnalok Society, Nr. Kaliawadi Bridge, Navsari Vs Shri Khemchandbhai Kungmal Tharwani, Prop. of K.K. Biscuit Bakery, 154-155, GIDC, Kabilpore, Navsari-396445 PAN : AALPT 1806 G Appellant / Revenue Respondent / assessee Assessee by ShriRasesh Shah, CA Revenue by Ms. Anupma Singla – Sr-DR Date of hearing 30.12.2021 Date of pronouncement 30.12.2021 Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JUDICIAL MEMBER: 1. This appeal by Revenue is directed against the order of ld. Commissioner of Income tax (Appeals)-Valsad dated 31.08.2016 for assessment year (AY) 2011-12. 2. At the outset of hearing the Ld. Authorized Representative (AR) for the assessee submits that in the present appeal tax effect is less than the monetary limit fixed by CBDT Circular No.17 of 2019 dated 08.08.2019. Therefore, the appeal is not maintainable. The Ld. AR for the assessee further invited our attention on column No. 7 of Form-36, wherein the disputed ITA No.2870/AHD/2016 (A.Y. 11-12) Sh. Khemchandbhai K Tharwani 2 additions are only Rs. 1.00 Crore (Aprox) and admittedly the tax effect would be less than Rs. 50 Lakhs. 3. The Ld. DR for the revenue after going through the grounds of appeal and the working of tax effect mentioned in column-3B of Form 36 submits that tax effect since to be less than Rs.50 lakh. Therefore the appeal should be dismissed as not maintainable. However, the Revenue may be given liberty to move appropriate application if it is discovered that tax if the involved in the present appeal more than the monetary limit of Rs.50 lakh. 4. We have considered the submission of both the parties and perused the ground of appeal and the order of Ld. CIT(A). On perusal of order of ld CIT(A) and the details provided in column-7 of Form-36, we find that the additions in dispute is Rs. 1.00 Crore (Approx), on account of suppressed expenditure in Building KK Plaza. Admittedly the tax effect involve in the present Revenue’s appeal is less than prescribed limit of Rs.50 lakh fixed by CBDT’s in its Circular No.17 of 2019 dated 08.08.2019 for filing appeal before the Tribunal. Therefore, this appeal of Revenue is dismissed as not maintainable. However, the Revenue is given liberty to move appropriate application if at later stage it is discovered that the tax effect is more than Rs.50 lakh. ITA No.2870/AHD/2016 (A.Y. 11-12) Sh. Khemchandbhai K Tharwani 3 5. In the result, the appeal of the Revenue is dismissed as indicated above. Order announced at the time of hearing of appeal on 30 th December, 2021 at the close of hearing. Sd/- Sd/- (Dr ARJUN LAL SAINI) (PAWAN SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Surat, Dated: 30/12/2021 Dkp. Out Sourcing Sr.P.S Copy to: 1. Appellant- 2. Respondent- 3. CIT(A)- 4. CIT 5. DR 6. Guard File True copy/ By order // True Copy // Assistant Registrar, ITAT, Surat