ITO, New Delhi V. Sh. Vineet Kumar Jain, New Delhi

ITA 2899/DEL/2014

• Counselvise Citation: 289920114 RSA 2014
• Duration Of Justice: 1 year(s) 2 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC 2
• Next Hearing Date: 04-08-2015
• Assessment Year: 2005-2006
• Appeal Filed On: 09-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUDHIRANJAN SENAPATI
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: SMC-2 NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER I.T.A .NO.-2899/DEL/2014 (ASSESSMENT YEAR- 2005-06) ITO, WARD 26(2), NEW DELHI. VS VINEET KUMAR JAIN, A-99, VIKASPURI, NEW DELHI. AAHPJ6079P APPELLANT BY SH. SUDHIRANJAN SENAPATI, SR. DR RESPONDENT BY NONE DATE OF HEARING: 04.08.2015 DATE OF PRONOUNCEMENT: 04.08.201 5 ORDER PER H.S. SIDHU, J.M. THIS APPEAL BY THE DEPARTMENT IS DIRECTED AGAINST THE ORDER DATED 26/02/2014 OF LD. CIT(A)-XIII, NEW DELHI ON THE FOL LOWING GROUNDS: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW THE CIT(A) ERRED IN: 1. DELETING THE ADDITION OF RS. 1,01,573/- ON ACCOUNT OF INTEREST MADE BY AO. 2. ADMITTING THE SWEEPING SUBMISSIONS OF ASSESSEE AND NOT GETTING THE FACTS CONFRONTED BY THE AO BY PROVIDING OPPORTUNITY UNDER RULE 46A. 3. ALTHOUGH THE TAX EFFECT IS BELOW THE PRESCRIBED MON ETARY LIMIT OF FILING APPEAL BUT THE CASE IS COVERED AS PER PARA 8C OF IN STRUCTION NO. 3/2011 DATED 09.02.2011 ISSUED BY CBDT. 4. THE APPELLANT CRAVES THE RIGHT TO ADD, ALTER OR AME ND ANY GROUND OF APPEAL. 2. NOTICE OF HEARING WAS ISSUED TO THE ASSESSEE BUT SAME WRITTEN BACK UN- SERVED WITH REPORT LEFT. KEEPING IN VIEW OF THE FACTS AND CIRCUMSTANCES OF THE CASE I AM OF THE VIEW THAT NO USEFUL PURPOSE WOULD BE SERVED TO ISSUE NOTICE AGAIN AND AGAIN TO THE ASSESSEE. THEREFORE, IN THE INTEREST OF JUSTICE, I AM DECIDING THE ISSUE IN DISPUTE EX-PARTE ASSESSEE AFT ER HEARING LD. DR. 3. AT THE TIME OF HEARING THE BENCH POINTED OUT TO THE LD. DR THAT THE TAX EFFECT IN THE PRESENT APPEAL IS LESS THAN RS. 4 LAK HS AND THE APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE IN VIEW OF THE CBDT INS TRUCTION NO. 5/2014 DATED 10 TH JULY, 2014 LD. DR STATED THAT ALTHOUGH THE TAX EFF ECT IS BELOW THE PRESCRIBED ITA NO. 2899/D/2014 VINEET KUMAR JAIN 2 LIMIT OF FILING THE APPEAL BUT THE CASE IS COVERED AS PER PARA 8C OF THE INSTRUCTION NO. 3/2011 DATED 09/02/2014 ISSUED BY THE CBDT. 4. AFTER HEARING THE LD. DR, I AM OF THE VIEW THAT ACCORDING TO THE LATEST INSTRUCTION ISSUED BY THE CBDT INSTRUCTION NO. 5/20 14 DATED 10 TH JULY, 2014 AND ALSO THE PROVISIONS OF SECTION 268A OF INCOME TAX A CT, 1961, THE REVENUE SHOULD NOT HAVE FILED THE INSTANT APPEAL BEFORE THE TRIBUN AL. WHILE TAKING SUCH A VIEW, I AM FORTIFIED BY THE FOLLOWING DECISIONS OF THE HON BLE PUNJAB & HARYANA HIGH COURT: 1. CIT VS. OSCAR LABORATORIES P. LTD. (2010) 324 ITR 1 15 (P&H); 2. CIT VS. ABINASH GUPTA (2010) 327 ITR 619 (P&H); 3. CIT VS. VARINDERA CONSTRUCTION CO. (2011) 331 ITR 4 49 (P&H) (FB). 5. SIMILARLY, THE HONBLE DELHI HIGH COURT IN THE C ASE OF CIT VS. DELHI RACE CLUB LTD. IN ITA NO. 128/2008, ORDER DATED 03.03.2011 BY FOLLOWING THE EARLIER ORDER DATED 02.08.2010 IN ITA NO. 179/1991 IN THE CASE OF CIT DELHI-III VS. M/S P.S. JAIN & CO. HELD THAT SUCH CIRCULAR WOULD ALSO BE APPLICA BLE TO PENDING CASES. 6. THUS, FROM THE RATIO LAID DOWN BY THE HONBL DEL HI HIGH COURT, IT IS CLEAR THAT THE INSTRUCTIONS ISSUED IN THE CIRCULARS BY CB DT ARE APPLICABLE FOR PENDING CASES ALSO. THEREFORE, BY KEEPING IN VIEW THE RATI O LAID DOWN IN THE AFORESAID REFERRED TO CASE, I AM OF THE CONSIDERED VIEW THAT INSTRUCTION NO. 5 OF 2014 DATED 10 TH JULY, 2014 ISSUED BY THE CBDT ARE APPLICABLE FOR T HE PENDING CASES ALSO AND IN THE SAID INSTRUCTIONS, MONETARY TAX LIMIT FOR NOT F ILING THE APPEAL BEFORE THE ITAT IS RS. 4,00,000/-. 7. IN VIEW OF THE ABOVE, WITHOUT GOING INTO MERIT O F THE CASE, I DISMISS THE APPEAL FILED BY THE REVENUE. 8. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 04/08/ 2015 SD/- (H.S. SIDHU) JUDICIAL MEMBER DATED: 04.08.2015 ITA NO. 2899/D/2014 VINEET KUMAR JAIN 3 *KAVITA, P.S. COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI ITA NO. 2899/D/2014 VINEET KUMAR JAIN 4 SL. NO. DESCRIPTION DATE 1. DATE OF DICTATION BY THE AUTHOR 04.08.2015 2. DRAFT PLACED BEFORE THE DICTATING MEMBER 04.08. 2015 3. DRAFT PLACED BEFORE THE SECOND MEMBER 04.08.2015 4. DRAFT APPROVED BY THE SECOND MEMBER 04.08.2015 5. DATE OF APPROVED ORDER COMES TO THE SR. PS 04.08 .2015 6. DATE OF PRONOUNCEMENT OF ORDER 04.08.2015 7. DATE OF FILE SENT TO THE BENCH CLERK 04.08.2015 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK 9. DATE OF DISPATCH OF ORDER ITA NO. 2899/D/2014 VINEET KUMAR JAIN 5