Income Tax Officer, Ward -1 , Gondia V. Shri Rajendrakumar Hiralal Jain , Gondia

ITA 300/NAG/2019

AI Insights

The case involves an appeal by the Income Tax Officer, Ward-1, Gondia against the order of the Commissioner of Income Tax (Appeals)-1, Nagpur, which pertained to the assessment year 2011-12. The appeal was based on the deletion of an addition made on the basis of incriminating entries of substantial cash payments found in seized diaries. The Revenue contended that the CIT(A) erred in deleting the addition without considering the circumstantial evidence of payment received by the assessee. The CIT(A)'s decision was challenged partly because the decision of the Hon'ble Tribunal in a related case was still under appeal before the Hon'ble High Court.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136133 (ITAT-NAGPUR)
• Duration Of Justice: 3 year(s) 10 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-08-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 24-08-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 03-10-2019
• Other Referred Cases: Shri Mitesh Bhangadia Group
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect; Tax effect
• Section: 143(3)

Judgement Text

।आयकर अपीलीय अिधकरण Ɋायपीठ नागपुर मŐ। IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH : : NAGPUR [VIRTUAL HEARING AT PUNE] BEFORE SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER AND DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.300/NAG/2019 िनधाᭅरण वषᭅ / Assessment Year : 2011-12 The Income Tax Officer, Ward-1, Gondia. Vs Shri Rajendrakumar Hiralal Jain, Gorelal Chowk, Nagpur, Gondia – 441601. PAN: ABGPJ 8488 C Appellant / Revenue Respondent /Assessee Assessee by Shri K P Dewani – AR Revenue by Shri Sanjay Agrawal– DR Date of hearing 25/08/2023 Date of pronouncement 30/08/2023 आदेश/ ORDER PER DR. DIPAK P. RIPOTE, AM: This appeal filed by the Revenue i.e.ITO, Ward-1, Gondia is directed against the order of ld.Commissioner of Income Tax(Appeals)-1, Nagpur dated 19.07.2019 for the A.Y.2011-12, emanating out of order under section 143(3) r.w.s 147 of the ITA No.300/NAG/2019 Shri Rajndrakumar Hiralal Jain [R] 2 Income Tax Act, 1961 (in short “the Act”). The Revenue has raised the following grounds of appeal : “1. Whether on facts and circumstances of the case the CIT(A) was right in deleting the addition made on the basis of incriminating entries of substantial cash payments made appearing in the seized diaries of Shri Mitesh Bhangadia Group. 2. The Ld. CIT(A) failed to appreciate the circumstantial evidence of payment received by the assesse without considering the facts of the case. 3. The Ld. CIT(A) failed to appreciate the fact that the decision of Hon'ble Tribunal in the case of Shri Mitesh Bhangadia has not been accepted by the Department and further appeal is pending before the Hon’ble High Court. 4. Any other ground that may be raised during the proceedings.” Submission of ld.AR : 2. At the outset, ld.Authorised Representative of the assessee submitted that the Tax Effect in this case is only Rs.46,10,204/- which is below the statutory limit laid down by CBDT for filing the appeal. The ld.AR filed calculation to demonstrate Tax Effect which is as under : ITA No.300/NAG/2019 Shri Rajndrakumar Hiralal Jain [R] 3 3. The ld.Departmental Representative for the Revenue relied on the orders of the Lower Authorities. Findings & Analysis : 4. In this case, the ld.AR claimed that Tax Effect is Rs.46,10,204/-. We have perused the calculation. The CBDT Circular No.03/2018 dated 11/07/2018 fixed monetary limit for filing of appeals by the Revenue before the Tribunal at Rs.20.00 lakhs. Such limit has now been enhanced in the Circular No.17/2019 dated 08.08.2019 to Rs.50.00 lakhs. The tax effect in ITA No.300/NAG/2019 Shri Rajndrakumar Hiralal Jain [R] 4 the instant appeal is less than the revised monetary limit of Rs.50.00 lakhs. 5. At this juncture, it is pertinent to note that the CBDT vide F.No.279/Misc/M-13/2018-ITJ dated 20.08.2019 has clarified that the revised monetary limits so mentioned in Circular No.17/2019 are applicable to all pending appeals. In view of the foregoing discussion, we dismiss the appeal filed by the Revenue on account of low tax effect. However, if Revenue disagrees with the calculation submitted by the ld.AR, the Revenue is free to file Miscellaneous Application if deemed appropriate. 6. In the result, appeal of the Revenue is dismissed as not maintainable. Order pronounced in the open Court on 30th August, 2023. Sd/- Sd/- (PARTHA SARATHI CHAUDHURY) (DR. DIPAK P. RIPOTE) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 30th Aug, 2023/ SGR* आदेश कᳱ ᮧितिलिपअᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A), concerned. ITA No.300/NAG/2019 Shri Rajndrakumar Hiralal Jain [R] 5 4. The Pr. CIT, concerned. 5. िवभागीयᮧितिनिध, आयकर अपीलीय अिधकरण, नागपुर बᱶच, नागपुर/ DR, ITAT, Bench, Nagpur. 6. गाडᭅफ़ाइल / Guard File. आदेशानुसार / BY ORDER, // TRUE COPY // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे/ITAT, Pune.