ITO, Kolar V. Sri. M. Veerabhadrappa, Malur

ITA 305/BANG/2014

• Counselvise Citation: 30521114 RSA 2014
• Duration Of Justice: 1 year(s) 5 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 20-08-2015
• Assessment Year: 2005-2006
• Appeal Filed On: 04-03-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUNIL KUMAR AGARWAL
• Assessee Lawyers: R CHANDRASHEKAR
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRI BUNAL BANGALORE BENCH C, BANGALORE BEFORE SMT. ASHA VIJAYARAGHAVAN, JM (SMC) ITA NO.305(B)/2014 (ASSESSMENT YEAR : 2005-06) THE INCOME-TAX OFFICER, WARD-1, KOLAR APPELLANT VS SHRI M VEERABHADRAPPA, ETTAKODI, KALKUNTE POST, MAIN ROAD, ETTAKODI VILLAGE,MALUR TALUK-563 130 RESPONDENT REVENUE BY : SHRI SUNIL KUMAR AGARWAL, JCIT ASSESSEE BY : SHRI R.CHANDRASHEKAR, ADVOCATE DATE OF HEARING : 20-08-2015 DATE OF PRONOUNCEMENT : 26-08- 2015 O R D E R PER SMT ASHA VIJAYARAGHAVAN, JM: THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF CIT(A)- V, BANGALORE DATED 14-10-2013 FOR THE ASSESSMENT YE AR 2005-06. 2. WE HAVE HEARD BOTH SIDES AND ALSO PERUSED THE MA TERIAL ON RECORD. 3. AT THE OUTSET, IT IS OBSERVED THAT THE TAX EFFEC T INVOLVED IN THIS APPEAL OF THE REVENUE IS LESS THAN THE MONETARY LIM IT OF RS.4.00 LAKHS PRESCRIBED BY THE CBDT FOR FILING THE APPEAL BEFORE THIS TRIBUNAL AND THE SAME THEREFORE, IS NOT MAINTAINABLE. ALTHOUGH, THE LEARNED DR HAS NOT DISPUTED THE FACT THAT THE TAX EFFECT INVO L VED I N TH I S APPEAL OF THE REVENUE I S LESS THAN RS.4.00 LA K HS, HE HAS C ONTEND E D THAT THE 2 ITA NO.305(B)/2014 R EVISED MONETARY L I MIT OF RS.4.00 LAKHS F IX ED BY TH E CBDT V I DE INSTRUCTION NO.5 OF 2014 ISSUED ON 10 TH J U LY , 2014 FOR F I LING OF THE DEPARTMENTAL APPEALS BEFORE THE TR I BUNA L I S APPLICABLE ON L Y TO THE APPEALS FILED ON OR AFTER 10 TH JULY , 2014. HE HAS CON T ENDED THAT SINCE THE PRESENT APPEAL WAS FIL ED BY THE DEPA R TM E NT O N 03-03- 2014, THE REVISED MONETARY L I M IT O F RS.4.00 L AKHS I S N O T APPL I CABLE TO T H E SAME. THE CO-ORDINATE BENCH HAS CONSIDERED S I M I LAR CONTENT I ONS OF THE REVENUE IN THE CASE OF ITO VS SR I SANTHOSH I T R ANSPO R T , Y ELLANDU ( K H AMMAM DISTRICT) IN ITA NO.615/HYD / 20 1 3 FO R ASSESSME N T YEA R 2 0 06-07 , A N D DEC I DED THE ISSUE R ELAT I NG T O THE APPL I CAB ILIT Y OF T HE CBDT INSTRUCT I ON NO.5 OF 2014 I SSUED ON 10 T H J UL Y , 2014 I N RESP E CT OF APPEALS FILED PRIOR TO 10 . 7.2014 , AGA I NS T THE DEPARTMEN T V I DE PA R A 2 OF OUR O R DE R DATED 23 . 2.20 1 5 , WH I CH R EADS AS F OL L OWS- '2. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AND ALSO PERUSED THE RELEVANT MATERIAL ON RECORDS. AS SUBMITTED BY THE LEARNED COUNSEL FOR THE ASSESSEE, AT THE OUTSET, THE TAX EFFECT INVOLVED IN THIS APPEAL OF THE REVENUE IS LESS THAN THE MONETARY LIMIT OF RS.4 LAKHS PRESCRIBED BY THE CBDT FOR FILING THE APPEALS BEFORE THE TRIBUNAL, AND THE SAME, THEREFORE , IS NOT MAINTAINABLE. ALTHOUGH THE LEARNED DEPARTMENTAL REPRESENTATIVE HAS NOT DISPUTED THE FACT THAT THE TAX EFFECT INVOLVED IN THIS APPEAL OF THE REVENUE IS LESS THAN 3 ITA NO.305(BANG)2014 RS.4.00 LAKHS, HE HAS CONTENDED THAT THE REVISED MONETARY LIMIT OF RS.4.00 LAKHS FIXED BY THE CBDT VIDE INSTRUCTION NO.5 OF 2014 ISSUED ON 10 T H JULY, 2014 FOR FILING OF THE DEPARTMENTAL APPEALS BEFORE THE TRIBUNAL IS APPLICABLE ONLY TO THE APPEALS FILED ON OR AFTER 10 TH JULY, 2014. HE HAS CONTENDED THAT SINCE THE PRESENT APPEAL WAS FILED BY THE DEPARTMENT ON 4.7.2013 , THE REVISED MONETARY LIMIT OF RS. 4.00 LAKHS IS NOT APPLICABLE TO THE SAME. IN THIS REGARD , THE LEARNED COUNSEL FOR THE ASSESSEE HAS RELIED ON THE DECISION OF THE KOLKATA BENCH OF THE TRIBUNAL IN THE CASE OF ITO , WARD 3 , MURSHIDABAD V S. NABIKCHUDDIN SK. RENDERED VIDE ITS ORDER DATED 12.8.2014 PASSED IN ITA NO.340/KOI/2012 , WHEREIN A SIMILAR ARGUMENT RAISED ON BEHALF OF THE DEPARTMENT WAS REJECTED BY THE TRIBUNAL RELYING INTER ALIA ON THE DECISION OF THE HON ' BLE GUJARAT HIGH COURT IN THE CASE OF SURESHCHANDRA DURGA PRASAD KHATOD(HUF) (253 CTR 492)(GUJ) , WHEREIN IT WAS HELD, KEEPING IN VIEW THE MAIN OBJECTIVE OF THE INSTRUCTION ISSUED BY THE CBDT TO REDUCE THE PEND I NG LITIGATION WHERE THE TAX EFFECT IS CONSIDERABLY LOW OR SMALL , THAT THE SAME WOULD APPLY TO PENDING APPEALS ALSO. KEEPING IN V I EW THE DEC I SION OF THE COORD I NATE BENCH OF THE TR I BUNA L I N THE CASE OF NAB I KCHUDD I N SK .( SUPRA ), WE HOLD THAT THE PRESENT APPEAL FILED BY THE DEPARTMENT I NVOLVING A TAX EFFECT OF LESS THAN THE MONETA RY 4 ITA NO.305(BANG)2014 LIM I T O F RS . 4.00 LAKHS FIXED BY THE CBDT I N ITS INSTRUCTION NO . 5 OF 2014 DATED 10 TH JULY , 2014 FO R FILING OF APPEALS BY THE DEPARTMENT BEFORE THE TRIBUNAL , IS NOT MAINTAINABLE . THE SAME I S ACCORDINGLY D I SMISSED .' 4. KEEPING IN VIEW TH E CONSISTENT VIEW TAKEN BY THE COORDINATE BENCHES OF THIS TRIBUNAL, I HOLD THAT THE PRESENT A PPEAL FILED BY THE D EPA RT ME NT INVOLVING A TAX EFFECT OF LESS THAN THE MONETARY LIMIT OF RS4.00 LAKHS FIXED BY THE CBD T IN IT S INSTRUCTION NO.5 OF 2014 D ATED 1 0 TH JULY , 201 4 FOR FILING OF A P P EALS B Y THE DE PA RTMENT B E F O RE THE TRIBUNAL, IS NOT MAINTAINABLE. THE SAME IS A CCORDINGLY DISMISSED. 5. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 26 TH AUGUST, 2015. SD/- (ASHA VIJAYARAGHAVAN) JUDICIAL MEMBER D A T E D : 26-08-2015 PLACE: BANGALORE AM* COPY TO : 1 APPELLANT 2 RESPONDENT 3 CIT(A) BANGALORE 4 CIT 5 DR, ITAT, BANGALORE. 6 GUARD FILE BY ORDER AR, ITAT, BANGALORE