DCIT 4(2)(1), MUMBAI V. SUBHKAM SECURITIES P.LTD, MUMBAI

ITA 3089/MUM/2015

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 8784 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 7 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-01-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2011-2012
• Appeal Filed On: 22-05-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PREMANAND J
• Assessee Lawyers: SANJAY R PARIKH
• Keywords: Tax effect
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL 'C' BENCH, MUMBAI BEFORE SHRI JASON P. BOAZ, ACCOUNTANT MEMBER AND SHRI RAM LAL NEGI , JUDICIAL MEMBER ITA NO. 3089/MUM/2015 (ASSESSMENT YEAR: 2011-12) D C I T 4(2)(1) VS. M/S. SUBHKAM SECURITIES P. LTD. ROOM NO. 642, 6 TH FLOOR AAYAKAR BHAVAN, M.K. ROAD MUMBAI 400020 THE INTERNATIONAL HOUSE 4 TH FLOOR, NEW MARINE LINES CROSS ROAD NO. 1, NEAR AMERICAN CENTRE 16, M.K. ROAD, MUMBAI 400020 PAN AADCS4498N APPELLANT RESPONDENT APPELLANT BY: SHRI PREMANAND J. RESPONDENT BY: SHRI SANJAY R. PARIKH DATE OF HEARING: 19.01.2017 DATE OF PRONOUNCEMENT: 19.01.2017 O R D E R PER JASON P. BOAZ, A.M. THE AFORESAID APPEAL HAS BEEN FILED BY THE REVENUE AGAINST THE IMPUGNED ORDER DATED 13.03.2015 PASSED BY THE CIT(A )-9, MUMBAI FOR THE QUANTUM OF ASSESSMENT PASSED UNDER SECTION 143(3) O F THE ACT FOR A.Y. 2011-12 DATED 07.02.2014 ON THE FOLLOWING GROUNDS: - 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW, THE LD. CIT(A) ERRED IN DELETING THE DISALLOWANCE MADE BY THE AO ON ACCOUNT OF PAYMENT MADE AS CONSENT FEE FOR VIOLATIO N OF SEBI GUIDELINES, AS THE CONSENT FEE PAID BY THE AS IS NO THING BUT IN THE NATURE OF COMPOUNDING OF PENALTY TO AVOID SUSPENSIO N FOR INFRINGEMENT OF LAW. 2. THE APPELLANT CRAVES LEAVE TO AMEND OR ALTER ANY GROUND OR ADD A NEW GROUND WHICH MAY BE NECESSARY. 2. AT THE OUTSET, IT IS NOTICED THAT THE DISPUTED ISSU E IS ONLY FOR ` 15,00,000/- AND THE TAX EFFECT ON THIS AMOUNT IS BE LOW THE MONETARY LIMIT OF ` 10 LAKHS. AS PER THE LATEST CBDT CIRCULAR NO. 21 OF 2015, DATED 10 TH DECEMBER, 2015, NEW GUIDELINES OF MONETARY LIMIT FO R FILING OF APPEALS BY ITA NO. 3089/MUM/2015 M/S. SUBHKAM SECURITIES P. LTD. 2 THE DEPARTMENT HAS BEEN ISSUED, WHEREBY THE TAX EFF ECT FOR FILING OF APPEAL BEFORE THE ITAT HAS BEEN PRESCRIBED AT ` 10 LAKHS. IN THE SAID CIRCULAR, IT HAS BEEN SPECIFICALLY CLARIFIED THAT THE SAID INSTR UCTION WILL APPLY RETROSPECTIVELY TO ALL THE PENDING APPEALS. ACCORDI NGLY, THE APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE AND IS DISMISSED IN LIMINE. ORDER PRONOUNCED IN THE OPEN COURT ON 19 TH JANUARY, 2017. SD/ - SD/ - (RAM LAL NEGI) (JASON P. BOAZ) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DATED: 19 TH JANUARY, 2017 COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) -9, MUMBAI 4. THE CIT - 4, MUMBAI 5. THE DR, C BENCH, ITAT, MUMBAI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI N.P.