DCIT, Jaipur V. SUMAN KATTA, Jaipur

ITA 320/JPR/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 3943 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 3 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-08-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 27-04-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J C KULHARI
• Assessee Lawyers: ROHAN SOGANI CA DHK
• Keywords: Tax effect
• Section: 68

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHE S, JAIPUR JH FOT; IKY JKO ] U;KF;D LNL; ,OA JH FOE FLAG ;KNO] YS[KK LNL; DS LE{K BEFORE: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM VK;DJ VIHY LA- @ ITA NO. 319 & 320/JP/2017 FU/KZKJ.K O'K Z @ ASSESSMENT YEARS : 2010-11 & 2011-12 D.C.I.T., CENTRAL CIRCLE-3, JAIPUR. CUKE VS. SMT. SUMAN KATTA, 18, SIYARAM STREET, TONK ROAD, DURGAPURA, JAIPUR. LFKK;H YS[KK LA - @THVKBZVKJ LA - @ PAN/GIR NO.: ACBPK 4356 L VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS @ REVENUE BY : SHRI J.C. KULHARI (JCIT) FU/KZKFJRH DH VKSJ L S@ ASSESSEE BY : SHRI ROHAN SOGANI (CA). LQUOKBZ DH RKJH[K @ DATE OF HEARING: 13/08/2018 MN?KKS'K.KK DH RKJH[K @ DATE OF PRONOUNCEMENT : 13/08/2018 VKNS'K@ ORDER PER: VIJAY PAL RAO, J.M.: BOTH THESE APPEALS BY THE REVENUE ARE DIRECTED AGAI NST THE SEPARATE ORDERS DATED 28/02/2017 OF LD. CIT(A)-4, JAIPUR FOR THE A.Y. 2010-11 & 2012 RESPECTIVELY. IN BOTH THE APPEALS THE REVENUE HAS RAISED FOLLOWING GROUNDS OF APPEAL: GROUNDS FOR THE A.Y. 2010-11 1. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS RIGHT IN DELETING THE ADDITION OF RS. 43,50,379 /- MADE BY THE A.O. U/S 68 OF THE INCOME TAX ACT, 1961. THE APPELLANT CRAVES LEAVE TO RESERVE THE RIGHT T O AMEND, MODIFY, ALTER ADD OR FOREGO ANY GROUND(S) OF APPEAL AT ANY TIME BEFORE OR DURING THE HEARING OF THIS APPEAL. GROUNDS FOR THE A.Y. 2011-12 2 ITA NO. 319 & 320/JP/2017 DCIT VS SUMAN KATTA 1. WHETHER ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS RIGHT IN DELETING THE ADDITION OF RS. 5,00,610/ - & RS. 27,50,000/- MADE BY THE A.O. U/S 68 OF THE INCOME TAX ACT, 1961 . THE APPELLANT CRAVES LEAVE TO RESERVE THE RIGHT T O AMEND, MODIFY, ALTER ADD OR FOREGO ANY GROUND(S) OF APPEAL AT ANY TIME BEFORE OR DURING THE HEARING OF THIS APPEAL. 2. AT THE TIME OF HEARING, THE LD. AR OF THE ASSESS EE HAS RAISED AN OBJECTION OF MAINTAINABILITY OF THE APPEALS OF THE REVENUE FO R BOTH THE ASSESSMENT YEARS DUE TO THE TAX EFFECT NOT EXCEEDING RS. 20 LACS AS PER THE CBDT CIRCLE NO. 3 OF 2018 DATED 11 TH JULY, 2018. THE LD. A/R SUBMITTED THAT IN THE FAC TS OF THE PRESENT CASE, TAX EFFECT IN REVENUES APPEALS ARE S TATED TO BE RS. 13,44,000/- FOR THE A.Y. 2010-11 ON THE ADDITION OF RS. 53,63,370/- AND RS. 10,04,000/- FOR THE A.Y. 2011-12 ON THE ADDITION OF RS. 44,82,350/- WHI CH IS BELOW THE PRESCRIBED LIMIT OF RS 20 LACS. 3. THE LD. D/R HAS FAIRLY SUBMITTED THAT THE TAX EF FECT INVOLVED IN BOTH THE REVENUES APPEALS ARE LESS THAN 20 LACS WHICH IS PR ESCRIBED THRESHOLD LIMIT IN TERMS OF THE CBDT CIRCULAR NO. 3/2018 DATED 11 TH JULY, 2018 ISSUED IN SUPERSESSION OF ITS EARLIER CIRCULAR NO. 21 OF 2015 DATED 10.12.2015. 4. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. IT IS OBSERVED THAT THE DEMAND/ TAX EFF ECT IN BOTH THE REVENUES APPEALS IN QUESTION IS BELOW RS. 20.00 LACS. UNDER THE POWERS VESTED BY SECTION. 268A(1) OF THE I T ACT, CBDT HAS RECENTLY ISSUED CIR CULAR NO. 3/2018 DATED 11 TH JULY, 2018 (F NO. 279/MISC. 142/2007-ITJ(PT) INSTR UCTING THE AUTHORITIES BELOW THAT DEPARTMENTAL APPEAL SHOU LD NOT BE FILED BEFORE ITAT WHERE THE DEMAND/TAX EFFECT DOES NOT EX CEED RS. 20 LACS. THE CIRCULAR IS SPECIFICALLY MENTIONED TO BE APPLIC ABLE FOR ALL PENDING APPEALS. 3 ITA NO. 319 & 320/JP/2017 DCIT VS SUMAN KATTA 5. SUBJECT TO SOME EXCEPTIONS, IT IS FURTHER DIREC TED BY CBDT THAT ALL THE DEPARTMENTAL APPEALS PENDING BEFORE ITAT WHERE THE DEMAND/TAX EFFECT IS NOT EXCEEDING THAN 20 LACS SHOULD BE EITHER WITHDRAWN O R NOT PRESSED BY THE DEPARTMENTAL REPRESENTATIVES. 6. THE PRESENT APPEALS ARE NOT COVERED BY ANY EXCE PTIONS MENTIONED IN THE SAID CBDT CIRCULAR. SINCE THE TAX DEMAND IN DISPUT E IN THIS DEPARTMENTAL APPEALS ARE BELOW THE LIMIT SET OUT BY CBDT FOR THE APPEAL, THE APPEALS OF THE ASSESSEE ARE NOT MAINTAINABLE IN VIEW OF CBDT CIRCULAR NO. 3 OF 2018 DATED 11.07.2018. ACCORDINGLY THE APPEALS OF THE DEPARTMENT ARE DISMI SSED AS NOT PRESSED/WITHDRAWN. 7. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE A RE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 13/08/2018 . SD/- SD/- FOE FLAG ;KNO FOT; IKY JKO (VIKRAM SINGH YADAV) (VIJAY PAL RAO) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 13 TH AUGUST, 2018 *RANJAN VKNS'K DH IZFRFYFI VXZSFKR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE D.C.I.T., CENTRAL CIRCLE-3, JAIPUR. 2. IZR;FKHZ@ THE RESPONDENT- SMT. SUMAN KATTA, JAIPUR. 3. VK;DJ VK;QDR@ CIT 4. VK;DJ VK;QDR@ CIT(A) 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K]T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO. 319 & 320/JP/2017 ) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASST. REGISTRAR