ACIT, New Delhi V. Sh. C.L. Sharma, New Delhi

ITA 3274/DEL/2012

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 96993 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 1 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 17-08-2015
• Assessment Year: 2002-2003
• Appeal Filed On: 27-06-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MD MOHSIM ALAM
• Assessee Lawyers: AMIT GOEL
• Keywords: Unexplained cash credit; Unexplained investment; Tax effect
• Section: 153A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH B NEW DELHI BEFORE SHRI T.S.KAPOOR, ACCOUNTANT MEMBER AND SH. C.M. GARG, JUDICIAL MEMBER I.T.A. N O. 3274/DEL/2012 ASSTT. YEAR : 2002-03 ACIT, VS SHRI C.L.SHARMA, CENTRAL CIRCLE-22, 8, LOCAL SHOPP ING CENTRE, NEW DELHI. IIND/IIIRD FLOOR, VARDHMAN SIDDHARTH PLAZA, SAVITA VIHAR, NEW DELHI-110092 (PAN: AATPS2067C) I.T.A. NO. 1 401/DEL/2013 ASSTT. YEAR : 2002-03 SHRI C.L.SHARMA, VS DCIT, C C-22, NEW DELHI. NEW DELHI. (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI MD. MOHSIM ALAM CIT DR RESPONDENT BY: SHRI AMIT GOEL, CA O R D E R PER BENCH THESE CROSS APPEALS HAVE BEEN PREFERRED AGAINST TH E ORDER OF THE CIT(A)- III, DELHI DATED 11.4.2012 IN APPEAL NO. 234/08-09 FOR AY 2002-03. DATE OF HEARING 17.08.2015 DATE OF PRONOUNCEMENT 25 .08.2015 ITA NO. 3274/DEL/2012 ASSTT.YEAR: 2002-03 2 I.T.A. NO. 3274/DEL/2012 (REVENUES APPEAL) 2. GROUND NO. 4 & 5 OF THE REVENUE IN ARE GENERAL I N NATURE WHICH NEED NO ADJUDICATION. THE REMAINING GROUNDS OF THE REVENUE READ AS UNDER:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE, THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN DELETING TH E ADDITION OF RS. 8,00,000/- OUT OF RS. 8,01,004/- MADE BY THE AS SESSING OFFICER ON ACCOUNT OF UNEXPLAINED CASH CREDIT. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E, THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN DELETING THE ADDIT ION OF RS. 3,90,000/- MADE BY THE ASSESSING OFFICER ON ACCOUNT OF LOW HOUSEHOLD EXPENSES. 3. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E, THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN DELETING THE ADDIT ION OF RS. 63,200/- MADE BY THE ASSESSING OFFICER ON ACCOUNT O F UNEXPLAINED INVESTMENT IN PF & PPF. 3. GROUNDS RAISED IN ASSESSEES APPEAL IN I.T.A. NO . 1401/DEL/2013 READ AS UNDER:- 1. ON THE FACTS AND CIRCUMSTANCES OF CASE AND IN LAW, THE VARIOUS / ALL THE ADDITIONS MADE BY THE ASSESSING O FFICER ARE BEYOND THE SCOPE & JURISDICTION OF PROVISION OF SEC TION 153A OF THE INCOME TAX ACT, 1961 AND THE CIT(A) SHOULD HAVE HELD SO. 2. ON THE FACTS AND CIRCUMSTANCES OF CASE AND IN LA W, THE COMMISSIONER OF INCOME TAX (APPEAL) ERRED IN CONFIR MING THE ACTION OF ASSESSING OFFICER OF MAKING ADDITION OF R S.15525/-, RS.39425/- , RS.2285/- AND RS.1004/-). 4. WE HAVE HEARD ARGUMENTS OF BOTH THE SIDES AND CA REFULLY PERUSED THE RELEVANT MATERIAL PLACED ON RECORD. LD. AR PLACED CALCULATION OF TAX EFFECT PERTAINING TO REVENUE APPEAL AND SUBMITTED THAT TOT AL TAX EFFECT IN THIS CASE IS LESS THAN RS. 4 LAKH VIZ. RS.3,83,480. LD. AR FURT HER SUBMITTED THAT IN VIEW OF ITA NO. 3274/DEL/2012 ASSTT.YEAR: 2002-03 3 RECENT INSTRUCTION NO. 5/14 ISSUED BY CBDT ON 10.7. 14 REVISING THE LIMITATION FOR FILING APPEAL BY THE REVENUE BEFORE ITAT FIXING THE TAX EFFECT LIMIT AT RS. 4 LAKH OR MORE, THE APPEAL OF THE REVENUE IS NOT MAIN TAINABLE AND LIABLE TO BE DISMISSED IN LIMINE. ON SPECIFIC QUERY FROM THE BE NCH, LD. DR FAIRLY ACCEPTED THAT THE TOTAL TAX EFFECT IN THIS APPEAL IS LESS TH AN RS. 4 LAKH. 5. LD. COUNSEL OF THE ASSESSEE PLACING RELIANCE ON THE RECENT DECISION OF HONBLE HIGH COURT OF DELHI IN CIT VS M/S P.S. JAIN AND CO. DATED 2.8.2010 IN ITR 179/1991 SUBMITTED THAT THE RECENT BOARD INSTRU CTION REVISING THE MONETARY LIMIT TO RS. 4 LAKH FOR FILING THE APPEAL BEFORE TH E ITAT ON INCOME TAX MATTERS IS VERY MUCH APPLICABLE TO THE OLD REFERENCES WHICH AR E STILL PENDING UNDECIDED BEFORE THE TRIBUNAL. LD. DR FAIRLY ACCEPTED THAT T HE BOARD INSTRUCTION NO. 5/2014 ISSUED BY CBDT ON 10.7.2014 IS APPLICABLE TO THE PRESENT CASE. 6. IN VIEW OF ABOVE NOTED SUBMISSIONS OF BOTH THE S IDES, WE ARE INCLINED TO HOLD THAT THERE IS NO JUSTIFICATION TO PROCEED WITH THE CASES HAVING TAX EFFECT OF LESS THAN RS. 4 LAKH. IN VIEW OF ABOVE, RESPECTFUL LY FOLLOWING THE DECISION OF HONBLE JURISDICTIONAL HIGH COURT OF DELHI IN THE C ASE OF CIT VS M/S P.S. JAIN & CO. (SUPRA), WE HOLD THAT THIS BEING A LOW TAX EF FECT CASE, THE APPEAL OF THE REVENUE DESERVES TO BE DISMISSED AND WE DISMISS THE SAME IN LIMINE WITHOUT GOING INTO MERITS. 7. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ITA NO. 3274/DEL/2012 ASSTT.YEAR: 2002-03 4 I.T.A. NO. 1401/DEL/2013 (ASSESSEES APPEAL) 8. LD. AR SUBMITTED THAT THE ASSESSEE WISHES TO WIT HDRAW THE APPEAL AND HE MAY BE PERMITTED ACCORDINGLY. IN VIEW OF SUBMISSIO NS OF THE AR, THE ASSESSEE IS ALLOWED TO WITHDRAW THE APPEAL AND THE SAME IS D ISMISSED AS WITHDRAWN. 9. IN THE RESULT, THE APPEALS OF THE REVENUE AND TH E ASSESSEE ARE DISMISSED. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 25TH AUGUST 2015. SD/- SD/- (T.S.KAPOOR) (C. M. GARG) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 25TH AUGUST 2015 GS COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR BY ORDER ASSISTANT REGI STRAR