ITO, JAGDALPUR (CG) V. SHRI B. K. CHAWLA, JAGDALPUR (CG)

ITA 33/BIL/2011

• Counselvise Citation: 3324714 RSA 2011
• Duration Of Justice: 1 year(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-02-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2005-2006
• Appeal Filed On: 31-01-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DEBO SHISH LAHIRI
• Keywords: Tax effect
• Section: 68

Judgement Text

1 ITA NO. 33/BLPR/2011 SHRI B.K. CHAWLA IN THE INCOME TAX APPELLATE TRIBUNAL BILASPUR BENCH, BILASPUR BEFORE SHRI SHAILENDRA KUMAR YADAV, J.M. AND SHRI R.K. PANDA, A.M. ITA NO. 33/BLPR/2011 ASSESSMENT YEAR 2005-06 INCOME TAX OFFICER, JEYPORE ROAD, KUMHARPARA, JAGADALPUR, DIST. BASTAR (C.G.) VS SHRI B.K. CHAWLA, 28, VARDHAMAN COLONY, JAGDALPUR, DIS. BASTAR (C.G.) (APPELLANT) (RESPONDENT) PAN NO. ACBPC2421Q A PPELLANT BY SHRI DEBO SHISH LAHIRI (SR. D.R.) RESPONDENT BY WRITTEN SUBM ISSION. DATE OF HEARING 10.02.2012 DATE OF PRONOUNCEMENT 10.02.2012 ORDER PER SHAILENDRAKUMAR YADAV, J.M THIS APPEAL FILED BY THE REVENUE IS AGAINST T HE ORDER OF CIT(A), RAIPUR (CG) DATED 11.11.2010 FOR THE ASSESS MENT YEAR 2005-06. THE GROUNDS RAISED BY THE REVENUE IN THIS APPEAL READ AS UNDER. 1. WHETHER IN LAW & CIRCUMSTANCES OF THE CASE, THE CIT(A) WAS JUSTIFIED IN DELETING THE DISALLOWANCE MADE BY THE AO OUT OF LABOUR EXPENSES CLAIM. 2 ITA NO. 33/BLPR/2011 SHRI B.K. CHAWLA 2. WHETHER IN LAW & CIRCUMSTANCES OF THE CASE, THE CIT(A) WAS JUSTIFIED IN DELETING THE ADDITION OF RS. 2,30, 000/- AND RS. 1,15,500/- MADE BY THE AO U/S 68 OF THE I.T. AC T, 1961. 3. THE ORDER OF THE LD. CIT(A) IS ERRONEOUS BOTH IN LAW AND ON FACTS. 2. AT THE TIME OF HEARING BOTH THE PARTIES FAIR LY CONCEDED BEFORE US THAT THE TAX EFFECT INVOLVED IN THIS APPEAL IS L ESS THAN RS. 3.00 LACS. AS PER CBDT INSTRUCTION NO.2 DATED 24/10/2005 THE REVENUE AUTHORITIES ARE NOT AUTHORIZED TO FILE APPE AL BEFORE THE TRIBUNAL IN CASE THE TAX EFFECT IS LESS THAN RS. 2. 00 LACS. THE SAID LIMIT WAS RAISED TO RS. 3.00 LACS VIDE INSTRUCTION NO.3 OF 2011 DATED 9/2/2011 OF CBDT. THE HONBLE BOMBAY HIGH CO URT IN THE CASE OF CIT VS. CAMPO COLOUR COMPANY (254 ITR 5 65) HAVE HELD THAT THE APPEAL FILED BY THE REVENUE AUTHORITI ES IN CONTRAVENTION OF THE INSTRUCTION OF CBDT IS NOT MAI NTAINABLE. THE HONBLE BOMBAY HIGH COURT IN THE CASE OF PITHWA ENGINEERING WORKS, (276 ITR 519) HAVE ALSO HELD THA T THE INSTRUCTION ISSUE BY CBDT PRESCRIBING TAX LIMIT FO R FILING APPEAL BEFORE THE TRIBUNAL OR HIGH COURT WOULD ALSO APPLY TO PENDING APPEALS EVEN THOUGHT ON THE DATE OF FILING OF APPEA L, THE MANDATORY LIMIT MAY HAVE BEEN LOWER. IN THIS CASE THE DATE OF FILING OF APPEAL THE MONETARY LIMIT WAS RS. 2.00 LA CS, WHICH HAS NOW BEEN RAISED TO RS. 3.00 LACS. THEREFORE, IN VI EW OF THE JUDGMENT OF HONBLE BOMBAY HIGH COURT IN THE PITHWA ENGINEERING WORKS (SUPRA) THE APPEAL FILED BY THE R EVENUE IS NOT 3 ITA NO. 33/BLPR/2011 SHRI B.K. CHAWLA MAINTAINABLE AS THE TAX EFFECT INVOLVED IS LESS THA N RS.3.00 LACS. WE, THEREFORE, DISMISS THE APPEAL OF THE REVENUE AS NOT MAINTAINABLE. 3. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 10 TH DAY OF FEB. 2012. SD/- (R.K. PANDA) ACCOUNTANT MEMBER SD/- ( SHAILENDRA KUMAR YADAV ) JUDICIAL MEMBER PLACE: BILASPUR : DATED: 10.02.2012 RK COPY FORWARDED TO: 1 APPELLANT 2 RESPONDENT 3 CIT , RAIPUR(C.G.) 4 CIT(A), RAIPUR (C.G. 5 DR BENCH BILASPUR 6 MASTER FILE /TRUE COPY/ BY ORDER SR. PRIVATE SECRETARY, ITAT, BILASPUR BILASPUR.