ITO 14(1)(4), MUMBAI V. BOMBAY FANCY TEXTILE CO, MUMBAI

ITA 3313/MUM/2014

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 3260 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-06-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 08-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SACHCHIDANAND DUBE
• Keywords: Retrospective amendment; Tax effect
• Section: 143(3)

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, MUMBAI BEFORE SHRI MAHAVIR SINGH , JM AND SHRI RAJESH KUMAR, AM ./ I.T.A. NO. 3313 /MUM/201 4 ( / ASSESSMENT YEAR : 20 10 - 11 ) INCOME TAX OFFICER - 14( 1 ) (4) , ROOM NO.203, EARNEST HOUSE, 2ND FLOOR, NARIMAN POINT, MUMBAI - 400021 / VS. M/S BOMBAY FANCY TEXTILE CO, AHUJA HOUSE, 83, VITHALWADI, KALBADEVI ROAD, MUMBAI - 40 0 002 ./ PAN : AAAFB6088R / REVENUE BY SHRI SACHCHIDANAND DUBE / ASSESSEE BY NONE / DATE OF HEARING : 31. 5.2016 / DATE OF PRONOUNCEMENT : 8.6 .2016 / O R D E R PER RAJESH KUMAR, A. M : THIS IS AN APPEAL FILED BY THE REVENUE CHALLENGING THE ORDER DATED 4.2.2014 OF LD.CIT(A)25, MUMBAI , FOR ASSESSMENT YEAR 20 10 - 11 BY WHICH THE REVENUE IS CHALLENGING THE DELETI ON OF ADDITION OF RS.11,12,860/ - U/S 41(1) OF THE INCOME TAX ACT, 1961 (THE ACT. 2 3313 /MUM/ 201 4 2. THE FACTS OF THE CASE ARE THAT THE ASSESSEE FILED ITS RETURN OF INCOME ON 15.10.2010 DECLARING TOTAL INCOME AT RS.95,917/ - . IN THE SCRUTINY PROCEEDINGS, THE ASSESSING OFFICER AFTER MAKING CERTAIN DISALLOWANCES FRAMED THE ASSESSMENT U/S 143(3) AT RS.22,79,730/ - . AGGRIEVED BY THE ORDER OF THE AO , THE ASSESSEE PREFERRED AN APPEAL BEFORE THE LD.CIT(A), WHO IN TURN DELETED TH E ADDITION OF RS.11.12,860/ - U/S 41(1) OF TH E ACT . BEING AGGRIEVED BY THE ORDER OF LD.CIT(A), THE REVENUE IS IN APPEAL BEFO RE US. 3 . NONE APPEARED ON BEHALF OF THE ASSESSEE AND THEREFORE PROCEED ED TO DECIDE THIS APPEAL EX - PARTE WITHOUT THE PRESENCE OF ASSESSEE AND AFTER HEARING THE LD.DR. FROM THE FACT, WE FIND THAT THE ASSESSEE DECLARED RETURN OF INCOME AT RS.95,917/ - AND HENCE, THE AO MADE AN ADDITION OF RS.21 , 83,813/ - BY MAKING VARIOUS DISALLOWANCES. IN THE FIRST APPELLATE STAGE, THE LD.CIT(A) ALLOWED THE RELIEF OF RS.11,12,860/ - . THEREFORE, THE NET INCOME REMAIN ED RS. 11 , 12 , 860 / - . WE FIND THAT THE TAX EFFECT INVOLVE D IN THIS APPEAL IS LESS THAN RS.10 LAKHS AND ACCORDING TO THE CBDT CIRCULAR BEARING CIRCULAR NO.21/2015 DATED 10.12.2015 THE REVENUE IS PRECLUDED FROM FILING ANY APPEAL BEFORE THE ITAT WHERE TAX EFFECT IS LESS THAN RS.10 LAKHS AND THE SAID CIRCULAR HA S RETROSPECTIVE EFFECT AND IS APPLICABLE TO THE EXISTING APPEALS ALSO. THEREFORE, THIS APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE AS PER THE INSTRUCTIONS GIVEN IN CBDT CIRCULAR MENTIONED ABOVE . ACCORDINGLY, WE DISMISS THE APPEAL OF THE REVENUE BEING BELOW RS.10 LAKHS. 3 3313 /MUM/ 201 4 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 8 TH JUNE , 2016. SD SD ( MAHAVIR SINGH ) (RAJESH KUMAR) / J UDICIAL MEMBER / A CCOUNTANT MEMBER MUMBAI ; DATED : 8.6.2016 SR.PS:SRL: / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3. ( ) / THE CIT(A) 4. / CIT CONCERNED 5. , , / DR, ITAT, MUMBAI 6. / GUARD F ILE / BY ORDER, TRUE COPY / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI