DEPUTY COMMISSIONER OF INCOME TAX 3(3) 2, MUMBAI V. SUPARNA CHEMICALS LIMITED , MUMBAI

ITA 3854/MUM/2019

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 4675 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 8 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-02-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2014-2015
• Appeal Filed On: 31-05-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: T S KHALSA LD SR
• Assessee Lawyers: NAVIN KUMAR MISHRA LD
• Keywords: Tax effect
• Section: 2

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL G BENCH, MUMBAI , , BEFORE HONBLE SHRI MANOJ KUMAR AGGARWAL, AM AND HONBLE SHRI RAVISH SOOD, JM (HEARING THROUGH VIDEO CONFERENCING MODE) ./ I.T.A. NO.3854/MUM/2019 ( / ASSESSMENT YEAR: 2014-15) & ./ I.T.A. NO.3855/MUM/2019 ( / ASSESSMENT YEAR: 2015-16) DCIT - 3(3)(2) ROOM NO.628, 6 TH FLOOR AAYKAR BHAWAN, M.K.ROAD MUMBAI-400 020 / VS. M/S. SUPARNA C HEMICALS LTD 54-A, MITTAL TOWER FREE PRESS JOURNAL ROAD NARIMAN POINT, MUMBAI-400 021 ./ ./PAN/GIR NO. AABCS-4578-F ( ' /APPELLANT ) : ( #$ ' / RESPONDENT ) ASSESSEE BY : SHRI NAVIN KUMAR MISHRA-LD.AR REVENUE BY : SHRI T.S. KHALSA- LD. SR.AR / DATE OF HEARING : 11/02/2021 / DATE OF PRONOUNCEMENT : 11/02/2021 / O R D E R MANOJ KUMAR AGGARWAL (ACCOUNTANT MEMBER) 1. AFORESAID APPEALS BY REVENUE FOR ASSESSMENT YEA RS [IN SHORT REFERRED TO AS AY] 2014-15 & 2015-16 CONTEST SEPA RATE ORDERS OF LEARNED FIRST APPELLATE AUTHORITY WHICH HAS GRANTED CERTAIN RELIEF TO THE ASSESSEE ON ACCOUNT OF WEIGHTED DEDUCTION U/S 3 5(2AB). 2 2. THE LD. COUNSEL FOR ASSESSEE, SHRI NAVIN KUMAR MISH RA, AT THE OUTSET, DRAWING ATTENTION TO FORM NOS. 36, SUBM ITTED THAT TAX EFFECT OF QUANTUM ADDITIONS UNDER DISPUTE IN BOTH T HE YEARS IS BELOW PRESCRIBED THRESHOLD LIMIT OF RS.50 LACS AND THEREFORE, THE REVENUES APPEALS ARE NOT MAINTAINABLE IN TERMS OF LATEST LOW TAX EFFECT CBDT CIRCULAR NO. 17/2019 DATED 08/08/2019 [F.NO.279/MISC. 142/2007-TTJ(PT.) . THE LD. DR COULD NOT POINT OUT ANY EXCEPTION TO CONTROVERT THE PLEA RAISED BY LD. AR. 3. AFTER GOING THROUGH MATERIAL ON RECORD, WE FIND THAT THE TAX EFFECT OF QUANTUM ADDITIONS UNDER DISPUTE, IN BOTH THE APPEALS, IS BELOW THRESHOLD MONETARY LIMIT OF RS.50 LACS AND TH EREFORE, THE APPEALS ARE NOT MAINTAINABLE IN TERMS OF RECENTLY I SSUED LOW TAX EFFECT CIRCULAR NO. 17/2019 DATED 08/08/2019 [F.NO. 279/MISC. 142/2007-TTJ(PT.) ISSUED BY CBDT. THIS RECENT CIRCU LAR FURTHER ENHANCES THE MONETARY LIMIT FIXED IN EARLIER CIRCUL AR NO.3 OF 2018 DATED 11/07/2018 ISSUED BY CBDT AS AMENDED ON 20/08 /2018. IN VIEW OF THE SAME, THE APPEALS ARE NOT MAINTAINABLE. 4. AT THE SAME TIME, A LIBERTY IS GIVEN TO REVENUE TO SEEK RECALL OF THE APPEALS, IF AT A LATER STAGE, IT IS FOUND TH AT THE MATTER IS COVERED BY ANY EXCEPTIONS PROVIDED IN ANY OF THE CI RCULAR OR IN CASE THE TAX EFFECT IN THE APPEALS EXCEEDS THE PRESCRIBE D MONETARY LIMIT. 5. RESULTANTLY, BOTH THE APPEALS STANDS DISMISSED. ORDER PRONOUNCED ON 11 TH FEBRUARY, 2021. SD/- SD/- (RAVISH SOOD) (MANO J KUMAR AGGARWAL) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI; DATED : 11/02/2021 SR.PS, KASARLA THIRUMALESH 3 ! / COPY OF THE ORDER FORWARDED TO : 1. ' / THE APPELLANT 2. #$ ' / THE RESPONDENT 3. + ( ) / THE CIT(A) 4. + / CIT CONCERNED 5. ,-#&. , . , / DR, ITAT, MUMBAI 6. -/01 / GUARD FILE / BY ORDER, / (DY./ASSTT.REGISTRAR) , / ITAT, MUMBAI.