ACIT, New Delhi V. Sh. Sanjay Gupta, New Delhi

ITA 3861/DEL/2015

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 2900 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 2 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-09-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2010-2011
• Appeal Filed On: 11-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AGAINST TH E IMPUGNED PASSED
• Keywords: Unexplained investment; Tax effect
• Section: 268A; 69

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: F, NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER ITA NO. 3861/DEL/2015 ASSESSMENT YEAR: 2010-11 ACIT - CC - 07, ROOM NO. 330, ARA CENTRE, JHANDEWALAN EXTN., NEW DELHI VS. SH. SANJAY GUPTA, A-11, CC COLONY, OPP. R.P. BAGH, NEW DELHI 110007 (PAN: AELPG6586L) ( APPELLANT ) (RESPONDENT) ORDER PER H.S. SIDHU, JM: THIS APPEAL IS FILED BY THE REVENUE AGAINST TH E IMPUGNED ORDER PASSED BY THE LD. CIT(A)-24, NEW DEL HI RELATING TO ASSESSMENT YEAR 2010-11 ON THE FOLLOWIN G GROUNDS:- 1. THE ORDER OF LD. CIT(A) IS NOT CORRECT IN LAW AND FACTS. 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE THE LD. CIT(A) HAS ERRED IN LAW IN DEPARTMENT BY S MT. SULEKHA VERMA, CIT(DR) ASSESSEE BY NONE 2 DELETING THE ADDITION OF RS. 91,26,686/- MADE BY THE AO ON ACCOUNT OF UNEXPLAINED INVESTMENT U/S. 69 OF THE I.T. ACT, 1961. 3. THE APPELLANT CRAVES LEAVE TO ADD, AMEND ANY / ALL THE GROUNDS OF APPEAL BEFORE OR DURING THE COURSE OF HEARING OF THE APPEAL. 2. IN THIS CASE, NOTICE OF HEARING TO THE ASSESSE E WAS SENT BY THE REGISTERED AD POST, IN SPITE OF THE SAME, AS SESSEE, NOR HIS AUTHORIZED REPRESENTATIVE APPEARED TO PROS ECUTE THE MATTER IN DISPUTE, NOR FILED ANY APPLICATION F OR ADJOURNMENT. KEEPING IN VIEW THE FACTS AND CIRCUMS TANCES OF THE PRESENT CASE AND THE ISSUE INVOLVED IN THE P RESENT APPEAL, WE ARE OF THE VIEW THAT NO USEFUL PURPOSE W OULD BE SERVED TO ISSUE NOTICE AGAIN AND AGAIN TO THE ASSES SEE, THEREFORE, WE ARE DECIDING THE PRESENT APPEAL EXPA RTE QUA ASSESSEE, AFTER HEARING THE LD. DR AND PERUSING THE RECORDS. 3. IT IS NOTED THAT THE TAX EFFECT INVOLVED IN THIS DEPARTMENTAL APPEAL IS LESS THAN RS.50 LAKHS, HENCE , HE 3 REQUESTED THAT THE APPEAL OF THE REVENUE MAY BE DISMISSED IN VIEW OF LATEST CBDT CIRCULAR NO. 17/ 2019 DATED 08.08.2019 WHEREIN THE MONETARY LIMIT FOR FI LING THE APPEAL BEFORE THE APPELLATE TRIBUNAL BY THE DEPARTM ENT HAVE BEEN ENHANCED TO RS.50 LAKHS. 4. IT IS FURTHER NOTED THAT VIDE CIRCULAR NO.3/201 8 DATED 11 TH JULY, 2018 ISSUED BY CBDT UNDER SECTION 268A OF THE I.T. ACT, IT HAS BEEN DIRECTED THAT THE DEPARTMENT SHALL NOT FILE APPEAL BEFORE THE TRIBUNAL IN CASE WHERE THE T AX EFFECT DOES NOT EXCEED THE MONETARY LIMIT OF RS.20 LAKHS. IT IS ALSO DIRECTED THAT THIS INSTRUCTION WILL APPLY RETR OSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFOR TH IN THE TRIBUNAL. PENDING APPEALS BELOW THE SPECIFIED T AX LIMIT MAY BE WITHDRAWN/NOT PRESSED BY THE DEPARTMENT. RECENTLY, THE CBDT VIDE CIRCULAR NO.17/2019 DATED 08.08.2019 AMENDED ITS EARLIER CIRCULAR NO.3/2018 ( SUPRA) WHEREBY IT HAS BEEN DIRECTED THAT MONETARY LIMIT FO R FILING THE DEPARTMENTAL APPEAL IN INCOME TAX CASES MAY BE ENHANCED FURTHER THROUGH THIS AMENDMENT IN PARA-3 O F THE CIRCULAR MENTIONED ABOVE AND ACCORDINGLY, THE MONET ARY 4 LIMIT FOR FILING THE APPEAL BEFORE THE APPELLATE TR IBUNAL HAVE BEEN ENHANCED TO RS.50 LAKHS. SINCE CIRCULAR NO.17/2019 DATED 08.08.2019 HAVE BEEN ISSUED TO AME ND ITS EARLIER CIRCULAR NO.3/2018 DATED 11.7.2018 (SUP RA), THEREFORE, ALL THE CONDITIONS OF EARLIER CIRCULAR N O.3/2018 SHALL APPLY ACCORDINGLY. THIS VIEW IS SUPPORTED BY THE ITAT, AHEMEDABAD A BENCH DECISION DATED 14 TH AUGUST, 2019 PASSED IN THE CASE OF INCOME TAX OFFICER, WARD 3(2), AHMEDABAD VS. DINESH MADHVLAL PATEL AND 627 OTHERS PASSED IN ITA NO. 1398/AHD/2004 (AY 1998-99). 4.1 LD. CIT(DR) HAS AGREED THAT THE TAX EFFECT INVO LVED IN THIS APPEAL IS BELOW THE PRESCRIBED LIMIT I.E. RS . 50 LACS. 5. KEEPING IN VIEW OF THE FACTS AND CIRCUMSTANCES A S EXPLAINED ABOVE AND IN VIEW OF THE AFORESAID CBDT CIRCULARS AS WELL AS DECISION DATED 14 TH AUGUST, 2019 OF THE ITAT, AHEMEDABAD A BENCH PASSED IN THE CASE OF INCOME TAX OFFICER, WARD 3(2), AHMEDABAD VS. DINESH MADHVLAL PATEL AND 627 OTHERS PASSED IN ITA NO. 1398/AHD/2004 (AY 1998-99), THE APPEAL OF THE DEPARTMENT IS DISMISSED. 5 6. IN THE RESULT, THE APPEAL FILED BY THE DEPARTMEN T IS DISMISSED. THE DECISION IS PRONOUNCED ON 03.09.2019. SD/- SD/- (O.P. KANT) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 03.09.2019 SRB COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASSTT. REGISTRAR, ITAT, NEW DELHI 6