DCIT,Central Circle-1, Udaipur V. Shri Shanti Lal Maroo, Udaipur

ITA 391/JODH/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 1055 (ITAT-JODHPUR)
• Duration Of Justice: 1 year(s) 1 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2010-2011
• Appeal Filed On: 07-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: GIRISH MEHTA
• Assessee Lawyers: P K JAIN
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, JODHPUR DIVISION BENCH , JODHPUR BEFORE: SHRI. N.K.SAINI, VP & SHRI , SANDEEP GOSAIN , JM ITA NO. 179/JODH/2018 ASSESSMENT YEAR : 2013-14 THE DCIT CIRCLE-1, JODHPUR VS. M/S BALSAMAND HORTICULTURE & ANIMAL HUSBANDARY ENTERPRISES, UMAID BHAWAN PALACE, JODHPUR PAN NO: AAAFB9363M APPELLANT RESPONDENT CROSS OBJECTION NO. 03/JODH/2018 (IN ITA NO. 179/JODH/2018) ASSESSMENT YEAR : 2013-14 M/S BALSAMAND HORTICULTURE & ANIMAL HUSBANDARY ENTERPRISES, UMAID BHAWAN PALACE, JODHPUR VS. THE DCIT CIRCLE-1, JODHPUR PAN NO: AAAFB9363M APPELLANT RESPONDENT ASSESSEE BY : SHRI DILIP SINGH & SHRI P.K. JAIN, CA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 224/JODH/2018 ASSESSMENT YEAR : 2014-15 THE ITO, WARD-3, NAGAUR VS. SHRI MAHENDER KHADAV S/O SHRI. DHANNA RAM, LUNIYAS, BADGAON MEDTA PAN NO: ASQ PK0893F APPELLANT RESPONDENT ASSESSEE BY : SHRI S.V KHATRI, JCIT-DR REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 226/JODH/2018 ASSESSMENT YEAR : 2014-15 THE DCIT, CIRCLE - 1 BIKANER VS. M/S MIMANI AGRO PRODUCTS PVT. LTD. 316, IGC, KHARA, BIKANER PAN NO: AAECM8987H APPELLANT RESPONDENT ASSESSEE BY : W/S (SHRI VINOD DAMANI) REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 249/JODH/2018 ASSESSMENT YEAR : 2014-15 ASST. CIT VS. M/S WOLKEM INDIA LTD. 2 CIRCLE - 1, UDAIPUR E - 101, MIA, MADRI, UDAIPUR PAN NO: AAACW1831A APPELLANT RESPONDENT ASSESSEE BY : W/S (SHRI. HEMENDER PANDWAL) REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 281/JODH/2018 ASSESSMENT YEAR : 2015-16 THE DCIT CIRCLE, BHILWARA VS. M/S SANGAM INFOTECH.COM LTD., JHANAR PLASTCI COMPOUND, S.K. PLAZA, PUR ROAD, BHILWARA, RAJASTHAN PAN NO: AAHCS4552R APPELLANT RESPONDENT ASSESSEE BY : SMT. RAKSHA BIRLA, CA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 283/JODH/2018 ASSESSMENT YEAR : 2014-15 THE DCIT CIRCLE, BHILWARA VS. M/S S.R. ASSOCIATES, 5 - G - 9/2, SHIVAJEE PARK STREET, R.C. VYAS COLONY, BHILWARA, RAJASTHAN PAN NO: ABCFS4017L APPELLANT RESPONDENT ASSESSEE BY : W/S (SHRI S.S. SHAKTAWAT) REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 300/JODH/2018 ASSESSMENT YEAR : 2015-16 THE ITO, WARD - 3(5) ROOM NO. 100, 'AAYAKAR BAHWA' PAOTA 'C' ROAD, JODHPUR VS. BILARA SAHAKARI BHOOMI VIKAS BANK LTD., ADARSH COLONY, TEHSIL-BILARA, JODHPUR PAN NO: AAAAB2127J APPELLANT RESPONDENT ASSESSEE BY : SHRI S.M. JAIN, CA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 423/JODH/2017 ASSESSMENT YEAR : 2014-15 THE DY. CIT CIRCLE-1, JODHPUR VS. SHRI. SAGAR JOSHI B-13, SHASTRI NAGAR, JODHPUR PAN: AFXPJ5600H PAN NO: AAAFK8329A APPELLANT RESPONDENT 3 ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 391/JODH/2018 ASSESSMENT YEAR : 2010-11 THE DY. CIT CIRCLE-1, UDAIPUR VS. SHRI. SHANTI LAL MAROO 27, BHANBAG, NEW FATEHPURA, UDAIPUR, RAJASTHAN PAN NO: AFPPM1906H APPELLANT RESPONDENT ASSESSEE BY : SHRI SHRAWAN GUPTA, ADVOCATE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 177/JODH/2018 ASSESSMENT YEAR : 2010-11 THE ITO WARD-DUNGARPUR VS. M/S DUNGARPUR KRAY, VIKRAY SAHAKARI SAMITI LTD. NR. POLICE LINE, DUNGARPUR PAN NO: AAAAD0138M APPELLANT RESPONDENT ASSESSEE BY : SHRI SHRAWAN GUPTA, ADVOCATE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 259 /JODH/2017 ASSESSMENT YEARS : 2011-12 THE ITO, WARD - 1(1) BIKANER VS. M/S BOMBAY BUILDER C/O BOMBAY MALL, NEAR JHANWAR BUS STAND, SRI DUNGARGARH, BIKANER PAN NO: AAKFB4840R APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 284/JODH/2016 ASSESSMENT YEARS : 2012-13 THE DCIT, CIRCLE, BHILWARA VS. M/S THE CENTRAL COOPERATIV E BANK LIMITED. 52, BALAJI MARKET, NEAR SUCHANA KENDRA, BHILWARA, RAJASTHAN PAN NO: AAAAT8126B APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI K.C. BADHOK, CIT DR ITA NO. 34/JODH/2016 ASSESSMENT YEARS : 2011-12 4 THE ITO, WARD-1, MAKRANA VS. SHRI JEET MAL KUMAWAT KUCHAMAN CITY PAN NO: AGIPK7004N APPELLANT RESPONDENT ASSESSEE BY : SMT. RAKSHA BIRLA, CA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 248/JODH/2017 ASSESSMENT YEARS : 2012-13 THE ITO WARD-3(3), JODHPUR VS. SHRI SHYAM KISHORE BHOOTRA 1 SHAMBHU BHAWAN, FATEH SAGAR JODHPUR PAN NO: AAZPB0355J APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 104/JODH/2018 ASSESSMENT YEARS : 2014-15 THE ASST. CIT CIRCLE-3, JODHPUR VS. SHRI. ADU RAM BASIYA PROP. M/S MAHADEV AUTO DIESELS, NH-15,SANCHORE ROAD, BARMER PAN NO: ABYPB1961G APPELLANT RESPONDENT ASSESSEE BY : SHRI AMIT KOTHARI, CA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 180/JODH/2018 ASSESSMENT YEARS : 2013-14 THE DCIT, CIRCLE, PALI VS. DR. GULAM ALI SIKANDER KAMDAR 289, KIDWAI NAGAR, PALI PAN NO: AABPK6096M APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 44/JODH/2018 ASSESSMENT YEARS : 2012-13 THE ITO, WARD-1, MAKRANA VS. SMT. LADA DEVI W/O LATE SHRI RUGHA RAM JAT, GOUGOR, NAGAUR PAN NO: CJQPD2743C APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR 5 ITA NO. 348/JODH/2017 ASSESSMENT YEARS : 2009-10 THE DCIT CIRCLE, BHILWARA VS. M/S RONAK PROCESSORS PVT. LTD. G-138-142, RIICO INDUSTRIAL AREA, 4TH PHASE, BHILWARA, RAJASTHAN PAN NO: AABCB3476D APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI K.C. BADHOK, CIT DR ITA NO. 203/JODH/2017 ASSESSMENT YEARS : 2013-14 THE ITO SURATHGARH VS. SHRI. HANUMAN PRASAD GOYAL PROP. M/S GOYAL ENTERPRISES, GHARSANA RAJASTHAN PAN NO: ABVPG7484Q APPELLANT RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 439/JODH/2018 ASSESSMENT YEARS : 2015-16 THE ASST. CIT CIRCLE (EXEMPTIONS) JODHPUR VS. M/S ARYABHATTA ACADEMIC SOCIETY NEAR SUCHNA KENDRA, OPPOSITE AGARWAL SCHOOL, AJMER PAN NO: AAAAA6283E APPELLANT RESP ONDENT ASSESSEE BY : SHRI SHAILENDRA S. CHAUHAN REVENUE BY : SHRI GIRISH MEHTA, JCIT DR ITA NO. 453/JODH/2018 ASSESSMENT YEARS : 2009-10 THE ASST. CIT PALI VS. M/S RAJASTHAN MARUDHARA GRAMIN CIRCLE-BANK, (EARLIER MGB GRAMIN BANK) 900/751, MILKMAN COLONY, PAL ROAD, JODHPUR, H.O. TULSI TOWER, 9TH B ROAD, SARDARPURA, JODHPUR PAN NO: AABAM0917E APPELLANT RESPONDENT ASSESSEE BY : SHRI GOUTAM BAID, CA REVENUE BY : SHRI K.C. BADHOK, CIT DR 6 ITA NO. 464/JODH/2018 ASSESSMENT YEARS : 2010-11 TH E ITO WARD-1, SRI GANGANAGAR VS. SMT. PUSHPA DEVI PROP. M/S SINGLA & SONS, NEW DHAN MANDI, SRI GANGANAGAR PAN NO: AYQPS3767E APPELLANT RESPONDENT ASSESSEE BY : SHRI SURESH OJHA & SHRI D.S BOHRA REVENUE BY : SHRI GIRISH MEHTA, JCIT DR / DATE OF HEARING : 11/09/2019 / DATE OF PRONOUNCEMENT : 11/09/2019 / ORDER PER BENCH: ALL THE ABOVE APPEALS FILED BY THE DEPARTMENT AND C ROSS OBJECTION FILED BY THE ASSESSEE ARE ARISING OUT OF THE SEPARATE ORDERS PAS SED BY DIFFERENT CIT(A) AS PER THE DETAILS GIVEN BELOW: SL. NO. APPEAL NUMBER & ASSESSMENT YEAR DATE OF CIT/ CIT(A) ORDER OFFICE OF CIT/ CIT(A) 1 ITA NO. 179/JODH/2018 (A.Y. 2013-14) C.O. NO. 03/JODH/2018 (A.Y. 2013-14) 16/02/2018 CIT(A)-1, JODHPUR 2 ITA NO. 224/JODH/2018 (A.Y. 2014-15) 23/02/2018 CIT(A)-2, JODHPUR 3 ITA NO. 226/JODH/2018 (A.Y. 2014-15) 01/02/2018 CIT(A), BIKANER 4 ITA NO. 249/JODH/2018 (A.Y. 2014-15) 19/03/2018 CIT(A) - 1, UDAIPUR 5 ITA NO. 281/JODH/2018 (A.Y. 2015-15) 23/03/2018 CIT(A) , AJMER 6 ITA NO. 283/JODH/2018 (A.Y. 2014-15) 22/03/2018 CIT(A) , AJMER 7 ITA NO. 300/JODH/2018 (A.Y. 2015-16) 28/03/2018 CIT(A) - 2, JODHPUR 8 ITA NO. 423/JODH/2017 (A.Y. 2014-15) 31/08/2017 CIT(A) - 1 , JODHPUR 9 ITA NO. 391/JODH/2018 (A.Y. 2010-11) 14/06/2018 CIT(A)-2, UDAIPUR 10 ITA NO. 177/JODH/2018 (A.Y. 2010 -11) 24/02/2015 CIT(A) - 1, UDAIPUR 11 ITA NO. 259 /JODH/2017 (A.Y. 2011-12 ) 06/01/2017 CIT(A), BIKANER 12 ITA NO. 284/JODH/2016 (A.Y. 2012-13) 22/06/2016 CIT(A) AJMER 13 ITA NO. 34/JODH/2016 (A.Y. 2011-12) 30/11/2015 CIT(A)-2, JODHPUR 14 ITA NO. 248/JODH/2017 (A.Y. 2012-13) 20/03/2017 CIT(A)-1, JODHPUR 15 ITA NO. 104/JODH/2018 (A.Y. 2014-15) 14/11/2017 CIT(A) - 2 , JODHPUR 16 ITA NO. 180/JODH/2018 (A.Y. 2013-14) 17/04/2018 CIT(A) - 1, JODHPU R 17 ITA NO. 44/JODH/2018 (A.Y. 2012-13) 27/10/2017 CIT(A) - 2 , JODHPUR 18 ITA NO. 348/JODH/2017 (A.Y. 2009-10) 05/06/2017 CIT(A) AJMER 19 ITA NO. 203/JODH/2017 (A.Y. 2013-14) 30/12/2016 CIT(A), BIKANER 20 ITA NO. 439/JODH/2018 (A.Y. 2015-16) 05/06/201 8 CIT(A) - AJMER 7 21 ITA NO. 453/JODH/2018 (A.Y. 2009-10) 15/07/2018 CIT(A)-1, JODHPUR 22 ITA NO. 464/JODH/2018 (A.Y. 2010-11) 19/07/2018 CIT(A), BIKANER 2. DURING THE COURSE OF HEARING IT WAS A COMMON CON TENTION OF THE LD. COUNSELS FOR THE ASSESSEES PRESENT ON BEHALF OF THE DIFFERENT AS SESSEES THAT THESE APPEALS FILED BY THE DEPARTMENT ARE NOT MAINTAINABLE IN VIEW OF THE CIRCULAR NO. 17/2019 DT. 08/08/2019 ISSUED BY CBDT WHEREIN THE MONETARY LIMIT FOR FILIN G THE APPEALS BY THE DEPARTMENT BEFORE THE ITAT HAS BEEN INCREASED TO RS. 50,00,000 /- FROM RS. 20,00,000/-. 3. IN THE RIVAL SUBMISSIONS THE LD. CIT DR / SR. DR SUBMITTED THAT THE CIRCULAR NO. 17/2019 DT. 08/08/2019 IS NOT CLEARLY RETROSPECTIVE IN AS MUCH AS IT SPECIFICALLY STATES IN PARA 4 THAT THE SAID MODIFICATION SHALL COME INTO EFFECT FROM THE DATE OF ISSUE OF THIS CIRCULAR IT WAS STATED THAT THE AFORESAID SENTENCE CLEARLY GIVES AN IMPRESSION THAT THE SAID CIRCULAR IS APPLICABLE AFTER THE DATE MENTIONE D THERE IN AND THEREAFTER THE DEPARTMENTAL APPEALS WHICH COME IN THE SPECIFIED TA X EFFECT LIMIT WILL NOT BE FILED. THE LD. COUNSELS APPEARING ON BEHALF OF THE ASSESSEES V EHEMENTLY OPPOSED THE CONTENTION OF THE LD. CIT(DR) AND THEY WERE UNANIMOUS IN THEIR ARGUMENTS THAT THE CIRCULAR MUST BE HELD TO HAVE RETROSPECTIVE APPLICATION AND MUST EQUALLY APPLY TO THE PENDING APPEALS AS WELL, SINCE THE PRESENT CIRCULAR ONLY MO DIFIES THE MONETARY LIMIT EARLIER MENTIONED IN CIRCULAR NO. 3 OF 2018 DT. 11/07/2018. 4. WE HAVE CONSIDERED THE SUBMISSIONS OF BOTH THE P ARTIES AND CAREFULLY GONE THROUGH THE MATERIAL AVAILABLE ON THE RECORD. IN T HE PRESENT CASE IT IS AN ADMITTED FACT THAT THE CBDT VIDE CIRCULAR NO. 17/2019 ENHANCED TH E MONETARY LIMIT TO RS. 50,00,000/- FOR NOT FILING THE APPEAL BY THE DEPARTMENT BEFORE THE ITAT, EARLIER THIS LIMIT WAS SPECIFIED AT RS. 20,00,000/- IN THE ORIGINAL CIRCUL AR NO. 03/2018 DT. 11/07/2018. NOW VIDE THE NEW CIRCULAR NO. 17/2019 DT. 08/08/2019 THE TA X EFFECT LIMIT HAS BEEN ENHANCED AND THIS NEW CIRCULAR DT. 08/08/2019 READ AS UNDER; CIRCULAR NO. - 17 OF 2019 DATE - 8TH AUGUST 2019 FURTHER ENHANCEMENT OF MONETARY LIMITS FOR FILING O F APPEALS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HIGH COURTS AND SLPS /APPEALS BEFORE SUPREME COURT - AMENDMENT TO CIRCULAR 3 OF 2018 - MEASURES FOR REDU CING LITIGATION. 8 CIRCULAR NO. 3/2018 DATED 11TH JULY 2018 HAS BEEN R EPLACED BY CIRCULAR NO. 17/2019 DATED 8TH AUGUST 2019 TO ENHANCE MONETARY LIMITS FOR FILI NG OF APPEALS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HIGH COURTS AND SLPS /APPEALS BEFORE SUPREME COURT FOR REDUCING LITIGATION. APPEALS/SLPS IN INCOME-TAX MATTERS MONETARY LIMIT (RS.) [PREVIOUS LIMIT) MONETARY LIMIT (RS.) (REVISED LIMIT) BEFORE APPELLATE TRIBUNAL 20,00,000 50,00,000 BEFORE HIGH COURT 50,00,000 1,00.00.000 BEFORE SUPREME COURT 1,00,00,000 2.00.00,000 THE ASSESSING OFFICER SHALL CALCULATE THE TAX EFFEC T SEPARATELY FOR EVERY ASSESSMENT YEAR IN RESPECT OF THE DISPUTED ISSUES IN THE CASE OF EVERY ASSESSEE. IF, IN THE CASE OF AN ASSESSEE, THE DISPUTED ISSUES ARISE IN MORE THAN ONE ASSESSME NT YEAR, APPEAL CAN BE FILED IN RESPECT OF SUCH ASSESSMENT YEAR OR YEARS IN WHICH THE TAX E FFECT IN RESPECT OF THE DISPUTED ISSUES EXCEEDS THE MONETARY LIMIT. NO APPEAL SHALL BE FILE D IN RESPECT OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE MONE TARY LIMIT FURTHER, EVEN IN THE CASE OF COMPOSITE ORDER OF ANY HIGH COURT OR APPELLATE AUTHORITY WHICH INVOLVES MORE THAN ONE ASSESSMENT YEAR AND CO MMON ISSUES IN MORE THAN ONE ASSESSMENT YEAR, NO APPEAL SHALL BE FILED IN RESPEC T OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE MONETARY LIMI T IN CASE WHERE A COMPOSITE ORDER/ JUDGEMENT INVOLVES MORE THAN ONE ASSESSEE. EACH ASSESSEE SHALL BE DEALT WITH SEPARATELY. 5. FROM THE CONTENTS OF THE AFORESAID CIRCULAR IT I S CRYSTAL CLEAR THAT THE ANOMALY IN THE EARLIER CIRCULAR NO. 3 OF 2018 DT. 11/07/2018 A T PAGE 5 HAS BEEN REMOVED AND THE LIMIT SPECIFIED IN PARA 3 OF THE EARLIER CIRCULAR H AS BEEN ENHANCED. IT IS ALSO NOT IN DISPUTE THAT THE EARLIER CIRCULAR WAS APPLICABLE RE TROSPECTIVELY TO THE PENDING APPEALS / CROSS OBJECTIONS AND PARA NOS. 12 & 13 OF THE OR IGINAL CIRCULAR NO. 03/2018 DT. 11/07/2018 READ AS UNDER: 12. IT IS CLARIFIED THAT THE MONETARY LIMIT OF RS. 20 L AKHS FOR FILING APPEALS BEFORE THE IT AT WOULD APPLY EQUALLY TO CROSS OBJECTIONS UNDER SECTI ON 253(4) OF THE ACT. CROSS OBJECTIONS BELOW THIS MONETARY LIMIT, ALREADY FILED, SHOULD BE PURSUED FOR DISMISSAL AS WITHDRAWN/ NOT PRESSED. FILING OF CROSS OBJECTIONS BELOW THE MONET ARY LIMIT MAY NOT BE CONSIDERED HENCEFORTH. SIMILARLY, REFERENCES TO HIGH COURTS AN D SLPS/ APPEALS BEFORE SUPREME COURT BELOW THE MONETARY LIMIT OF RS. 50 LAKHS AND RS. 1 CRORE RESPECTIVELY SHOULD BE PURSUED FOR DISMISSAL AS WITHDRAWN/ NOT PRESSED. REFERENCES BEF ORE HIGH COURT AND SLPS/ APPEALS BELOW THESE LIMITS MAY NOT BE CONSIDERED HENCEFORTH . 13. THIS CIRCULAR WILL APPLY TO SLPS/ APPEALS/ CROSS OB JECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SCIHCS/TRIBUNAL AND IT SHALL ALSO APP LY RETROSPECTIVELY TO PENDING SLPS/ 9 APPEALS/ CROSS OBJECTIONS/REFERENCES. PENDING APPEA LS BELOW THE SPECIFIED TAX LIMITS IN PARE 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. 6. NOW THE CBDT SIMPLY ENHANCED THE MONITORY LIMIT AND THE DIRECTIONS GIVEN EARLIER VIDE PARA NOS. 12 & 13 OF THE CIRCULA R NO. 3 / 2018 DT. 11/07/2018 ARE STILL INTACT WHICH IS CRYSTAL CLEAR FROM THE LANGUAGE OF THE CIRCULAR NO. 17/2019 WHEREIN IT HAS BEEN MENTIONED THAT THERE IS ENHANCEMENT OF MONETAR Y LIMIT AND AMENDMENT TO CIRCULAR NO. 3 /2018 FOR REDUCING THE LITIGATION. WE THEREFORE ARE OF THE CONFIRMED VIEW THAT THE AMENDED CIRCULAR NO. 17/2019 NOW ISSUED BY THE CBDT IS ALSO APPLICABLE TO THE PENDING APPEALS AS HAS BEEN SPECIFIED IN PARA 1 3 OF THE ORIGINAL CIRCULAR NO. 3/2018 DT. 11/07/2018 AND THAT THE DEPARTMENT OUGHT NOT HAVE FILED THE APPEALS BEFORE THE ITAT WHERE THE TAX EFFECT IS RS. 50 LACS OR LESS. IT HAS BEEN FURTHER CLARIFIED BY THE CBDT VIDE F.NO. 279/MISC./ITJ DATED 20.08.2019 THAT THE REVISED MONETARY LIMIT MENTIONED IN CIRCULAR NO. 17 OF 2019 IS APPLICABLE TO ALL THE PENDING SLPS/ APPEALS/ CROSS-OBJECTIONS /REFERENCES AND THAT ALL SUCH PEN DING APPEALS WITHIN THE REVISED LIMIT SHALL BE WITHDRAWN BY THE DEPARTMENT ON OR BEFORE 3 1.10.2019. FOR THE AFORESAID VIEW WE ARE ALSO FORTIFIED BY THE DECISION DT. 14/08/201 9 OF THE COORDINATE BENCH I.E; ITAT, AHMEDABAD BENCH A AHEMDABAD IN ITA NO. 1398/AHD/2 004 FOR THE A.Y. 1998-99 IN THE CASE OF ITO, WARD-3(2) AHMEDABAD VS. DINESH MAD HAVLAL PATEL, AHMEDABAD & OTHERS WHEREIN IT HAS BEEN HELD IN PARA 5 TO 7 AS U NDER: 5. HAVING CONSIDERED THE RIVAL SUBMISSIONS AND HAVI NG PERUSED THE MATERIAL ON RECORD, WE DO NOT HAVE SLIGHTEST OF HESITATION IN H OLDING THAT THE CONCESSION EXTENDED BY THE CBDT NOT ONLY APPLIES TO THE APPEAL S TO BE FILED IN FUTURE BUT IT IS ALSO EQUALLY APPLICABLE TO THE APPEALS PENDING FOR DISPOSAL AS ON NOW. OUR LINE OF REASONING IS THIS. THE CIRCULAR DATED 8 TH AUGUST 2019 IS NOT A STANDALONE CIRCULAR. IT IS TO BE READ IN CONJUNCTION WITH THE CBDT CIRCULAR NO 3 OF 2018 (AND SUBSEQUENT AMENDMENT THERETO), AND ALL IT DOES IS T O REPLACE PARAGRAPH NOS. 3 AND 5 OF THE SAID CIRCULAR. THIS IS EVIDENT FROM TH E FOLLOWING EXTRACTS FROM THE CIRCULAR DATED 8 TH AUGUST 2019: 2. AS A STEP TOWARDS FURTHER MANAGEMENT OF LITIGATI ON, IT HAS BEEN DECIDED BY THE BOARD THAT MONETARY LIMITS FOR FILING OF APP EALS IN INCOME-TAX CASES BE ENHANCED FURTHER THROUGH AMENDMENT IN PARA 3 OF THE CIRCULAR MENTIONED ABOVE AND ACCORDINGLY, THE TABLE FOR MONETARY LIMIT S SPECIFIED IN PARA 3 OF THE CIRCULAR SHALL READ AS FOLLOWS: S.NO. APPEALS/SLPS IN INCOME-TAX MATTERS MONETAR Y LIMIT (RS.) 1 BEFORE APPELLATE TRIBUNAL 50,00,000 2 BEFORE HIGH COURT 1,00,00,000 3 BEFORE SUPREME COURT 2,00,00,000 10 3. FURTHER, WITH A VIEW TO PROVIDE PARITY IN FILIN G OF APPEALS IN SCENARIOS WHERE SEPARATE ORDER IS PASSED BY HIGHER APPELLATE AUTHORITIES FOR EACH ASSESSMENT YEAR VIS-A-VIS WHERE COMPOSITE ORDE R FOR MORE THAN ONE ASSESSMENT YEARS IS PASSED, PARA 5 OF THE CIRCULAR IS SUBSTITUTED BY THE FOLLOWING PARA: '5. THE ASSESSING OFFICER SHALL CALCULATE THE TAX E FFECT SEPARATELY FOR EVERY ASSESSMENT YEAR IN RESPECT OF THE DISPUTED ISSUES I N THE CASE OF EVERY ASSESSEE. IF IN THE CASE OF AN ASSESSEE, THE DISPUT ED ISSUES ARISE IN MORE THAN ONE ASSESSMENT YEAR, APPEAL CAN BE FILED IN RE SPECT OF SUCH ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IN RESPECT OF THE DISPUTED ISSUES EXCEEDS THE MONETARY LIMIT SPECIFIED IN PARA 3. NO APPEAL SHALL BE FILED IN RESPECT OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE MONETARY LIMIT SPECIFIED IN PARA 3. FURTHE R, EVEN IN THE CASE OF COMPOSITE ORDER OF ANY HIGH COURT OR APPELLATE AUTH ORITY WHICH INVOLVES MORE THAN ONE ASSESSMENT YEAR AND COMMON ISSUES IN MORE THAN ONE ASSESSMENT YEAR NO APPEAL SHALL BE FILED IN RESPECT OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE M ONETARY LIMIT SPECIFIED IN PARA 3. IN CASE WHERE A COMPOSITE ORDER/ JUDGEMENT INVOLVES MORE THAN ONE ASSESSEE, EACH ASSESSEE SHALL BE DEALT WITH SEP ARATELY' 4. THE SAID MODIFICATIONS SHALL COME INTO EFFECT FROM THE DATE OF ISSUE OF THIS CIRCULAR. 6. CLEARLY, ALL OTHER PORTIONS OF THE CIRCULAR NO. 3 OF 2018 (SUPRA) HAVE REMAINED INTACT. THE PORTION WHICH HAS REMAINED INT ACT INCLUDES PARAGRAPH 13 OF THE AFORESAID CIRCULAR WHICH IS AS FOLLOWS: 13. THIS CIRCULAR WILL APPLY TO SLPS/ APPEALS/ CROS S OBJECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SH ALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/ APPEALS/ CROSS OBJ ECTIONS/REFERENCES. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN P ARE 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. 7. IN VIEW OF THE ABOVE DISCUSSIONS, WE HEREBY HOLD THAT THE RELAXATION IN MONETARY LIMITS FOR DEPARTMENTAL APPEALS, VIDE CBDT CIRCULAR DATED 8 TH AUGUST 2019 (SUPRA) SHALL BE APPLICABLE TO THE PENDING APP EALS IN ADDITION TO THE APPEALS TO BE FILED HENCEFORTH. 7. IN VIEW OF THE AFORESAID DISCUSSION ALL THE ABOV E APPEALS FILED BY THE DEPARTMENT ARE DISMISSED. 8. AS REGARDS TO THE CROSS OBJECTIONS FILED BY THE ASSESSEE THE LD. COUNSELS FOR THE ASSESSEE SUBMITTED THAT THEY HAVE THE INSTRUCTIONS TO WITHDRAW THE CROSS OBJECTION AND GAVE IN WRITING AS UNDER: NOT PRESSED 9. IN VIEW OF THE ABOVE CROSS OBJECTION FILED BY TH E ASSESSEE IS DISMISSED AS WITHDRAWN. 11 10. IN THE RESULT, APPEALS OF THE REVENUE AS WELL A S CROSS OBJECTION OF THE ASSESSEE ARE DISMISSED. (ORDER PRONOUNCED IN THE OPEN COURT ON 11/09/2019 ) SD/- SD/- (SANDEEP GOSAIN ) ( N.K. SAINI) JUDICIAL MEMBER VICE PRESIDENT AG DATE: 11/09/2019 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. CIT 4. THE CIT(A) 5. DR, ITAT, JODHPUR 6. GUARD FILE