The Asstt. Commr. of Income Tax, Gandhidham Circle, GANDHIDHAM V. Smt. Dahiben S. Gadhvi, Bhuj

ITA 392/RJT/2016

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 3486 (ITAT-RAJKOT)
• Duration Of Justice: 4 year(s) 7 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-06-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 25-05-2021
• Assessment Year: 2012-2013
• Appeal Filed On: 10-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S S RATHI
• Keywords: Retrospective amendment; Tax effect
• Section: 143(3); 268A; 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT BEFORE: SHRI AMARJIT SINGH, ACCOUNTANT MEMBER AND MS. MADHUMITA ROY, JUDICI AL MEMBER [CONDUCTED THROUGH E-COURT AT AH MEDABAD] THE ACIT, GANDHIDHAM CIRCLE, GANDHIDHAM-KUTCH (APPELLANT) VS SMT. DAHIBEN S. GADHVI, BHUJ-KUTCH PAN: AGUPG3147L (RESPONDENT) REVENUE BY: SHRI S.S. RATHI, SR. D.R. ASSESSEE BY: SHRI KALPESH DOSHI, A. R. DATE OF HEARING : 25-05-2021 DATE OF PRONOUNCEMENT : 04-06- 2021 /ORDER PER : AMARJIT SINGH, ACCOUNTANT MEMBER:- THIS APPEAL IS FILED BY REVENUE FOR A.Y. 2012-13 A RISES FROM THE ORDER OF LD. CIT(A)-3, AHMEDABAD DATED 25-07-2016, IN PROCEEDINGS UNDER SECTION 143(3) R.W.S. 147 OF THE INCOME TAX ACT, 19 61; IN SHORT THE ACT. 2. AT THE OUTSET, AFTER GOING THROUGH THE GROUNDS O F APPEAL AND THE IMPUGNED ORDERS OF THE REVENUE AUTHORITIES BELOW, A QUERY WAS RAISED BY THE BENCH AS TO APPLICABILITY AND MAINTAINABILITY OF TH E APPEAL FILED BY THE ITA NO. 392/RJT/2016 ASSESSMENT YEAR 2012-13 I.T.A NO. 392/RJT/2016 A.Y. 2012-13 PAGE NO ACIT VS. SMT. DAHIBEN S. GADHVI 2 REVENUE IN VIEW OF RECENT CBDT CIRCULAR NO. 17/2019 DATED 8.8.2019 RESTRICTING THE FILLING OF THE APPEAL BY THE REVENU E WHERE THE TAX EFFECT IS BELOW RS.50 LAKHS, THE LD. DR DID NOT DISPUTE THE S AME AND SUBMITTED THAT THE ISSUE IS LEFT TO THE TRIBUNAL TO BE DECIDED IN ACCORDANCE WITH LAW. 3. WE FIND THAT THE APPEAL OF THE REVENUE IS PRESEN TED ON 10.10.2016. ON 8.8.2019 THE CBDT HAS ISSUED INSTRUCTIONS BEARIN G NO. 17 OF 2019 PROHIBITING ITS SUBORDINATE AUTHORITIES FROM FILING OF THE APPEAL TO THE TRIBUNAL AGAINST THE ORDER OF THE CIT(A) WHERE THE TAX EFFECT BY VIRTUE OF THE RELIEF GIVEN BY THE CIT(A) IS LESS THAN RS.50 LAKHS . THE INSTRUCTIONS HAVE BEEN MADE APPLICABLE WITH RETROSPECTIVE EFFECT, MEA NING THEREBY, THESE INSTRUCTIONS ARE APPLICABLE ON PENDING APPEALS ALSO . IN THE PRESENT CASE, TAX EFFECT ON THE TOTAL INCOME ASSESSED MINUS THE TAX THAT WOULD HAVE BEEN CHARGEABLE HAD SUCH TOTAL INCOME BEEN REDUCED BY TH E AMOUNT OF INCOME IN RESPECT OF THE ISSUE AGAINST WHICH APPEAL IS FILED, IS LESS THAN RS.50 LAKHS. FURTHER, THE CASE OF THE REVENUE DOES NOT FALL WITH IN THE AMBIT OF EXCEPTIONS PROVIDED IN THE CIRCULAR. THUS, KEEPING IN VIEW TH E ABOVE CBDT CIRCULAR AND PROVISIONS OF SECTION 268A OF THE INCOME TAX AC T, WE ARE OF THE VIEW THAT THE PRESENT APPEAL OF THE REVENUE DESERVES TO BE DISMISSED. IT IS ACCORDINGLY DISMISSED. HOWEVER, IT IS OBSERVED THAT IN CASE ON RE-VERIFICA TION AT THE END OF THE AO IT COMES TO THE NOTICE THAT THE TAX EFFECT IS MO RE OR REVENUES CASE FALLS WITHIN THE AMBIT OF EXCEPTIONS PROVIDED IN THE CIRC ULAR, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR REC ALL OF THIS ORDER. SUCH APPLICATION SHOULD BE FILED WITHIN THE TIME PERIOD PRESCRIBED IN THE ACT. IN I.T.A NO. 392/RJT/2016 A.Y. 2012-13 PAGE NO ACIT VS. SMT. DAHIBEN S. GADHVI 3 VIEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DIS MISSED DUE TO LOW TAX EFFECT. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 04-06-2021 SD/- SD/- (MADHUMITA ROY) (AMARJIT SINGH) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD : DATED 04/06/2021 / COPY OF ORDER FORWARDED TO:- 1. ASSESSEE 2. REVENUE 3. CONCERNED CIT 4. CIT (A) 5. DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDER, ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, RAJKOT