JCIT-7(1)(2), MUMBAI V. HINDUSTAN POLYAMIDES & FIBRES LTD, MUMBAI

ITA 3958/MUM/2018

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9124 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 3 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-09-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Assessment Year: 2006-2007
• Appeal Filed On: 04-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M RAJAN
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL H BENCH, MUMBAI BEFORE SHRI SHAMIM YAHYA , ACCOUNTANT MEMBER , AND SHRI SAKTIJIT DEY , JUDICIAL MEMBER ITA NO . 3958 / MUM . /2018 ( ASSESSMENT YEAR : 20 06 07 ) JT. COMMISSIONER OF INCOME TAX CIRCLE 7(1)(2), MUMBAI . APPELLANT V/S HINDUSTAN POLYAMIDES & FIBRES LTD. 1004, PENINSULA TOWERS G.K. MARG, LOWER PAREL MUMBAI 400 013 PAN AAACH3757J . RESPONDENT ASSESSEE BY : SHRI K. GOPAL REVENUE BY : SHRI M. RAJAN DATE OF HEARING 11 .09.2019 DATE OF ORDER 25.09.2019 O R D E R PER SAKTIJIT DEY, J.M. THE PRESENT APPEAL , PREFERRED BY THE REVENUE , IS DIRECTED AGAINST THE ORDER DATED 16 TH MARCH 2018 , PASSED BY LEARNED COMMISSIONER OF INCOME TAX (APPEALS) 12 , MUMBAI, PERTAINING TO THE ASSESSMENT YEAR 200 6 07 . 2 . AT THE OUTSET, LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE TAX EFFECT ON THE ADDITIONS CONTESTED BY THE REVENUE IS LESS THAN 2 HINDUSTAN POLYAMIDES & FIBRES LTD. THE PRESCRIBED LIMIT OF ` 5 0 LAKH FIXED FOR FILING OF APPEAL BEFORE THE INCOME TAX APPELLATE TRIBUNAL, HENCE, IS COVERED BY THE RECENTLY ISSUED LOW TAX EFFECT CIRCULAR NO. 17/2019 , DATED 8 TH AUGUST 2019 , R/W CIRCULAR NO.3/2018, DATED 11 TH JULY 2018, ISSUED BY THE CENTRAL BOARD OF DIRECT TAXES. THEREFORE, APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE . 3 . THE LEARNED DEPARTMENTAL REPRESENTATIVE FAIRLY AGREED WITH THE AFORESAID SUBMISSIONS OF LEARNED AUTHORISED REPRESENTATIVE. 4 . WE HAVE PERUSED THE MATERIAL ON RECORD AND GONE THROUGH THE CBDT CIRCULAR S REFERRED TO ABOVE . WE FIND THAT THE TAX EFFECT ON THE QUANTUM OF ADDI TIONS DISPUTED BY THE REVENUE IN THE PRESENT APPEAL IS BELOW THE THRESHOLD LIMIT OF ` 5 0 LAKH. THE REVENUE HAS NOT BROUGHT ANY MATERIAL BEFORE US TO SHOW THAT ITS APPEAL IS PROTECTED BY ANY OF THE EXCEPTIONS PROVIDED IN THE AFORESAID CIRCULARS. THEREFORE, THE APPEAL FILED BY THE REVENUE HAS TO BE WITHDRAWN/NOT PRESSED, SINCE THE AFORESAID CIRCULAR S ISSUED BY CBDT APPLY EVEN TO THE PENDING APPEALS. IN VIEW OF THE AFORESAID, WE DISMISS THE PRESENT APPEAL FILED BY THE REVENUE. HOWEVER, IT IS MADE CLEAR, IF AT A LATER POINT THE REVENUE FINDS THAT ITS APPEAL IS PROTECTED BY ANY OF THE EXCEPTIONS PROVIDED IN THE CIRCULARS REFERRED TO ABOVE, IT WILL BE AT LIBERTY TO SEEK RECALL OF THIS ORDER AND ADJUDICATION OF THE APPEAL ON MERITS. 3 HINDUSTAN POLYAMIDES & FIBRES LTD. 2 . IN THE RESULT, REVENUES APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN C OURT ON 25.09.2019 SD/ - SHAMIM YAHYA ACCOUNTANT MEMBER SD/ - SAKTIJIT DEY JUDICIAL MEMBER MUMBAI, DATED: 25 . 09.2019 COPY OF THE ORDER FORWARDED TO : ( 1 ) THE ASSESSEE; ( 2 ) THE REVENUE; ( 3 ) THE CIT(A); ( 4 ) THE CIT, MUMBAI CITY CONCERNED; ( 5 ) THE DR, ITAT, MUMBAI; ( 6 ) GUARD FILE . TRUE COPY BY ORDER PRADEEP J. CHOWDHURY SR. PRIVATE SECRETARY ASSISTANT REGISTRAR ITAT, MUMBAI