ITO 20(3)(1), MUMBAI V. TANCOM ELECTRONICS, MUMBAI

ITA 3975/MUM/2014

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 3095 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-06-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2009-2010
• Appeal Filed On: 30-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VACHASPATI TRIPATI
• Keywords: Retrospective amendment; Tax effect
• Section: 143(3); 14A

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL E BENCH, MUMBAI BEFORE SHRI SHAILENDRA KUMAR YADAV , JM AND SHRI RAJESH KUMAR, AM ./ I.T.A. NO. 3975 /MUM/ 2014 ( / ASSESSMENT YEAR : 20 09 - 10 ) INCOME TAX OFFICER - 2 0 ( 3 )( 1 ) , ROOM NO. 605, 6 TH FLOOR , PIRAMAL CHAMBER , LALBAUG, MUMBAI - 4000 12 . / VS. M/S TANCOM ELECTRONICS MUMBAI C - 1, UDYOG SADAN NO.3, MIDC AREA, ANDHERI (E), MUMBAI - 4000 93 . ./ PAN : A AAFT1056F / REVENUE BY SHRI VACHASPATI TRIPATI / ASSESSEE BY SHRI RAHUL HAKANI / DATE OF HEARING : 7 .6. 2016 / DATE OF PRONOUNCEMENT 7. 6. 2016 / O R D E R P ER RAJESH KUMAR, A. M: THIS IS AN APPEAL FILED BY THE REVENUE CHALLENGING THE ORDER DATED 27.3.2014 OF LD.CIT(A) 3 1 , MUMBAI , FOR ASSESSMENT YEAR 20 09 - 10 BY WHICH THE REVENUE IS CHALLENGING THE DELETI ON OF ADDITION OF RS. 23,19,270 / - . 2. THE FACTS OF THE CASE ARE THAT THE ASSESSEE FILED ITS RETURN OF INCOME ON 2 6 .09.200 9 DECLARING TOTAL INCOME AT RS. 8,19,540 / - . THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY AND THE ASSESSING OFFICER AFTER MAKING CERTAIN DISALLOWANCES FRAMED THE ASSESS MENT U/S 143(3) AT RS. 31,38,810/ - . AGGRIEVED BY THE ORDER OF THE AO , THE ASSESSEE PREFERRED AN APPEAL BEFORE THE LD.CIT(A), WHO IN TURN DELETED 2 3313 /MUM/ 201 4 TH E ADDITION AS PRAYED FOR BY THE ASSESSEE. BEING AGGRIEVED BY THE ORDER OF LD.CIT(A), THE REVENUE IS I N APPEAL BEFORE US. 3 . AT THE OUTSET, THE LD.COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE LD. CIT(A) HAS DELETED THE AMOUNT OF RS. 22,56,336/ - UNDER SECTION 14A OF THE ACT, AND HENCE, THE TAX EFFECT INVOLVED IN THIS APPEAL IS BELOW RS.10 LACS . EVEN CONSIDE RING THE ADDITION MADE BY THE AO, THE TAX EFFECT INVOLVED IN THIS APPEAL IS BELOW RS.10 LAKHS. THE LD. AR ALSO SUBMITTED THAT RECENTLY , THE CENTRAL BOARD OF DIRECT TAXES, HAS ISSUED A CIRCULAR BEARING NO.21/2015 DATED 10.12.2015 PRESCRIBING NEW MONETARY LIMIT OF RS.10.00 LAKHS FOR PREFERRING APPEAL AGAINST THE ORDERS PASSED BY LD CIT(A) BEFORE THE TRIBUNAL. ACCORDING TO THE ABOVE SAID CIRCULAR, THE REVENUE IS PRECLUDED FROM PURSUING THIS APPEAL, AS THE SAID CIRCULAR HAS RETROSPECTIVE EFFECT AND IS APPLI CABLE TO THE EXISTING APPEALS ALSO. ACCORDINGLY, W E HAVE HEARD THE LD. DR AND PERUSED THE MATERIAL ON RECORD. WE FIND THAT THE QUANTUM IN DISPUTE IS RS. 23,19,270 / - AND THE TAX EFFECT INVOLVED THEREIN IS LESS THAN RS.10 LAKHS. T HEREFORE , FOLLOWING THE INS TRUCTION ISSUED BY CBDT , WE FIND THAT TAX EFFECT INVOLVED IN THIS APPEAL IS LESS THAN RS.10 LAKHS AND THEREFORE, THIS APPEAL IS NOT MAINTAINABLE. ACCORDINGLY, WE DISMISS THE APPEAL OF THE REVENUE BEING BELOW RS.10 LAKHS. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 7 .6. 2016. SD SD ( SHAILENDRA KUMAR YADAV ) (RA JESH KUMAR) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI ; DATED : 7.6.2016 SR.PS:SRL: 3 3313 /MUM/ 201 4 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPEL LANT 2. / THE RESPONDENT 3. ( ) / THE CIT(A) 4. / CIT CONCERNED 5. , , / DR, ITAT, MUMBAI 6. / GUARD F ILE / BY ORDER, TRUE COPY / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI