ACIT 32(2), MUMBAI V. LAXMI MANOHARLAL CHATURVEDI, MUMBAI

ITA 4008/MUM/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 6868 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 7 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-01-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 01-06-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL , A BENCH UMBAI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI PAWAN SINGH, JUDICIAL MEMBER ITA NO. 4008/MUM/2017 FOR ASSESSMENT YEARS: 2011-12 ACIT-32(2), ROOM NO. 308,3 RD FLOOR, AAYAKAR BHAVAN, M.K. ROAD, MARINE LINES, MUMBAI-400020. VS SMT. LAXMI MANOHARLAL CHATURVEDI , 1903A, SHANTI KAMAL, DR B.A. ROAD, CHINCHPOKLI (E), MUMBAI-400012. PAN : AACPC3302M (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI MICHAEL JERALD (S R. DR) RESPONDENT BY : SH. SHALIN S DEVATIA AR DATE OF HEARING : 30/01/2020 DATE OF PRONOUNCEMENT : 30/01/2020 ORDER UNDER SECTION 254(1) OF INCOME TAX ACT PER PAWAN SINGH, JUDICIAL MEMBER: 1. THIS APPEAL BY REVENUE UNDER SECTION 253 OF INCOME TAX ACT IS DIRECTED AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-44, [CIT(A)], MUMBAI DATED 20.03.2017 FOR ASSESSMENT YE AR 2011-12. 2. AT THE OUTSET OF HEARING, THE LD. AUTHORIZED REPRES ENTATIVE (AR) OF THE ASSESSEE SUBMITTED THAT THE TAX EFFECT INVOLVED IN THE PRESENT APPEAL IS IS BELOW THE MONETARY LIMIT OF RS.50,00,000/- PRESCRI BED BY CBDT IN ITS CIRCULAR NO.17/2019 DATED 8 TH AUGUST 2019. THE LD. AR OF THE ASSESSEE FURTHER SUBMITS THAT THE ADDITIONS UNDER SECTION 68 , DELETED BY LD CIT(A) WAS ONLY RS. 85 LACKS, THUS, ADMITTEDLY THE TAX EFF ECT INVOLVED IN THE ITA NO. 4008/MUM/2017 SMT LAXMI MANOHARLAL CHATURVESI 2 PRESENT APPEAL IS LESS THAN RS. 50,00,000/-. THEREF ORE, THE PRESENT APPEAL IS SQUARELY COVERED BY THE CBDT CIRCULAR NO. 17/201 9 DATED 8 TH AUGUST 2019 AND IS LIABLE TO BE DISMISSED. 3. ON THE OTHER HAND, THE LD. DEPARTMENTAL REPRESENTAT IVE (DR) FOR THE REVENUE AFTER GOING THROUGH THE WORKING OF THE TAX AGREED THAT THE TAX EFFECT INVOLVED IN THE PRESENT APPEAL IS LESS THAN THE MONETARY LIMIT OF TAX EFFECT FIXED BY CBDT IN A RECENT CIRCULAR. THE LD. DR SUBMITS THAT THE ASSESSEE IS BENEFICIARY OF TAX EVASION. 4. DURING THE HEARING WE ENQUIRED FROM THE PARTIES IF THE ADDITIONS ARE BASE ON THE BASIS OF INFORMATION RECEIVED FROM EXTERNAL SOURCES OR THE ASSESSMENT WAS REOPENED ON THE BASIS OF INTERNAL IN FORMATION OF THE INVESTIGATION WING. THE LD. DR SUBMITS THAT THE CAS E OF THE ASSESSEE WAS REOPENED ON THE BASIS OF INTERNAL INFORMATION OF IN VESTIGATION WING OF THE INCOME TAX DEPARTMENT. 5. WE HAVE CONSIDERED THE SUBMISSIONS OF THE PARTIES A ND PERUSED THE ORDER OF THE LOWER AUTHORITIES. WE HAVE NOTED THAT THE AO MADE ADDITIONS UNDER SECTION 68 OF RS. 85 LACKS IN THE ASSESSMENT ORDER. ON APPEAL BEFORE LD CIT(A) THE ADDITIONS WERE DELETED. CONSIDERING THE SUBMISSIONS OF BOTH THE LD. REPRESENTATIVES OF THE PARTIES, WE FIND THA T TAX EFFECT INVOLVED IN THE PRESENT APPEAL IS LESS THAN THE MONETARY LIMIT OF RS. 50,00,000/- FIXED BY CBDT CIRCULAR NO. 17/2019 DATED 8 TH AUGUST 2019, THEREFORE, THE APPEAL OF REVENUE IS DISMISSED BEING NOT MAINTAINAB LE. IN THE RESULT, ITA NO. 4008/MUM/2017 SMT LAXMI MANOHARLAL CHATURVESI 3 APPEAL OF THE REVENUE IS DISMISSED DUE TO TAX EFFEC T BEING NOT MAINTAINABLE. 6. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT O N THIS 30/01/2020. SD/- SD/- (SHAMIM YAHYA) (PAWAN SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATE: 30.01.2020 SK COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT BY ORDER ASSISTANT REGISTRAR IT AT MUMBAI