DCIT, C-1, Ludhiana V. M/s Rico Casting Ltd., Ludhiana

ITA 405/CHANDI/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 2308 (ITAT-CHANDIGARH)
• Duration Of Justice: 4 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-08-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 03-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANJIT SINGH
• Assessee Lawyers: VIPIN GUPTA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH B, CHANDIGARH BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER AND MS. ANNAPURNA GUPTA, ACCOUNTANT MEMBER ITA NO.405/CHD/2018 (ASSESSMENT YEAR : 2014-15) THE D.C.I.T., VS. M/S RICO CASTING LIMITED, CIRCLE 1, B-26, FOCAL POINT, LUDHIANA. LUDHIANA. PAN: AADCR4805Q (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI MANJIT SINGH, SR.DR RESPONDENT BY : SHRI VIPIN GUPTA, CA DATE OF HEARING : 30.08.2018 DATE OF PRONOUNCEMENT : 30.08.2018 ORDER PER ANNAPURNA GUPTA, A.M . : THIS APPEAL HAS BEEN PREFERRED BY THE ASSESSEE AGAI NST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEAL S)-1, LUDHIANA DATED 24.1.2018 RELATING TO ASSESSMENT YEA R 2014-15. 2. AT THE OUTSET, THE LD. AR HAS STATED THAT TAX EF FECT INVOLVED IN THE PRESENT CASE IS LESS THAN RS. 20 LA CS. THE LD. DR HAS ALSO FAIRLY ADMITTED THAT CBDT CIRCULAR NO. 3/2018 IS APPLICABLE TO THIS APPEAL, HENCE, THIS APPEAL OF THE REVENUE IS LIABLE TO BE DISMISSED. 3. IT MAY BE NOTED THAT CBDT VIDE CIRCULAR NO. 3/20 18 DATED 11.07.2018 HAS REVISED THE MONETARY LIMIT UPT O RS.20 LACS FOR FILING APPEALS BY THE DEPARTMENT BEFORE TH E TRIBUNAL AND FURTHER VIDE PARA 13 OF THE SAID CIRCULAR IT HA S BEEN CLARIFIED THAT SAID CIRCULAR IS APPLICABLE RETROSPE CTIVELY TO THE PENDING APPEALS ALSO. THE HONBLE PUNJAB & HARY ANA ITA NO.16/CHD/2018 A.Y.2013-14 2 HIGH COURT IN THE CASE OF PRINCIPAL CIT OF INCOME TAX VS. SURINDER KUMAR SINGHAL ITA NO 406-2016 (O&M) VIDE ORDER DATED 30.1.2017 WHILE FURTHER RELYING UPON THE DECI SION OF THE HON'BLE SUPREME COURT IN THE CASE OF CIT VS. DHANALEKSHMI BANK LTD. (2015) 373 ITR 526 (SC), HA S DISMISSED THE APPEAL OF THE REVENUE WITHOUT GOING I NTO THE MERITS DUE TO LOW TAX EFFECT LEAVING THE QUESTION O F LAW OPEN. IN VIEW OF THE CBDT CIRCULAR NO. 03/2018 (SUPRA) AN D IN THE LIGHT OF THE ABOVE REFERRED TO DECISION OF THE HON' BLE JURISDICTIONAL PUNJAB & HARYANA HIGH COURT (SUPRA) , THE PRESENT APPEAL OF THE REVENUE IS DISMISSED DUE TO L OW TAX EFFECT. 4. IT IS, HOWEVER, CLARIFIED THAT THE DISMISSAL OF THE ABOVE APPEAL SHALL NOT BE TAKEN TO BE AFFIRMATION OF THE ORDER OF THE CIT(A) ON MERITS. THE LEGAL ISSUE RAISED BY THE REVENUE IS BEING LEFT OPEN TO BE ADJUDICATED IN AN APPROPRI ATE CASE. 5. IN THE RESULT, THE DEPARTMENTAL APPEAL IS DISMIS SED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (SANJAY GARG) (ANNAPURNA GUPTA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 30 TH AUGUST, 2018 *RATI* COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. THE CIT 5. THE DR ASSISTANT REGISTRAR, ITAT, CHANDIGARH