The Dy. Commr. Of Income Tax, Cir.-1(1), RAJKOT-GUJARAT V. Shri Ketan Girdharlal Shobhana, RAJKOT-GUJARAT

ITA 410/RJT/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 9070 (ITAT-RAJKOT)
• Duration Of Justice: 1 year(s) 7 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-04-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2012-2013
• Appeal Filed On: 10-09-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AVINASH KUMAR
• Keywords: Retrospective amendment; Tax effect

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH, RAJKOT (CONDUCTED THROUGH E - COURT AT AHMEDAB A D) BEFORE SHRI MAHAVIR PRASAD , JUDICIAL MEMBER AND SHRI MANISH BORAD , ACCOUNTANT MEMBER ./ ITA NO.410/RJT/2015 / ASSTT. YEAR: 2012 - 2013 DCIT, CIRCLE - 1(1), RAJKOT VS . SHRI KETAN GIRDHARLAL SHOBHANA, C/O GLASS VALLEY, 4 APPLE COMPLEX, TAGORE ROAD, NR.BANK OF BARODA, RAJLKOT PAN: AZVPS7485H (APPLICANT) (RESPONENT) REVENUE BY : SHRI AVINASH KUMAR, SR.DR ASSESSEE BY : NONE / DATE OF HEARING : 19 / 0 4 / 201 7 / DATE OF PRONOUNCEMENT: 20 / 04 /201 7 / O R D E R PER MANISH BORAD , ACCOUNTANT MEMBER : THIS APPEAL OF REVENUE FOR A.Y.2012 - 13 IS DIRECTED AGAINST THE ORDER OF LEARNED COMMISSIONER OF INCOME TAX(APPEALS) - I, RAJKOT (IN SHORT, LD .CIT(A)) ARISING OU T OF ORDER U/S.143(3) OF THE INCOME TAX ACT,1961 (HEREIN AFTER RE FERRED TO AS ACT) FRAMED ON 14/03/2015 BY DCIT,CIRLE - 1(1) , RAJKOT. 2. REVENUE HAS RAISED FOLLOWING GROUNDS OF APPEAL: ITA NO. 410/RJT/2015 A.Y.2012 - 13 2 1. THE HONBLE CIT(A) - 1, RAJKOT HAS ERRED IN LAW AND ON FACT OF THE CASE IN DELETING THE ADDITION MADE BY THE AO OF RS.25,05,652/ - ON ACCOUNT OF DISALLOWANCE OF COST IMPROVEMENT ON THE LAND. 2. IT IS THEREFORE, PRAYED THAT THE ORDER OF THE LD.CIT(A) MAY BE SET ASIDE AND THAT OF ASSESSING OFFICER BE RESTORED. 3 . NONE APPEARED ON BEHALF OF THE ASSESSEE , THEREFORE, APPEAL OF THE REVENUE IS BEING DECIDED AFTER HEARING LEARNED DR AND CONSIDERING THE MATERIAL AVAILABLE ON RECORD. 4 . WE FIND THAT THE REVENUE HAS FILED THIS APPEAL ON 10 . 09.2015 . ON 10.12.2015 THE CBDT HAS ISSUED INSTRUCTIONS BEARING NO. 21/2015 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.10 LAKHS. THE INSTRUCTIONS HAVE BEEN MADE APPLICABLE WITH RETROSPECTIVE EFFECT, MEANING THEREBY, THESE INSTRUCTIONS ARE APPLICABLE ON PENDING APPEALS ALSO. IN THE PRESENT CASE, THE ADDITION CONTESTED BY THE REVENUE IS RS. 25,05,652 / - , AND THE TAX EFFECT ON THIS ALLEGED ADDITION WOULD BE LESS THAN RS.10 LAKH S , WHICH IS NOT DISPUTED BY THE REVENUE . THEREFORE, PRESENT APPEAL DESERVES TO BE DISMISSED BEING TREATED TO BE FILED IN VIOLATION OF THE ABOVE CBDT INSTRUCTION. IT IS DISMISSED. 5 . IT IS FURTHER OBSERVED THAT ON RE - VERIFICATION AT THE END OF THE AO, IT CAME TO THE NOTICE THAT TAX EFFECT IS MORE OR IT FALLS WITHIN THE AMBIT OF EXCEPTION PROVIDED IN THE INSTRUCTION, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALL OF THIS ORDER. SUCH APPLICATION SHOULD BE FILED WITHIN LIMITATION PRESCRIBED UNDER THE LAW. ITA NO. 410/RJT/2015 A.Y.2012 - 13 3 6. IN VIEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE COURT ON 20 TH APRIL, 201 7 AT AHMEDABAD. SD/ - SD/ - ( MAHAVIR PRASAD ) JUDICIAL MEMBER ( MANISH BORAD ) ACCOUNTANT MEMBER TRUE COPY AHMEDABAD; DATED 20 / 04 /201 7 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , / DR, ITAT, 6. / GUARD FILE . / BY ORDER, / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD