DCIT (LTU), New Delhi V. M/s. Dalmia Bharat Sugar and Industries Ltd., New Delhi

ITA 4239/DEL/2016

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 1168 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2009-2010
• Appeal Filed On: 01-08-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SARAS KUMAR
• Assessee Lawyers: R M MEHTA
• Keywords: Retrospective amendment; Tax effect; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH B: NEW DELHI) BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI. B.R.R. KUMAR, ACCOUNTANT MEMBER ITA NO. 4239/DEL. /2016 (ASSESSMENT YEAR: 2009-1 0) DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1, LTU, NEW DELHI VS M/S DALMIA BHARAT SUGAR AND INDUSTRIES LTD., 11 TH , 12 TH FLOOR, HANSALAYA, 15, BARAKHAMBA ROAD, NEW DELHI PAN-AAACD2281K (APPELLANT) (RESPONDENT) REVENUE BY : SH. SARAS KUMAR, SR. DR ASSESSEE BY : SH. R.M. MEHTA, FCA O R D E R H.S. SIDHU, JM : THE APPELLANT, BY FILING THE PRESENT APPEAL SOUGHT TO SET ASIDE THE IMPUGNED ORDER PASSED BY THE LD. COMMISSIONER OF IN COME-TAX (APPEALS)- 22, NEW DELHI QUA THE ASSESSMENT YEAR 2009-10. 2. AT THE TIME OF HEARING, LD. COUNSEL FOR THE ASSE SSEE SUBMITTED A CHART OF CALCULATION OF TAX EFFECT IN REVENUES APP EAL AND STATED THAT TAX EFFECT INVOLVED IN THIS APPEAL IS RS. 39,89,695/- W HICH IS BELOW THE PRESCRIBED LIMIT OF RS. 50 LACS, AS FIXED BY THE CB DT AND REQUESTED TO DISMISS THE REVENUES APPEAL ON ACCOUNT OF LOW TAX EFFECT. 3. PERUSAL OF THE AFORESAID APPEAL FILED BY THE RE VENUE APPARENTLY SHOW THAT THE SAME IS HAVING LOW TAX EFFECT AS PER CBDT CIRCULAR NO.17/2019 DATED 8 TH AUGUST, 2019 VIDE WHICH THE REVENUE HAS BEEN 2 DIRECTED NOT TO PREFER ANY APPEAL IN CASE THE TAX E FFECT IS LESS THAN RS.50,00,000/- AND THIS FACTUAL POSITION HAS BEEN F AIRLY CONCEDED BY THE LD. D.R. 4. I HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL ON RECORD. PERUSAL OF CBDT CIRCULAR (SUPRA) SHOWS THAT MONETAR Y LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE THE TRIBUNAL, HON'B LE HIGH COURT AND HON'BLE SUPREME COURT HAS BEEN REVISED. IN VIEW OF THE CBDT CIRCULAR NO.17/2019 DATED 8 TH AUGUST, 2019 HAVING RETROSPECTIVE EFFECT AS COORDINATE BENCH OF THE TRIBUNAL IN CASE OF DINESH MADHAVLAL PATEL [TS- 469-ITAT-2019(AHD)] 2019-TIOL-1556-ITAT-AHM DATED 1 4 TH AUGUST, 2019 HAS ALREADY DECIDED THE ISSUE AS TO THE APPLICABILI TY OF THE CAPTIONED CIRCULAR TO THE PENDING APPEALS IN AFFIRMATIVE AND WHAT HAS BEEN DISCUSSED ABOVE, WE ARE OF THE CONSIDERED VIEW THAT THE AFORE SAID APPEAL IS NOT MAINTAINABLE BECAUSE OF LOW TAX EFFECT I.E. LESS TH AN RS.50,00,000/- HENCE, THE AFORESAID APPEAL FILED BY THE REVENUE IS HEREBY DISMISSED HAVING BEEN BECOME INFRUCTUOUS. HOWEVER, IN CASE, THE PRESENT APPEAL IS FOUND TO BE MAINTAINABLE AT ANY STAGE FOR ANY TECHNICAL REASONS , THE DEPARTMENT SHALL BE AT LIBERTY TO SEEK RECALL OF THIS ORDER UNDER RE LEVANT PROVISIONS OF LAW. ORDER PRONOUNCED IN OPEN COURT ON THIS 18 TH DAY OF DECEMBER, 2019. SD/- SD/- (B.R.R. KUMAR) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED THE 18 TH DECEMBER, 2019 SH 3 COPY FORWARDED TO: 1.APPELLANT 2.RESPONDENT 3.CIT 4.CIT(A) 5.CIT(ITAT), NEW DELHI. NEW DELHI.