ACIT, Delhi V. M/s. Garg Dyeing Processing & Industries, New Delhi

ITA 4340/DEL/2016

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6671 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 9 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-05-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2007-2008
• Appeal Filed On: 05-08-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect
• Section: 271(1)(c)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES C : DELHI BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND SHRI BHAVNESH SAINI, JUDICIAL MEMBER ITA.NO.4340/DEL./2016 ASSESSMENT YEAR 2007-2008 THE ACIT, CIRCLE-28(1), ROOM NO.1001, E-2 BLOCK, 10 TH FLOOR, CIVIC CENTRE, J.L.N. MARG, INCOME TAX OFFICE, DELHI 110 002. VS. M/S. GARG DYEING PROCESSING & INDUSTRIES, G-2, B-1, MOHAN COOPERATIVE INDUSTRIAL ESTATE, MATHURA ROAD, NEW DELHI 110 044. (APPELLANT) (RESPONDENT) FOR REVENUE : SHRI AMIT KATOCH, SR. D.R. FOR ASSESSEE : SHRI SHAILESH GUPTA, C.A. DATE OF HEARING : 07.05.2019 DATE OF PRONOUNCEMENT : 07.05.2019 ORDER PER BHAVNESH SAINI, J.M. THIS APPEAL BY REVENUE HAS BEEN DIRECTED AGAINST THE ORDER OF THE LD. CIT(A)-10, NEW DELHI, DATED 18.09.2012, FOR THE A.Y. 2007-2008, CHALLENGING THE DELETION OF PENALTY OF RS.13,76,102/- UNDER SECTION 271(1)(C) OF THE I.T. ACT, 1961. 2 ITA.NO.4340/DEL./2016 M/S. GARG DYEING PROCESSING & INDUSTRIES, NEW DELHI. 2. ADMITTEDLY, THE TAX EFFECT IN THE PRESENT APPEAL IS LESS THAN RS.20 LAKHS. VIDE CIRCULAR NO.3/2018DATED 11 TH JULY, 2018 ISSUED BY CBDT, IT HAS BEEN DIRECTED THAT THE DEPARTMENT SHALL NOT FILE APPEAL BEFORE THE TRIBUNAL IN CASE WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMIT OF RS.20 LAKHS. IT IS ALSO DIRECTED THAT THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN TRIBUNALS. PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT MAY BE WITHDRAWN/NOT PRESSED. THE LD. D.R. IN VIEW OF THE BOARDS CIRCULAR ABOVE DID NOT PRESS THE DEPARTMENTAL APPEAL. THE CASE OF THE DEPARTMENT WOULD NOT FALL IN THE EXCEPTIONS PROVIDED IN THE ABOVE BOARD CIRCULAR. IN THE RESULT, THE DEPARTMENTAL APPEAL IS NOT MAINTAINABLE AS THE APPEAL IS FILED AGAINST THE BOARD INSTRUCTIONS REFERRED TO ABOVE AND THEREFORE, THE APPEAL OF THE DEPARTMENT IS LIABLE TO BE DISMISSED. 3. IN THE RESULT, APPEAL OF THE DEPARTMENT DISMISSED. 3 ITA.NO.4340/DEL./2016 M/S. GARG DYEING PROCESSING & INDUSTRIES, NEW DELHI. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (G.D. AGRAWAL) (BHAVNESH SAINI) VICE PRESIDENT JUDICIAL MEMBER DELHI, DATED 07 TH MAY, 2019 VBP/- COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT(A) CONCERNED 4. CIT CONCERNED 5. D.R. ITAT C BENCH, DELHI 6. GUARD FILE. // BY ORDER // ASSISTANT REGISTRAR : ITAT DELHI BENCHES : DELHI.