DCIT, Circle-16(1), New Delhi V. Mark Exhaust Systems Ltd, New Delhi

ITA 4362/DEL/2018

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 9096 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 2 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-08-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2012-2013
• Appeal Filed On: 07-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI BENCH: E NEW DELHI BEFORE SHRI O.P. KANT, ACCOUNTANT MEMBER AND SHRI K.N. CHARY, JUDICIAL MEMBER [THROUGH VIDEO CONFERENCING] ITA NO.4362/DEL/2018 ASSESSMENT YEAR: 2012-13 DCIT, CIRCLE-16(1), NEW DELHI VS. MARK EXHAUST SYSTEMS LTD., S-430, GREATER KAILASH, PART-II, NEW DELHI PAN :AAACM1497Q (APPELLANT) (RESPONDENT) ORDER PER O.P. KANT, AM: THE PRESENT APPEAL BY THE REVENUE IS DIRECTED AGAIN ST THE ORDER DATED 28.02.2018 PASSED BY COMMISSIONER OF IN COME-TAX (APPEALS)-33, NEW DELHI, FOR ASSESSMENT YEAR 2012-1 3. 2. AT THE OUTSET, THE LEARNED DR BROUGHT TO OUR ATTEN TION THAT CBDT, VIDE CIRCULAR NO. 17/2019 DATED 08 TH AUGUST, 2019, HAS DECIDED THAT THE REVENUE WOULD NOT PREFER ANY APPEA L BEFORE THE APPELLANT BY SH. VIPUN KASHYAP, SR.DR RESPONDENT BY NONE DATE OF HEARING 09.08.2021 DATE OF PRONOUNCEMENT 09.08.2021 2 ITA NO.4362/DEL/2018 TRIBUNAL, IF THE TAX EFFECT IS LESS THAN RS.50 LAKH S. THEREFORE, HE PLEADED THAT THE APPEAL OF THE REVENUE BE DECIDED A S PER THE INSTRUCTION OF THE CBDT. 3. NONE PRESENT FOR THE ASSESSEE. WE HAVE HEARD LEARN ED DR THROUGH VIDEO CONFERENCING AND PERUSED THE RELEVANT RECORD. WE FIND THAT THE CBDT VIDE CIRCULAR NO. 17/2019 DATED 08.08.2019, HAS ENHANCED THE MONETARY LIMIT FOR FILING OF APPEA LS BY THE DEPARTMENT BEFORE THE INCOME TAX APPELLATE TRIBUNAL FROM RS.20 LAKHS TO RS.50 LAKHS. THE SAID CIRCULAR ALSO MAKES REFERENCE TO THE EARLIER CIRCULAR NO. 3/2018, DATED 11.7.2018 AN D, ESPECIALLY STATES THAT AS A STEP TOWARDS FURTHER MANAGEMENT OF LITIGATION, THE BOARD HAS DECIDED TO ENHANCE THE MONETARY LIMIT FOR FILING OF THE APPEALS. THIS CIRCULAR IS NOT IN SUPERSESSION O F THE EARLIER CIRCULAR BUT ONLY AMENDS THE MONETARY LIMITS AS WEL L AS GIVES CLARIFICATION WITH REGARD TO PARAGRAPH 5 OF THE EAR LIER CIRCULAR. THIS, INTER ALIA, MEANS THAT ALL THE OTHER CONDITIONS MENTIONED IN THE EARLIER CIRCULAR NO. 3 OF 2018 DATED 11.7.2018 WILL APPLY MUTATIS MUTANDIS INCLUDING THAT, IT WILL APPLY TO ALL THE PENDING APPEALS. 4. FURTHER, CBDT VIDE CIRCULAR DATED 20 TH AUGUST, 2019 (F. NO. 279/19-93/2018-ITJ), HAS CLARIFIED THAT IT WILL APP LY TO ALL PENDING APPEALS. THUS, IN VIEW OF THE AFORESAID CIR CULAR, THE APPEAL OF THE REVENUE IS DISMISSED AS NON-MAINTAINA BLE AS THE TAX EFFECT INVOLVED IN THE APPEAL IS BELOW RS.50 LA KHS. HOWEVER, IT IS MADE CLEAR THAT THE DEPARTMENT IS AT LIBERTY TO FILE MISCELLANEOUS APPLICATION FOR RECALLING OF THE ORDE R, IF THE TAX EFFECT IS FOUND TO BE MORE THAN THE PRESCRIBED LIMI T OF RS.50,00,000/- OR ANY OF THE CONDITIONS ETC., AS AV AILABLE IN THE 3 ITA NO.4362/DEL/2018 AMENDMENT CARRIED OUT IN PARA 10 OF CIRCULAR NO. 3/ 2018, DATED 20.08.2018, IS MADE OUT. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISMIS SED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (K.N. CHARY) (O.P. KANT) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 9 TH AUGUST, 2021. RK/- (DTDC) COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASST. REGISTRAR, ITAT, NEW DELHI