ACIT, New Delhi V. M/s Laser Seight (India) Pvt. Ltd., New Delhi

ITA 4462/DEL/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6986 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Assessment Year: 2002-2003
• Appeal Filed On: 08-07-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

INCOME TAX APPELLATE TRIBUNAL DELHI BENCH A: NEW DELHI BEFORE SHRI AMIT SHUKLA, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER ITA NO.:- 4462/ DEL/2015 ASSESSMENT YEAR: 2002-03 O R D E R PER AMIT SHUKLA, J.M. THIS IS AN APPEAL FILED BY THE REVENUE DIRECTED AGAI NST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-V , NEW DELHI DATED 23.4.2015 PERTAINING TO THE ASSESSMENT YEAR 2002-03. 2. AT THE OUTSET OF THE HEARING ITSELF, THE LD. DR BROUGH T TO OUR ATTENTION THAT CBDT VIDE CIRCULAR NO.03/2018 DATED 11 TH JULY 2018 HAS DECIDED THAT THE REVENUE WOULD NOT PREFER AN APPEA L BEFORE THE TRIBUNAL IF THE TAX EFFECT IS LESS THAN RS.20 LAKHS. THEREFORE, HE PLEADED THAT THE APPEAL OF THE REVENUE BE DECIDED AS PE R THE INSTRUCTION OF THE CBDT. LD AR ALSO REITERATED SAME F ACTS. ACIT CIRCLE-15(1), NEW DELHI. VS. LASER SEIGHT (INDIA) PVT. LTD. RZF-117/5, SAD NAGAR-II, GALI NO. 40, PALAM COLONY NEW DELHI. PAN AAACL2024Q (APPELLANT) (RESPONDENT) DEPARTMENT BY: SHRI RAVI KANT GUPTA, SR. DR ASSESSEE BY : NONE DATE OF HEARING 31/07/2018 DATE OF PRONOUNCEMENT 31/07/2018 2 3. WE HAVE HEARD BOTH THE SIDES ON THE ISSUE AND PERU SED THE MATERIAL. WE FIND THAT THE CBDT VIDE CIRCULAR DATED 11TH JULY 2018 HAS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HONBLE HIGH C OURTS AND HONBLE SUPREME COURT. THE RELEVANT PARA OF THE AFORES AID CIRCULAR IS REPRODUCED AS UNDER :- HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CA SES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMITS GIVEN HEREUNDER: S. NO APPEALS IN INCOME- TAX MATTER MONETARY LIMIT (IN RS) 1 BEFORE APPELLATE TRIBUNAL 20,00,000/- 2 BEFORE HIGH COURT 50,00,000/- 3 BEFORE SUPREME COURT 1,00,00,000/- IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MERELY BECAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETA RY LIMITS PRESCRIBED ABOVE. FILING OF APPEAL IN SUCH C ASES IS TO BE DECIDED ON MERITS OF THE CASE. 4. WE FIND THAT THE TAX EFFECT INVOLVES IN THE APPEAL O F THE REVENUE IS BELOW RS.20 LAKHS. THERE IS NO DISPUTE THAT THE BOAR DS INSTRUCTIONS OR DIRECTIONS ISSUED TO THE INCOME-TAX AUTHORITIES ARE B INDING ON THOSE AUTHORITIES, THEREFORE, THE DEPARTMENT SHOULD HAVE WITHD RAWN/NOT PRESSED THE PRESENT APPEAL IN VIEW OF THE AFORESAID IN STRUCTION SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUN T OF RS.20 LAKHS. 3 5. IN VIEW OF THE ABOVE, CIRCULAR NO.3/2018 DATED 10. 07.2018 WILL APPLY TO ALL PENDING APPEALS. THEREFORE THE PRECEDEN T, IT IS HELD THAT THE APPEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFECT IS LESS THAN RS.20 LAKHS. ACCORDINGLY, IT IS HELD THAT APP EAL FILED BY THE REVENUE IS NOT MAINTAINABLE. 6. IN THE RESULT, APPEALS FILED BY THE DEPARTMENT IS DI SMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 31 ST JULY, 2018. SD/- SD/- (O.P. KANT) (AMIT SHUKLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 31/07/2018 VEENA COPY FORWARDED TO 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI