ACIT, Circle- 26(2), New Delhi V. Vijayant Facility Services Pvt. Ltd., New Delhi

ITA 4590/DEL/2018

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 3994 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 3 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-10-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2014-2015
• Appeal Filed On: 20-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J S KOCHAR
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI F BENCH: NEW DELHI (THROUGH VIDEO CONFERENCING ) BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER & SHRI O.P.KANT, ACCOUNTANT MEMBER ITA NO.4590/DEL/2018 ASSESSMENT YEAR : 2014-15 ACIT, CIRCLE-26(2), NEW DELHI VS VIJAYANT FACILITY SERVICES PVT.LTD., A-1/7, BASEMENT KHASRA NO.30, M.B.ROAD, VILLAGE- SAIDULAJAH, NEW DELHI-110030. PAN-AADCV2535P APPELLANT RESPONDENT APPELLANT BY SH. J.S.KOCHAR, CA RESPONDENT BY SH. ROHIT ANAND, SR. DR DATE OF HEARING 07.10.2021 DATE OF PRONOUNCEMENT 07.10.2021 ORDER PER KUL BHARAT, JM : THIS APPEAL FILED BY THE REVENUE FOR THE ASSESSMENT YEAR 2014-15 IS DIRECTED AGAINST THE ORDER OF LD. CIT(A)-9, NEW DEL HI DATED 27.12.2017. THE REVENUE HAS RAISED FOLLOWING GROUNDS OF APPEAL:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND LAW, THE LD. CIT(A) HAS ERRED IN DELETING THE ADDITION OF RS.69, 88,497/- MADE ON ACCOUNT OF DISALLOWANCE U/S 36(1)(VA) BY IGNORING T HE FACT THAT CBDT CIRCULAR NO.22/2015 DATED 17.12.2015 IS NOT APPLICA BLE TO CLAIM OF DEDUCTION RELATING TO EMPLOYEES CONTRIBUTION TO WE LFARE FUNDS AS PER PARA 5 OF THE SAID CIRCULAR. 2. THE APPELLANT CRAVES, LEAVES OR RESERVING THE RI GHT TO AMEND, MODIFY, ALTER, ADD OR FOREGO ANY OF THE GROUND(S) OF APPEAL AT ANY TIME BEFORE OR DURING THE HEARING OF THIS APPEAL. ITA NO. 4590/DEL/2018 PAGE | 2 2. HOWEVER, LD. COUNSEL FOR THE ASSESSEE POINTED OU T THAT THE PRESENT APPEAL PERTAINING TO ASSESSMENT YEAR 2014-15 DESERV ES TO BE WITHDRAWN AS THE TAX EFFECT INVOLVED IN THE CASE IS BELOW RS.50 LACS. 3. LD. SR. DR COULD NOT CONTROVERT THE SUBMISSIONS OF THE LD. COUNSEL FOR THE ASSESSEE. 4. THE CBDT VIDE CIRCULAR NO.17/2019 DATED 08.08.20 19 HAS REVISED THE MONETARY LIMIT FOR FILING THE APPEALS BEFORE THE TR IBUNAL TO RS.50 LACS. FURTHER, CBDT VIDE LETTER DATED 20.08.2019 HAS ALSO CLARIFIED THAT CIRCULAR NO.17/2019 WOULD BE APPLICABLE TO ALL PENDING APPEA LS. IN SUCH CIRCUMSTANCES, THE PRESENT APPEAL FILED BY THE REVE NUE IN CASE OF LOW TAX EFFECT IS NOT MAINTAINABLE. 5. BEFORE PARTING, WE CLARIFY HERE THAT THE REVENUE SHALL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RE-INSTITUTION OF APPEAL, IF THE REQUISITE MATERIAL IS BROUGHT TO SHOW THAT THE APPEAL IS PROTECTED BY THE EXCEPTIONS PRESCRIBED IN PARA 10 OF THE CIRCULAR DATED 11.07.2018. 6. IN CONCLUSION, BY APPLYING THE CBDT CIRCULAR DAT ED 08.08.2019 AND LETTER DATED 20.08.2019 (SUPRA), THE CAPTIONED APPE AL OF THE REVENUE IS DISMISSED AS WITHDRAWN/NOT PRESSED. 7. IN THE RESULT, APPEAL OF REVENUE IS DISMISSED. ABOVE DECISION WAS PRONOUNCED ON CONCLUSION OF VIRT UAL HEARING IN THE PRESENCE OF BOTH THE PARTIES ON 07 TH OCTOBER, 2021. SD/- SD/- (O.P.KANT) (KUL BHARAT) ACCOUNTANT MEMBER JUDICIA L MEMBER ITA NO. 4590/DEL/2018 PAGE | 3 *AMIT KUMAR* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI