ITO, New Delhi V. Sh. R K Bhatia, New Delhi

ITA 4642/DEL/2010

• Counselvise Citation: [2011] 119 COUNSELVISE.COM (IT) 6603 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-04-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Next Hearing Date: 26-04-2011
• Assessment Year: 2006-2007
• Appeal Filed On: 21-10-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SURJAM MOHANTY
• Keywords: Tax effect
• Section: 69

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: F NEW DELHI BEFORE SHRI R.P.TOLANI, JM AND SHRI B.C.MEENA, AM ITA NO. 4642/DEL/2010 A.Y. 2006-07 ITO, WARD 33(4) VS. SHRI R.K.BHATIA NEW DELHI 9A/11, FIRST FLOOR WEA, KAROLBAGH NEW DELHI 5 (APPELLANT) (RESPONDENT) APPELLANT BY : SMT. SURJAM MOHANTY, SR.D.R. RESPONDENT BY : NONE O R D E R PER B.C.MEENA, ACCOUNTANT MEMBER THE REVENUE HAS FILED THIS APPEAL AGAINST THE ORDE R PASSED BY THE CIT (A)-XXVI, NEW DELHI DATED 12.8.2010 PERTAININ G TO A.Y. 2006-07. THE GROUNDS OF APPEAL READ AS UNDER. 1. WHETHER THE CIT(A) HAS ERRED IN DELETING THE A DDITION OF ` 7 LAKHS MADE U/S 69 OF THE ACT MADE BY THE AO, TAKING INTO CONSIDERATION THE SALE PROCEEDS OF ASSESSEES FLAT FOR ` 8 LAKHS, WHEN, THE TRANSACTION OF SALE OF FLAT HAS NOT BEEN DISCLOSED IN THE INCOME TAX RETURN FILED BY THE ASSESSEE AND THE TRA NSACTION HAS FIRST BEEN ADMITTED BEFORE THE CIT(A), WHERE IT HAS ALSO BEEN ADMITTED THAT THE SAID TRANSACTION WAS NOT DISCLOSE D IN THE INCOME TAX RETURN NOR DISCLOSED BEFORE THE AO AND ACCORDIN GLY, THE AO HAS ITA 4642/DEL/2010 PAGE 2 OF 3 SHRI RK BHATIA, NEW DELHI A.Y. 2006-07 BEEN PREVENTED FROM EXAMINING THE TRANSACTION WITH A VIEW TO POSSIBLE CAPITAL GAINS WHICH SHOULD BE BROUGHT TO T AX; NEITHER THE CIT(A) EXAMINED THE TRANSACTION WITH RESPECT TO THE CAPITAL GAINS ANGLE NOR HAS THE CIT(A) GIVEN A FINDING THEREON? 2. THE APPELLANT CRAVES LEAVE TO ADD, ALTER OR AMEN D ANY/ALL THE GROUNDS OF APPEAL BEFORE OR DURING THE COURSE OF HE ARING OF THE APPEAL. 3. NONE ATTENDED ON BEHALF OF THE ASSESSEE. THE LD .D.R. WAS HEARD. AFTER HEARING THE D.R. WE FIND THAT THE TOTAL ADDIT ION DELETED IS OF ` 7 LAKHS WHICH WAS MADE U/S 69 OF THE I.T.ACT. AT THE THRESHOLD, WE NOTE THAT THE TAX EFFECT IN THIS APPEAL IS LESS THAN ` 3 LAKHS. AS PER INSTRUCTION NO. 3/2011 (F.NO. 279/MISC./142/2007-ITJ) DATED 09.02.2011 ISS UED BY THE CBDT, THE TAX EFFECT FOR FILING APPEAL BEFORE THE AP PELLATE TRIBUNAL SHOULD BE MORE THAN ` 3 LAKHS. IN THE PRESENT CASE, ADMITTED LY THE TAX IS BELOW` 3 LAKHS, HENCE THE APPEAL IS IN CONTRAVENTION OF THE AFORES AID CBDT CIRCULAR/INSTRUCTION. HENCE, THE SAME IS LIABLE TO BE DISMISSED. ACCORDINGLY, THIS APPEAL BY THE REVENUE STANDS DISMISSED FOR LOW TAX EFFECT. 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 26 TH APRIL,2011. SD/- SD/- (R.P.TOLANI) (B.C.MEENA) JUDICIAL MEMBER ACCOUNTANT MEMB ER DATED: 26TH APRIL, 2011 *MANGA ITA 4642/DEL/2010 PAGE 3 OF 3 SHRI RK BHATIA, NEW DELHI A.Y. 2006-07 COPY OF THE ORDER FORWARDED TO: 1. APPELLANT; 2.RESPONDENT; 3.CIT; 4.CIT (A); 5.DR 6.GUARD FILE BY ORDER DY. REGISTRAR // TRUE COPY //