DCIT, Ludhiana V. M/s BCL Industries & Infrastructure Ltd, Bathinda

ITA 468/CHANDI/2016

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 3842 (ITAT-CHANDIGARH)
• Duration Of Justice: 6 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-12-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 02-05-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K MITTAL
• Keywords: Tax effect
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH,CHANDIGARH BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND MS.ANNAPURNA GUPTA, ACCOUNTANT MEMBER ITA NOS. 468/CHD/2016 ASSESSMENT YEARS: 2012-13 THE DCIT, VS M/S BCL INDUSTRIES & CENTRAL CIRCLE-I, INFRASTRUCTURE LTD, LUDHIANA HAZI RATAN LINK ROAD, BATHINDA. PAN: AAACB5510B (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI S.K.MITTAL RESPONDENT BY : SHRI SUDHIR SEHGAL DATE OF HEARING : 01.12.2016 DATE OF PRONOUNCEMENT : 01.12.2016 O R D E R PER BHAVNESH SAINI,JM THIS APPEAL BY REVENUE HAS BEEN DIRECTED AGAINST T HE ORDER OF LD. CIT(APPEALS)-5, LUDHIANA DATED 23.02.2 016 FOR ASSESSMENT YEAR 2012-13. THE ASSESSING OFFICER MADE ADDITION OF RS. 20,36,000/- UNDER THE PROVISIONS OF SECTION 14A OF THE INCOME TAX ACT. THE LD. CIT(APPEALS) DELETED THE A DDITION FOLLOWING THE ORDER OF THE TRIBUNAL IN THE CASE OF THE ASSESSEE. THE DELETION OF THE SAID ADDITION UNDER SECTION 14A OF THE ACT HAS BEEN CHALLENGED IN THE PRESENT APPEAL BY THE DE PARTMENT. 2. ACCORDING TO CIRCULAR NO. 21/2015 DATED 10.12.20 15, THE CBDT IN SUPERCESSION OF EARLIER INSTRUCTIONS HAS DI RECTED THAT DEPARTMENTS APPEALS BEFORE ITAT SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY L IMIT OF RS. 10 LACS. THE TAX WILL NOT INCLUDE ANY INTEREST THEREO N. IT IS FURTHER 2 CLARIFIED THAT IF IN THE CASE OF AN ASSESSEE, DISPU TED ISSUES ARISE IN MORE THAN ONE ASSESSMENT YEAR, APPEAL CAN BE FIL ED IN RESPECT OF SUCH ASSESSMENT YEAR OR YEARS IN WHICH THE TAX E FFECT IN RESPECT OF DISPUTED ISSUES EXCEEDS THE MONETARY LIM IT SO SPECIFIED. THIS INSTRUCTION WILL APPLY RETROSPECTI VELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH BEFORE T HE TRIBUNAL. THE PENDING APPEALS BELOW THE SPECIFIED TAX LIMIT M AY BE WITHDRAWN/NOT PRESSED. 3. ADMITTEDLY, IN THE DEPARTMENTAL APPEAL, THE TAX EFFECT IS LESS THAN RS. 10 LACS, THEREFORE, DEPARTMENTAL APPE AL IS NOT MAINTAINABLE. THE LD. CIT(APPEALS) DECIDED THE ISS UE IN DEPARTMENTAL APPEAL ON FACTS AND THE CASE OF THE RE VENUE WOULD NOT FALL IN THE EXCEPTIONS PROVIDED IN THE ABOVE CI RCULAR. 4. IN VIEW OF THE ABOVE, LD. DR STATED THAT SINCE D EPARTMENTAL APPEAL IS FILED AGAINST THE CBDT INSTRUCTIONS, THER EFORE, HE WOULD NOT BE PRESSING DEPARTMENTAL APPEAL. THEREFO RE, THE ABOVE DEPARTMENTAL APPEAL IS DISMISSED BEING NOT PR ESSED. ORDER PRONOUNCED IN THE OPEN COURT. SD/- SD/- (ANNAPURNA GUPTA) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBE R DATED: 1 ST DECEMBER,2016. POONAM COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. THE CIT,DR ASSISTANT REGISTRAR, ITAT/CHD