ACIT, New Delhi V. M/s. Punarvasu Tie Up Pvt Ltd, Kolkata

ITA 4785/DEL/2016

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9687 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-09-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2013-2014
• Appeal Filed On: 08-09-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SURENDRA PD
• Keywords: Tax effect
• Section: 268A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI F BEN CH, NEW DELHI BEFORE SHRI T.S. KAPOOR, ACCOUNTANT MEMBER, AND SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER, ITA NO.4785/DEL/2016 [ASSESSMENT YEAR: 2013-14] ACIT-30, ROOM NO.320, 3RD FLOOR, ARA CENTRE, JHANDEWALAN EXTN., NEW DELHI M/S PUNARVASU TIE UP PVT. LTD. ROOM NO.17, 4TH FLOOR, 55 EZRA STREET, KOLKATA-700001 PAN- AAECP1470E APPELLANT RESPONDENT APPELLANT BY SHRI SURENDRA PD. SR. DR RESPONDENT BY SHRI RAJAT JAIN & SHRI AKSHAT JAIN DATE OF HEARING 23/09/2019 DATE OF PRONOUNCEMENT 24/09/2019 ORDER PER T.S. KAPOOR, ACCOUNTANT MEMBER THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAINST THE ORDER OF THE LD. CIT(A)-30, NEW DELHI, DATED 24/06/ 2016, FOR ASSESSMENT YEAR 2013-14. FROM THE GROUNDS OF APPEAL, WE OBSERVE THAT THE TAX EFFECT IN THIS CASE IS BELOW MONETARY LIMIT FOR FILING APPEALS BY THE DEPARTMENT. THE CBDT VIDE CIRCULAR N O.17/2019, DATED 08/08/2019 HAS INCREASED THE MONETARY LIMIT F OR FILING APPEALS BEFORE ITAT. FOR THE SAKE OF COMPLETENESS, SUCH CBD T CIRCULAR IS REPRODUCED BELOW:- 2 ITA NO. 4785/DEL/2016 SUB:- FURTHER ENHANCEMENT OF MONETARY LIMITS FOR F ILING OF APPEALS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HI GH COURT AND SLPS/APPEALS BEFORE SUPREME COURT-AMENDMENT TO CIRC ULAR 3 OF 2018- MEASURES FOR REDUCING LITIGATION. REFERENCE IS INVITED TO THE CIRCULAR NO. 3 OF 2018 DATED 11.07.2018 (THE CIRCULAR) OF CENTRAL BOARD OF DIRECT TAXES (THE BOA RD) AND ITS AMENDMENT DATED 20 TH AUGUST. 2018 VIDE WHICH MONETARY LIMITS FOR FILING OF INCOME TAX APPEALS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL . HIGH COURTS AND SLPS/APPEALS BEFORE SUPREME COURT HAVE BEEN SPECIFI ED. REPRESENTATION HAS ALSO BEEN RECEIVED THAT AN ANOMALY IN THE SAID CIRCULAR AT PARA 5 MAY BE REMOVED. 2. AS STEP TOWARDS FURTHER MANAGEMENT OF LITIGATION, I T HAS BEEN DECIDED BY THE BOARD THAT MONETARY LIMITS FOR FILING OF APPEALS IN INCOM E-TAX CASES BE ENHANCED FURTHER THROUGH AMENDMENT IN PARA 3 OF THE CIRCULAR MENTION ED ABOVE AND ACCORDINGLY, THE TABLE FOR MONETARY LIMITS SPECIFIED IN PARA 3 O F THE CIRCULAR SHALL READ AS FOLLOWS: 3. FURTHER, WITH A VIEW TO PROVIDE PARITY IN FILING OF APPEALS IN SCENARIOS WHERE SEPARATE ORDER IS PASSED BY HIGHER APPELLATE AUTHORITIES FOR EACH ASSESSMENT YEAR VIS-A-VIS WHERE COMPOSITE ORDER FOR MORE THAN ONE ASSESSMENT YEARS IS PASSED, PARA 5 OF THE CIRCULAR IS SUBSTITU TED BY THE FOLLOWING PARA: - 5. THE ASSESSING OFFICER SHALL CALCULATE THE TAX E FFECT SEPARATELY FOR EVERY ASSESSMENT YEAR IN RESPECT OF THE DISPUTED ISSUES I N THE CASE OF EVERY ASSESSEE. IF, IN THE CASE OF AN ASSESSEE. THE DISPU TED ISSUES ARISE IN MORE THAN ONE ASSESSMENT YEAR, APPEAL CAN BE FILED IN RE SPECT OF SUCH ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IN RESPECT OF THE DISPUTED ISSUES EXCEEDS THE MONETARY LIMIT SPECIFIED IN PARA 3. NO APPEAL SHALL BE FILED IN RESPECT OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE MONETARY LIMIT SPECIFIED IN PARA 3. F URTHER, EVEN IN THE CASE OF COMPOSITE ORDER OF ANY HIGH COURT OR APPELLATE A UTHORITY WHICH INVOLVES MORE THAN ONE ASSESSMENT YEAR AND COMMON ISSUES IN MORE THAN ONE ASSESSMENT YEAR, NO APPEAL SHALL BE FILED IN RESPEC T OF AN ASSESSMENT YEAR OR YEARS IN WHICH THE TAX EFFECT IS LESS THAN THE M ONETARY LIMIT SPECIFIED IN PARA 3. IN CASE WHERE A COMPOSITE ORDER/ JUDGEMENT INVOLVES MORE THAN ONE ASSESSEE EACH ASSESSEE SHALL BE DEALT WITH SEPA RATELY. 4. THE SAID MODIFICATIONS SHALL COME INTO EFFECT FROM THE DATE OF ISSUE OF THIS CIRCULAR. 5. THE SAME MAY BE BROUGHT TO THE NOTICE OF ALL CONCER NED. 6. THIS ISSUES UNDER SECTION 268A OF THE INCOME-TAX AC T, 1961. 2. THE LD. DR THOUGH STATED THAT IT IS NOT APPARENT FROM THE PRESENT APPEAL AS TO WHETHER THE CASE OF THE ASSESS EE FALLS INTO ANY S.NO. APPEALS/SLPS IN INCOME - TAX MATTERS MONETARY LIMIT (RS.) 1. BEFORE APPELLATE TRIBUNAL 50,00,000 2. BEFORE HIGH COURT 1,00,00,000 3. BEFORE SUPREME COURT 2,00,00,000 3 ITA NO. 4785/DEL/2016 EXCEPTION TO THE CIRCULAR BUT AT THE SAME TIME, HE WAS NOT ABLE TO DEMONSTRATE THE EXCEPTION APPLICABLE TO THE ASSESSE E, THEREFORE, HIS ARGUMENTS HAS NO FORCE. WE FIND THAT THE TAX EFFECT IN THIS CASE IS LESS THAN RS.50 LAKHS, THEREFORE, THE APPEAL IS NOT MAIN TAINABLE AND THEREFORE, WE DISMISS THE SAME. 3. HOWEVER, THE PARTIES ARE GIVEN THE LIBERTY TO FI LE FOR RECALLING OF THIS ORDER IF THE APPEAL IS COVERED BY THE EXCEP TIONS LISTED AT PARA- 10 (SCOPE OF WHICH STANDS WIDENED VIDE AMENDMENT DA TED 20/08/2018) OR PARA 11 OF THE ORDER. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 24/0 9/2019 SD/- SD/- [SUDHANSHU SRIVASTAVA] [T.S. KAP OOR] JUDICIAL MEMBER ACCOUNTANT MEMBER DELHI; DATED: 24/09/2019. F{X~{T? F{X~{T? F{X~{T? F{X~{T? FA FA FA FA P.S P.SP.S P.S COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASST. REGISTRAR, ITAT, NEW DELHI