DCIT, New Delhi V. M/s. Remarkable Estate Pvt. Ltd., New Delhi

ITA 510/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 2761 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-12-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2006-2007
• Appeal Filed On: 23-01-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AJAY BHAGWANI
• Keywords: Retrospective amendment; Tax effect

Judgement Text

1 ITA NO. 510/DEL/2015 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: F NEW DELHI BEFORE SHRI R. K. PANDA, ACCOUNTAN T MEMBER AND MS SUCHITRA KAMBLE, JUDICIAL MEMBER I.T.A .NO. 510/DEL/2015 (ASSESSM ENT YEAR-2006-07) DCIT CENTRAL CIRCLE-32 NEW DELHI (APPELLANT) VS REMARKABLE ESTATE PVT. LTD. M-11, MIDDLE CIRCLE, CONNAUGHT CIRCUS NEW DELHI AAACR5555N (RESPONDENT) APPELLANT BY SH. AJAY BHAGWANI, CA RESPONDENT BY SMT. RACHNA SINGH, CIT(DR) ORDER PER SUCHITRA KAMBLE, JM THIS IS AN APPEAL FILED BY THE REVENUE. THE LD. AR POINTED OUT THAT THE TAX EFFECT IS LESS THAN RS. 10 LAKHS. 2. THE LD. DR SUBMITTED THAT AS PER THE DECISION OF THE HON'BLE SUPREME COURT IN CASE OF DIT VS. S.R.M.B DAIRY FARMING (P) LTD. DATED 23/11/2017 AND CIT BANGALORE VS. M/S GEMINI DISTILLERIES ORDER DA TED 12 TH OCTOBER 2017. THE APPEALS FILED PRIOR TO CIRCULAR DATED 10 TH DECEMBER 2015 BEING CIRCULAR NO. 21/2015 WILL NOT COME UNDER THE PURVIEW OF TAX EFFE CT OF LESS THAN 10 LAKHS. 3. THE LD. AR RELIED UPON THE CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015 AND POINTED OUT PARA 10 OF THE SAID CIRCULAR T HAT THIS INSTRUCTION WILL DATE OF HEARING 27.12.2017 DATE OF PRONOUNCEMENT 28.12.2017 2 ITA NO. 510/DEL/2015 APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEAL S TO BE FILED HENCEFORTH IN HIGH COURTS/TRIBUNALS. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE A PEX COURT DECISION IN CASE OF DIT VS. S.R.M.B DAIRY FARMING (P) LTD. AND M/S GEMINI DISTILLERIES. IN-FACT, BOTH THE DECISIONS OF THE APEX COURT ARE R ELATED TO THE CIRCULAR DATED 9/2/2011. THE HONBLE APEX COURT HAS CATEGORICALLY POINTED OUT THAT CIRCULAR DATED 9/2/20111 CANNOT BE GIVEN RETROSPECTIVE EFFEC T. THUS, BOTH THE DECISION OF THE APEX COURT ARE RELATED TO CIRCULAR DATED 9/2 /2011 AND NOT THAT OF CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015. AFTER GOING TO THE CIRCULAR DATED 9/2/2011, IT CAN BE SEEN THAT THERE WAS NO S PECIFIC MENTION ABOUT THE RETROSPECTIVE EFFECT OF THE SAID CIRCULAR DATED 9/2 /2011 BUT IN RESPECT OF CIRCULAR DATED 20/12/2015 IN PARA 10, THERE IS A SP ECIFIC MENTION THAT THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING A PPEALS. THE PRESENT APPEAL IS FIELD ON 23 RD JANUARY 2015. THEREFORE, THE CIRCULAR WILL APPLY AND THE CONTENTION OF THE LD. DR WILL NOT SUSTAIN AS BOTH T HE APEX COURT DECISIONS ARE DEALING WITH CIRCULAR DATED 9/2/2011. THEREFORE, I N LIGHT OF CIRCULAR DATED 10/12/2015, THIS APPEAL FILED BY THE REVENUE COMES UNDER THE PURVIEW OF TAX EFFECT BELOW 10 LAKHS . IN RESULT, APPEAL OF THE R EVENUE IS DISMISSED FOR LOW TAX EFFECT AS PER CIRCULAR DATED 10/12/2015. 5. IN RESULT, APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 28 TH DECEMBER 2017 . SD/- SD/- (R.K. PANDA) (SUCHITRA KAMBLE) ACCOUNTANT MEMBER JUDICIAL MEMB ER DATED: 28/12/2017 R. NAHEED * COPY FORWARDED TO: 3 ITA NO. 510/DEL/2015 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI DATE 1. DRAFT DICTATED ON 27/12/2017 PS 2. DRAFT PLACED BEFORE AUTHOR 28/12/2017 PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER .2017 JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS .12.2017 PS/PS 6. KEPT FOR PRONOUNCEMENT ON PS 7. FILE SENT TO THE BENCH CLERK .12.2017 PS 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER. 4 ITA NO. 510/DEL/2015