DCIT, New Delhi V. M/s. Northern Aromatic Ltd., New Delhi

ITA 5172/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 4415 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-09-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2010-2011
• Appeal Filed On: 17-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: D NEW DELHI BEFORE SHRI G.D. AGRAWAL, HONBLE PRESIDEN T & SHRI K.N. CHARY, JUDICIAL MEMBER ITA NO.-5172/DEL/2015 ( ASSESSMENT YEAR: 2010-11) DCIT CIRCLE 18(2) ROOM NO. 212, C.R. BLDG., I.P. ESTATE NEW DELHI. VS NORTHERN AROMATIC LTD. 5, UGC INDRAPRAKASH BUILDING, 21, BARAKHAMBA ROAD, NEW DELHI. AAACN3789N ASSESSEE BY SH. CHANDAN AGRAWAL, CA SH. DIVAKAR NAGPAL, DIRECTOR REVENUE BY SH. ARUN KUMAR YADAV, SR. DR ORDER PER SHRI G.D. AGRAWAL, PRESIDENT REVENUE PREFERRED THIS APPEAL CHALLENGING THE ORDER DATED 29/05/2015 IN APPEAL NO. 206/13-14 PASSED BY THE LD. COMMISSIONER OF INCOME TAX (APPEALS)-6, DELHI (HERE INAFTER FOR SHORT CALLED AS THE LD. CIT (A)). 2. AT THE OUTSET, IT IS BROUGHT TO OUR NOTICE THAT THE SUBJECT MATTER IS INVOLVED RS. 9,05,658/- AND TAX EFFECT ON THE DATE OF HEARING 18.09.2017 DATE OF PRONOUNCEMENT 18.09.2017 2 ITA NO. 5172/DEL/2015 DISPUTED ADDITION BEFORE US IS LESS THAN RS. 10 LAC S SQUARELY FALLING WITH THE AMBIT OF CIRCULAR NO. 21 / 2015 DA TED 10.12.2015 PRESCRIBING THE TAX EFFECT FOR PREFERRIN G APPEALS BEFORE TRIBUNAL BY THE REVENUE. . 3. AFTER PERUSING THE MATERIALS AVAILABLE ON RECOR D, WE FIND THAT THE ADDITIONS DISPUTED BEFORE US IS BELOW THE TAX EFFECT LIMIT PRESCRIBED BY CBDT VIDE CIRCULAR NO. 21 / 20 15 DATED 10.12.2015 FOR PREFERRING APPEALS BEFORE TRIBUNAL B Y THE REVENUE. ON PERUSAL OF THE CIRCULAR NO. 21 / 2015 DATED 10.12.2015 AND THE MATERIALS AVAILABLE ON RECORD, L D. DR COULD NOT POINT OUT WHETHER THIS CASE FALLS UNDER A NY OF THE EXCEPTION AS PROVIDED IN THE CIRCULAR DESPITE SPECI FIC OPPORTUNITY WAS GIVEN, DOES NOT FALL UNDER ANY OF T HE EXCEPTIONS CONTEMPLATED IN THE SAID CIRCULAR, AS TH IS IS COVERED. WE ALSO FIND THAT THE CIRCULAR MAKES IT V ERY CLEAR THAT THE REVISED MONETARY LIMITS SHALL APPLY RETROS PECTIVELY TO PENDING APPEALS ALSO. WE FIND THAT THE CIRCULAR IS BINDING ON THE TAX AUTHORITIES. THIS POSITION HAS BEEN CONFIRM ED BY THE HONBLE APEX COURT IN THE CASE OF COMMISSIONER OF C USTOMS VS 3 ITA NO. 5172/DEL/2015 INDIAN OIL CORPORATION LTD REPORTED IN 267 ITR 272 (SC). HENCE, WE HOLD THAT THE APPEAL OF THE REVENUE DESERVES TO BE DISMISSED IN TERMS OF LOW TAX EFFECT VIDE CIRCULAR NO.21 / 2015 DATED 10.12.2015. ACCORDINGLY, THIS BEING A L OW TAX EFFECT CASE, WE DISMISS THIS APPEAL OF REVENUE IN L IMINE, AS UN- ADMITTED, WITHOUT GOING INTO THE MERITS OF THE CASE . 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 18.09.2017 SD/- SD/- (K.N. CHARY) (G.D. AGRAWAL) JUDICIAL MEMBER PRESIDENT DATED: 18.09.2017 *KAVITA ARORA COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT TRUE COPY ASSISTANT REGISTRAR ITAT NEW DELHI 4 ITA NO. 5172/DEL/2015