ITO, New Delhi V. M/s Sharni Properties Pvt. Ltd., New Delhi

ITA 5183/DEL/2012

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 86841 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 5 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-03-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 05-03-2015
• Assessment Year: 2005-2006
• Appeal Filed On: 05-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B R R KUMAR
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH G : NEW DELHI DELHI BENCH G : NEW DELHI DELHI BENCH G : NEW DELHI DELHI BENCH G : NEW DELHI BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND SHRI GEORGE GEORGE K, JUDICIAL MEMBER SHRI GEORGE GEORGE K, JUDICIAL MEMBER SHRI GEORGE GEORGE K, JUDICIAL MEMBER SHRI GEORGE GEORGE K, JUDICIAL MEMBER ITA NO. ITA NO. ITA NO. ITA NO.5183 5183 5183 5183/DEL/201 /DEL/201 /DEL/201 /DEL/2012 22 2 ASSESSMENT YEAR : 200 ASSESSMENT YEAR : 200 ASSESSMENT YEAR : 200 ASSESSMENT YEAR : 2005 55 5- -- -06 0606 06 INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, WARD WARD WARD WARD- -- -8(1), 8(1), 8(1), 8(1), NEW DELHI. NEW DELHI. NEW DELHI. NEW DELHI. VS. VS. VS. VS. M/S SHAR M/S SHAR M/S SHAR M/S SHARNI PROPERTIES PVT.LTD., NI PROPERTIES PVT.LTD., NI PROPERTIES PVT.LTD., NI PROPERTIES PVT.LTD., 22, PUSA ROAD, 22, PUSA ROAD, 22, PUSA ROAD, 22, PUSA ROAD, NEW DELHI NEW DELHI NEW DELHI NEW DELHI 110 008. 110 008. 110 008. 110 008. PAN : PAN : PAN : PAN : AAGCS8799F. AAGCS8799F. AAGCS8799F. AAGCS8799F. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI B.R.R. KUMAR, SR.DR. RESPONDENT BY : SHRI AMAN GOEL, CA. DATE OF HEARING : 0 00 05 55 5.03.2015 .03.2015 .03.2015 .03.2015 DATE OF PRONOUNCEMENT : 05.03.2015 05.03.2015 05.03.2015 05.03.2015 ORDER ORDER ORDER ORDER PER GEORGE GEORGE K, JM : PER GEORGE GEORGE K, JM : PER GEORGE GEORGE K, JM : PER GEORGE GEORGE K, JM : THIS APPEAL AT THE INSTANCE OF THE REVENUE IS DIRE CTED AGAINST THE ORDER OF LEARNED CIT(A)-XI, NEW DELHI DATED 12 TH JULY, 2012. THE RELEVANT ASSESSMENT YEAR IS 2005-06. 2. AT THE TIME OF HEARING, IT WAS NOTICED THAT THE TAX EFFECT WAS BELOW THE PRESCRIBED MONETARY LIMIT OF RS.4 LAKHS. INSTRUCTION NO.5/14 DATED 10.07.2014 MANDATES THAT THE TAX EFFECT SHOUL D BE ABOVE `4 LAKHS IN A PARTICULAR CASE, WHEN REVENUE FILES AN A PPEAL TO THE ITAT, (UNLESS THE CASE COME WITHIN THE AMBIT OF EXCEPTION CIRCUMSTANCE/SITUATION MENTIONED IN THE CIRCULAR). THE RECENT ORDER OF THE DELHI BENCH OF THE TRIBUNAL IN THE CASE OF DCIT VS. SHRI CHETAN PRAKASH MITTAL (ITA NO.3323/DEL/2010 DATED 13.11.20 14) HAD HELD THAT INSTRUCTION NO.5/14 IS APPLICABLE TO PENDING CASES. THE RELEVANT FINDING OF THE TRIBUNAL READS AS FOLLOWS:- ITA-5183/DEL/2012 2 (PARA 5) (PARA 5) (PARA 5) (PARA 5) WE HAVE HEARD RIVAL SUBMISSIONS AND PERUSED THE MA TERIAL ON WE HAVE HEARD RIVAL SUBMISSIONS AND PERUSED THE MA TERIAL ON WE HAVE HEARD RIVAL SUBMISSIONS AND PERUSED THE MA TERIAL ON WE HAVE HEARD RIVAL SUBMISSIONS AND PERUSED THE MA TERIAL ON RECORD. THE TRIBUNAL IN THE CASE OF DEPUTY COMMR. O F INCOME TAX RECORD. THE TRIBUNAL IN THE CASE OF DEPUTY COMMR. O F INCOME TAX RECORD. THE TRIBUNAL IN THE CASE OF DEPUTY COMMR. O F INCOME TAX RECORD. THE TRIBUNAL IN THE CASE OF DEPUTY COMMR. O F INCOME TAX VS. VS. VS. VS. SUSHILA SARAOGI (SUPRA) AFTER CONSIDERING THE PREC EDENTS ON THE SUSHILA SARAOGI (SUPRA) AFTER CONSIDERING THE PRECE DENTS ON THE SUSHILA SARAOGI (SUPRA) AFTER CONSIDERING THE PRECE DENTS ON THE SUSHILA SARAOGI (SUPRA) AFTER CONSIDERING THE PRECE DENTS ON THE SUBJECT HELD INSTRUCTION NO.5/14 ISSUED BY THE CBDT ON 10.07.2014 SUBJECT HELD INSTRUCTION NO.5/14 ISSUED BY THE CBDT ON 10.07.2014 SUBJECT HELD INSTRUCTION NO.5/14 ISSUED BY THE CBDT ON 10.07.2014 SUBJECT HELD INSTRUCTION NO.5/14 ISSUED BY THE CBDT ON 10.07.2014 IS APPLICABLE TO THE PENDING APPEALS. THE TRIBUNAL FOLLOWED THE IS APPLICABLE TO THE PENDING APPEALS. THE TRIBUNAL FOLLOWED THE IS APPLICABLE TO THE PENDING APPEALS. THE TRIBUNAL FOLLOWED THE IS APPLICABLE TO THE PENDING APPEALS. THE TRIBUNAL FOLLOWED THE DICTUM LAID DOWN THE JUDGMENTS OF THE VARIOUS HIGH COURTS DICTUM LAID DOWN THE JUDGMENTS OF THE VARIOUS HIGH COURTS DICTUM LAID DOWN THE JUDGMENTS OF THE VARIOUS HIGH COURTS DICTUM LAID DOWN THE JUDGMENTS OF THE VARIOUS HIGH COURTS INC INCINC INCLUDING THE TWO JUDGMENTS OF THE HONBLE JURISDIC TIONAL HIGH COURT LUDING THE TWO JUDGMENTS OF THE HONBLE JURISDICTIO NAL HIGH COURT LUDING THE TWO JUDGMENTS OF THE HONBLE JURISDICTIO NAL HIGH COURT LUDING THE TWO JUDGMENTS OF THE HONBLE JURISDICTIO NAL HIGH COURT IN THE CASE OF CIT VS. M/S P.S. JAIN & CO. IN ITA N O.179/1991 DATED IN THE CASE OF CIT VS. M/S P.S. JAIN & CO. IN ITA N O.179/1991 DATED IN THE CASE OF CIT VS. M/S P.S. JAIN & CO. IN ITA N O.179/1991 DATED IN THE CASE OF CIT VS. M/S P.S. JAIN & CO. IN ITA N O.179/1991 DATED 2.8.2010 AND IN THE CASE OF COMMISSIONER OF INCOME TAX VS. DELHI 2.8.2010 AND IN THE CASE OF COMMISSIONER OF INCOME TAX VS. DELHI 2.8.2010 AND IN THE CASE OF COMMISSIONER OF INCOME TAX VS. DELHI 2.8.2010 AND IN THE CASE OF COMMISSIONER OF INCOME TAX VS. DELHI RACE CLUB LTD. DATED 3.3.2011. IN VIEW OF THE ORDER OF TH RACE CLUB LTD. DATED 3.3.2011. IN VIEW OF THE ORDER OF TH RACE CLUB LTD. DATED 3.3.2011. IN VIEW OF THE ORDER OF TH RACE CLUB LTD. DATED 3.3.2011. IN VIEW OF THE ORDER OF THE TRIBUNAL E TRIBUNAL E TRIBUNAL E TRIBUNAL IN THE CASE OF DEPUTY COMMISSIONER OF INCOME TAX VS . SUSHILA IN THE CASE OF DEPUTY COMMISSIONER OF INCOME TAX VS . SUSHILA IN THE CASE OF DEPUTY COMMISSIONER OF INCOME TAX VS . SUSHILA IN THE CASE OF DEPUTY COMMISSIONER OF INCOME TAX VS . SUSHILA SARAOGI WHICH HAVE ELABORATELY CONSIDERED THE IDENT ICAL ISSUE, WE SARAOGI WHICH HAVE ELABORATELY CONSIDERED THE IDENT ICAL ISSUE, WE SARAOGI WHICH HAVE ELABORATELY CONSIDERED THE IDENT ICAL ISSUE, WE SARAOGI WHICH HAVE ELABORATELY CONSIDERED THE IDENT ICAL ISSUE, WE HOLD THAT INSTRUCTION NO.5/2014 ISSUED BY THE CBDT ON 10.07.2014 HOLD THAT INSTRUCTION NO.5/2014 ISSUED BY THE CBDT ON 10.07.2014 HOLD THAT INSTRUCTION NO.5/2014 ISSUED BY THE CBDT ON 10.07.2014 HOLD THAT INSTRUCTION NO.5/2014 ISSUED BY THE CBDT ON 10.07.2014 IS APPLICABLE TO THE PENDING APPEALS. IN THE INSTAN T IS APPLICABLE TO THE PENDING APPEALS. IN THE INSTAN T IS APPLICABLE TO THE PENDING APPEALS. IN THE INSTAN T IS APPLICABLE TO THE PENDING APPEALS. IN THE INSTAN T CASE, THE TAX CASE, THE TAX CASE, THE TAX CASE, THE TAX EFFECT BEING BELOW RS.4 LACS, WITHOUT GOING INTO TH E ISSUE ON MERIT, EFFECT BEING BELOW RS.4 LACS, WITHOUT GOING INTO TH E ISSUE ON MERIT, EFFECT BEING BELOW RS.4 LACS, WITHOUT GOING INTO TH E ISSUE ON MERIT, EFFECT BEING BELOW RS.4 LACS, WITHOUT GOING INTO TH E ISSUE ON MERIT, WE DISMISS THE APPEAL OF THE REVENUE IN LIMINEE. IT IS TO BE WE DISMISS THE APPEAL OF THE REVENUE IN LIMINEE. IT IS TO BE WE DISMISS THE APPEAL OF THE REVENUE IN LIMINEE. IT IS TO BE WE DISMISS THE APPEAL OF THE REVENUE IN LIMINEE. IT IS TO BE MENTIONED THAT LD. DR WAS UNABLE TO POINT OUT ANY E XCEPTIONAL MENTIONED THAT LD. DR WAS UNABLE TO POINT OUT ANY E XCEPTIONAL MENTIONED THAT LD. DR WAS UNABLE TO POINT OUT ANY E XCEPTIONAL MENTIONED THAT LD. DR WAS UNABLE TO POINT OUT ANY E XCEPTIONAL CIRCUMSTANCES/SITUATION (MENTIONED IN BOARD INSTRU CIRCUMSTANCES/SITUATION (MENTIONED IN BOARD INSTRU CIRCUMSTANCES/SITUATION (MENTIONED IN BOARD INSTRU CIRCUMSTANCES/SITUATION (MENTIONED IN BOARD INSTRUC TION NO.5/2014) CTION NO.5/2014) CTION NO.5/2014) CTION NO.5/2014) FOR FILING AN APPEAL DESPITE THE MONETARY LIMIT BEI NG BELOW THE FOR FILING AN APPEAL DESPITE THE MONETARY LIMIT BEI NG BELOW THE FOR FILING AN APPEAL DESPITE THE MONETARY LIMIT BEI NG BELOW THE FOR FILING AN APPEAL DESPITE THE MONETARY LIMIT BEI NG BELOW THE PRESCRIBED LIMIT. PRESCRIBED LIMIT. PRESCRIBED LIMIT. PRESCRIBED LIMIT. 3. IN VIEW OF THE COORDINATE BENCH ORDER OF THE TRI BUNAL (SUPRA), WE HOLD THAT INSTRUCTION NO.5/2014 ISSUED BY THE CBDT ON 10.07.2014 IS APPLICABLE TO THE PENDING APPEALS. IN THE INSTANT C ASE, SINCE THE TAX EFFECT IS BELOW RS.4 LAKHS, WITHOUT GOING INTO THE ISSUE ON MERIT, WE DISMISS THE APPEAL OF THE REVENUE IN LIMINE. FURTHE R IT IS TO BE MENTIONED THAT LD. DR WAS UNABLE TO POINT OUT ANY E XCEPTIONAL CIRCUMSTANCES/SITUATION (MENTIONED IN BOARD INSTRUC TION NO.5/14) FOR FILING AN APPEAL, DESPITE THE TAX EFFECT BEING BELO W THE PRESCRIBED LIMIT. 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. DECISION PRONOUNCED IN THE OPEN COURT ON 5 TH MARCH, 2015. SD/- SD/- (G.D. AGRAWAL) (G.D. AGRAWAL) (G.D. AGRAWAL) (G.D. AGRAWAL) (GEORGE GEORGE K) (GEORGE GEORGE K) (GEORGE GEORGE K) (GEORGE GEORGE K) VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT JUDICIAL MEMBER JUDICIAL MEMBER JUDICIAL MEMBER JUDICIAL MEMBER VK. ITA-5183/DEL/2012 3 COPY FORWARDED TO: - 1. APPELLANT : INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, INCOME TAX OFFICER, WARD WARD WARD WARD- -- -8(1), NEW DELHI. 8(1), NEW DELHI. 8(1), NEW DELHI. 8(1), NEW DELHI. 2. RESPONDENT : M/S SHARNI PROPERTIES PVT.LTD., M/S SHARNI PROPERTIES PVT.LTD., M/S SHARNI PROPERTIES PVT.LTD., M/S SHARNI PROPERTIES PVT.LTD., 22, PUSA ROAD, NEW D 22, PUSA ROAD, NEW D 22, PUSA ROAD, NEW D 22, PUSA ROAD, NEW DELHI ELHI ELHI ELHI 110 008. 110 008. 110 008. 110 008. 3. CIT 4. CIT(A) 5. DR, ITAT ASSISTANT REGISTRAR