The ITO, Ward 5(1), RAJKOT-GUJARAT V. Shri Dharmesh R Solanki, RAJKOT-GUJARAT

ITA 53/RJT/2011

• Counselvise Citation: 5324914 RSA 2011
• Duration Of Justice: 6 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-09-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2005-2006
• Appeal Filed On: 23-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MK SINGH
• Assessee Lawyers: J C RANPURA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT BEFORE SHRI A.L. GEHLOT (AM) AND SHRI N.R.S. GANESA N (JM) I.T.A. NO.53/RJT/2011 (ASSESSMENT YEAR 2005-06) ITO, WD.5(1) VS SHRI DHARMESH R SOLANKI RAJKOT PROP OF M/S NARNARAYAN INDS ISHWAR KRUPA 1, SORATHIA WADI, RAJKOT PAN : AHAPS8509F (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI MK SINGH RESPONDENT BY: SHRI JC RANPURA DATE OF HEARING : 30-08-2011 DATE OF PRONOUNCEMENT : 09-09-2011 O R D E R PER N.R.S. GANESAN, JM THIS APPEAL OF THE REVENUE IS DIRECTED AGAINST THE ORDER OF CIT(A)-XXI, AHMEDABAD DATED 21-12-2010 AND PERTAINS TO ASSESSME NT YEAR 2005-06. 2. DURING THE COURSE OF HEARING, THE LEARNED COUNSE L FOR THE ASSESSEE BROUGHT TO THE NOTICE OF THE BENCH THAT THE TAX EFF ECT INVOLVED IN THIS APPEAL IS LESS THAN RS.3 LAKHS IN VIEW OF THE INSTRUCTION ISS UED BY THE CBDT, THE TAX ADMINISTRATIVE BODY OF THE DIRECT TAX ADMINISTRATIO N IN INSTRUCTION NUMBER 3/2011 DATED 09-02-2011 WHEREBY THE CBDT INSTRUCTED ALL IT S OFFICERS NOT TO FILE APPEAL WHEREVER THE TAX EFFECT IS BELOW RS.3 LAKHS. ACCOR DING TO THE LEARNED REPRESENTATIVE, THIS INSTRUCTION OF THE CBDT IS APP LICABLE EVEN FOR APPEALS WHICH ARE PENDING ON THE DATE OF ISSUE OF THE INSTRUCTION . WE HAVE HEARD SHRI MK ITA NO.53/RJT/2011 2 SINGH, THE LEARNED DEPARTMENTAL REPRESENTATIVE. TH E LD.DR FAIRLY CONCEDED THAT THE TAX EFFECT INVOLVED IN THIS APPEAL IS LESS THAN RS.3 LAKHS. 3. WE HAVE CONSIDERED THE SUBMISSIONS OF THE LEARNE D COUNSEL FOR THE ASSESSEE AND THE LEARNED DEPARTMENTAL REPRESENTATIV E AND HAVE ALSO PERUSED THE MATERIAL AVAILABLE ON RECORD. AS RIGHTLY SUBMI TTED BY THE LEARNED COUNSEL FOR THE ASSESSEE, THE TAX EFFECT IS LESS THAN RS.3 LAKH S. THEREFORE, THE INSTRUCTION ISSUED BY CBDT IS VERY MUCH APPLICABLE. THE CBDT B EING THE TAX ADMINISTRATIVE BODY OF THE DIRECT TAX ADMINISTRATION HAS ISSUED IN STRUCTION TO ITS OFFICERS IN EXERCISE OF ITS ADMINISTRATIVE POWERS U/S 119 OF TH E INCOME-TAX ACT. THEREFORE, THE INSTRUCTION ISSUED BY THE CBDT IS BINDING ON IT S OFFICERS. MOREOVER, THE INSTRUCTION IS EQUALLY APPLICABLE TO THE APPEALS PE NDING AS ON THE DATE OF ISSUE OF INSTRUCTION ALSO. IN VIEW OF THE CBDT CIRCULAR, IN OUR OPINION, THE APPEAL OF THE REVENUE IS NOT MAINTAINABLE. ACCORDINGLY, THE SAME IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 09-09-2011. SD/- SD/- (A.L. GEHLOT) (N.R.S. GANESAN) ACCOUNTANT MEMBER JUDICIAL MEMBER RAJKOT, DT : 09 TH SEPTEMBER, 2011 PK/- COPY TO: 1. ASSESSEE 2. REVENUE 3. THE CIT(A)-XXI, AHMEDABAD 4. THE CIT-III, RAJKOT 5. THE DR, I.T.A.T., RAJKOT (TRUE COPY) BY ORDER ASSTT.REGISTRAR, ITAT, RAJKOT