INCOME TAX OFFICER (IT)-2(1)(1), MUMBAI V. SHRI NEVILLE JIMMY DARUWALLA, MUMBAI

ITA 5508/MUM/2017

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 5814 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Appeal Filed On: 31-08-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASGHAR ZAIN V P
• Keywords: Tax effect; Set aside
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES B, MUMBAI BEFORE SHRI MAHAVIR SINGH, JUDICIAL MEMBER & SHRI RAJESH KUMAR, ACCOUNTANT MEMBER ITA NO.5508/MUM/2017 ASSESSMENT YEAR: 2013-14 ITO (IT)-2(1)(1) ROOM NO. 1724, 17 TH FLOOR AIR INDIA BUILDING NARIMAN POINT MUMBAI-400 021 VS. NEVILLE JIMMY DARUWALLA C/O S.N. KARANI & CO. CA, C-10A DHANRAJ MAHAL, CSM MARG APOLLO BUNDER MUMBAI-400 001 PAN ADWPD0765A (REVENUE) (ASSESSEE) REVENUE BY : SHRI ASGHAR ZAIN V.P ASSESSEE BY : SHRI AJAY SINGH DATE OF HEARING :09.04.2019 DATE OF PRONOUNCEMENT :12 .04.2019 O R D E R PER RAJESH KUMAR, ACCOUNTANT MEMBER 1. THE REVENUE BY WAY OF THIS APPEAL IS CHALLENGING THE ORDER DATED 23/05/2017 OF THE LD. COMMISSIONER OF INCOME- TAX (APPEALS)-56 HEREINAFTER CALLED [CIT(A)], MUMBAI, IN APPEAL NO.CIT(A)-56/ITO(IT)-2(1)(1)/2016-17/09-D. THE ASSE SSMENT FOR IMPUGNED AY WAS FRAMED BY LD. INCOME TAX OFFICER (I T)- 2(1)(1),MUMBAI [AO] U/S 143(3) OF THE INCOME TAX AC T,1961 ON 2 IT A NO.5508/MUM/2017 17/03/2016. THE REVENUE HAS RAISED THE FOLLOWING GR OUNDS IN ITS APPEAL. 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) ERRED IN DELETING THE ADDITION MADE BY AO BY RELYING ON THE JUDGMENT OF BOMBAY HIGH COURT IN THE CASE OF MANJULA SHAH VS DCIT REPORTED IN 355 IT R 474 (BOM) (2013) WHEN THE SLP FILED IN THE SAID CASE IS PENDING BEFORE SC. 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN L AW, THE LD. CIT(A) ERRED IN TAKING YEAR OF ACQUISITION AS 1981 FOR THE PURPOSE OF COMPUTATI ON OF LTCG EVEN THOUGH THE SHARE IN PROPERTY WAS BEQUEATHED IN THE YEAR 1999 ON THE DEA TH OF HIS MOTHER. 3. THE APPELLANT PRAYS THAT THE ORDE OF THE CIT(A) ON THE ABOVE GROUNDS BE SET ASIDE AND THAT OF THE ASSESSING OFFICER BE RESTORED. 4. THE APPELLANT CRAVES LEAVE TO AMEND OR ALTER ANY GR OUND OR ADD A NEW GROUND WHICH MAY BE NECESSARY. 2. AT THE OUTSET THE LD. AR POINTED OUT THAT THE TAX E FFECT INVOLVED IN THE REVENUES APPEAL IS BELOW RS.20 LAC S AND THEREFORE THE APPEAL IS NOT MAINTAINABLE IN VIEW OF THE CIRCULAR NO.03/2018 DATED 11/07/2018 ISSUED BY CENTRAL BOARD OF DIRECT TAXES [CBDT] AND THEREFORE, THE SAME MAY KINDLY BE DISMISSED. THE LD. DEPARTMENTAL REPRESENTATIVE (LD. DR IN SHOR T) ON THE OTHER HAND APPEARED TO BE FAIRLY AGREED TO THE CON TENTION OF THE LD. AR THAT THE TAX EFFECT IS BELOW RS. 20 LACS AND IS COVERED BY THE CIRCULAR OF THE CBDT. 3. AFTER HEARING BOTH THE PARTIES AND PERUSED THE M ATERIAL AVAILABLE ON RECORD, WE OBSERVE THAT THE TAX EFFEC T INVOLVED IS LESS THAN RS. 20 LACS AND IN TERMS OF CIRCULAR NO. 03/2018 DATED 11/07/2018 ISSUED BY CENTRAL BOARD OF DIRECT TAXES [CBDT]. , THE 3 IT A NO.5508/MUM/2017 SAID APPEAL IS NOT MAINTAINABLE AND IS LIABLE TO DISMISSED. ACCORDINGLY THE APPEAL OF THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS DAY OF 12 TH APRIL,2019. SD/- SD/- (MAHAVIR SINGH) (RAJESH KUMAR) JUDICIAL MEMBER ACCO UNTANT MEMBER MUMBAI, DATED :12 TH APRIL,2019 * THIRUMALESH COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. 4. THE CIT 5. THE DR, B BENCH, ITAT, MUMBAI BY ORDER (ASSISTANTREGISTRAR) INCOME TAX APPELLATE TRIBUNAL, MUMBAI