ASST CIT 4(3)(2), MUMBAI V. LA-FIN FINANCIAL SERVICES P. LTD, MUMBAI

ITA 5577/MUM/2015

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 9454 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 9 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-09-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 10-12-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJESH KUMAR YADAV
• Keywords: Tax effect

Judgement Text

, , , IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES A, MUMBAI , , , BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER, AND SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER ITA NO.5577/MUM/2015 ASSESSMENT YEAR: 2012-13 ACIT-4(3)(2), ROOM NO.649, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI-400020 / VS. M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 12, DAMODAR NIWAS, 32/34, CP TANK ROAD, MUMBAI-400034 ( / REVENUE) ( !'# /ASSESSEE) PAN. NO. AAACL2320D C.O. NO.119/MUM/2015 (ARISING OUT OF ITA NO.5577/MUM/2015) ASSESSMENT YEAR: 2012-13 M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 12, DAMODAR NIWAS, 32/34, CP TANK ROAD, MUMBAI-400034 / VS. ACIT-4(3)(2), ROOM NO.649, AAYAKAR BHAVAN, M.K. ROAD, MUMBAI-400020 ( !'# /ASSESSEE) ( / REVENUE) PAN. NO. AAACL2320D $ % & ' / DATE OF H EARING : 18/09/2017 & ' / DATE OF ORDER: 22/09/2017 ! / REVENUE BY SHRI RAJESH KUMAR YADAV !'# ! / ASSESSEE BY NONE ITA NO. 5577/MUM/2015 & C.O. NO.119/MUM/2015 M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 2 / O R D E R PER JOGINDER SINGH (JUDICIAL MEMBER) THE REVENUE IS AGGRIEVED BY THE IMPUGNED ORDER DATE D 15/09/2015 OF THE LD. FIRST APPELLATE AUTHORITY, MU MBAI, WHEREAS, THE ASSESSEE HAS PREFERRED CROSS OBJECTION . 2. FIRST WE SHALL TAKE UP THE APPEAL OF THE REVENUE , WHEREIN THE ONLY GROUND RAISED BY THE DEPARTMENT PERTAINS T O DELETING THE DISALLOWANCE OF EXPENSES WITHOUT APPRE CIATING THE FACT THAT THE ASSESSEE HAD NO INTENTION TO CARR Y OUT THE BUSINESS DURING THE CENTRIC ACTIVITIES. HOWEVER, IT CAME TO OUR NOTICE THAT TAX EFFECT IN THE PRESENT APPEAL IS LESS THAN PRESCRIBED MONETARY LIMIT AS THE TOTAL ADDITION MAD E IS ` 22,11,150/- ONLY. THE LD. DR ALSO ACCEPTED THAT THE TAX EFFECT INVOLVED IS BELOW PRESCRIBED MONETARY LIMIT. NOBODY WAS PRESENT FOR THE ASSESSEE INSPITE OF ISSUANCE OF REGISTERED AD NOTICE. THUS, WE HAVE NO OPTION BUT TO ADJUDICAT E THE APPEAL ON THE BASIS OF MATERIAL AVAILABLE ON RECORD . 3. WE HAVE CONSIDERED THE SUBMISSIONS OF LD. DR AND PERUSED THE MATERIAL AVAILABLE ON RECORD . IN VIEW OF THE ABOVE, ITA NO. 5577/MUM/2015 & C.O. NO.119/MUM/2015 M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 3 IT IS NOTED THAT THE TAX EFFECT IN THE PRESENT APPE AL IS BELOW PRESCRIBED LIMIT OF RS.10 LAKH, THEREFORE, CBDT INS TRUCTION NO.21 OF 2015, DATED 10/12/2015 (F NO.279/MISC./142 / 2007-IT(PT) IS APPLICABLE, WHEREIN, THE DEPARTMENT WAS ADVISED/DIRECTED BY THE BOARD NOT TO FILE APPEAL I N THE CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE FOLLOWING MONETARY LIMIT.:- SL. NO. APPEALS IN INCOME TAX MATTERS MONETARY LIMIT (IN RS .) 1. BEFORE ITAT 10,00,000/ - 2. U/S 260 A BEFORE HONBLE HIGH COURT 20,00,000/ - 3. BEFORE HONBLE SUPREME COURT 25,00,000/ - IN VIEW OF THE ABOVE INSTRUCTION, SINCE, THE TAX EF FECT IS LESS THAN RS.10,00,000/-, CONSEQUENTLY, THE APPEAL OF THE REVENUE IS NOT MAINTAINABLE, THEREFORE, DISMISSED. FINALLY, THE APPEAL OF THE REVENUE IS DISMISSED AS NOT MAINTAINABLE. 4. NOW WE SHALL TAKE UP THE CROSS OBJECTION (CO NO. 119/MUM/2017 OF THE ASSESSEE), WHEREIN THE ASSESSEE HAS CONTENDED THAT THE TAX EFFECT IS BELOW PRESCRIBED L IMIT. THEREFORE, THE APPEAL OF THE REVENUE MAY BE DISMISS ED. SINCE, WE HAVE ALREADY DISMISSED THE APPEAL OF THE REVENUE , ITA NO. 5577/MUM/2015 & C.O. NO.119/MUM/2015 M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 4 THEREFORE, THE CROSS OBJECTION FILED BY THE ASSESSE E HAS BECOME INFRUCTUOUS. EVEN OTHERWISE THE CROSS OBJECTION OF THE ASSESSEE IS BARRED BY 503 DAYS. THE ASSESSEE HAS NO T ADDUCED ANY EVIDENCE TO EXPLAIN THE REASON OF THE DELAY. CO NSEQUENTLY, THE CROSS OBJECTION OF THE ASSESSEE OTHERWISE LIABL E TO BE DISMISSED. FINALLY, THE APPEAL OF THE REVENUE IS DISMISSED AND ALSO THE CROSS OBJECTION OF THE ASSESSEE. THIS ORDER WAS PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF THE LD. DR AT THE CONCLUSION OF THE HEA RING ON 18/09/2017 SD/- SD/- ( RAMIT KOCHAR ) (JOGINDER SINGH) '!# / ACCOUNTANT MEMBER $!# /JUDICIAL MEMBER $ % MUMBAI; ) DATED : 22/09/2017 ROSHANI, SR. PS %$&'()(*& / COPY OF THE ORDER FORWARDED TO : 1. *+,- / THE APPELLANT 2. ./,- / THE RESPONDENT. 3. $ 1 ( *+ ) / THE CIT, MUMBAI. 4. $ 1 / CIT(A)- , MUMBAI 5. 34 . ! , *+' *! 5 , $ % / DR, ITAT, MUMBAI 6. 6' 7% / GUARD FILE. ITA NO. 5577/MUM/2015 & C.O. NO.119/MUM/2015 M/S LA-FIN FINANCIAL SERVICES PVT. LTD. 5 ! / BY ORDER, /3+ . //TRUE COPY// /! (DY./ASSTT. REGISTRAR) , $ % / ITAT, MUMBAI