Appeal details
Counselvise Citation
[2018] 125 COUNSELVISE.COM (IT) 4818 (ITAT-DELHI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
2 year(s) 8 month(s) 25 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
01-08-2018
Appeal Filed By
Department
Order Result
Dismissed
Bench Allotted
D
Assessment Year
2011-2012
Appeal Filed On
06-11-2015
Judgement Text
PAGE | 1 INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D: NEW DELHI BEFORE SHRI AMIT SHUKLA, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA NO.6031/DEL/2015 (ASSESSMENT YEAR: 2011 - 12) ITO(EXEMPTION), WARD - 2(1), ROOM NO. 2411, 24 TH FLOOR, CIVIC CENTRE, MINTO ROAD, NEW DELHI VS. SHRI CHATRAPATI SHIVAJI MAHARAJ MEMORIAL NATIONAL COMMITTEE, B - 14/A, CHATRAPATI SHIVAJI BHAWAN, QUTAB INSTITUTIONAL AREA, NEW DELHI PAN: AAFTS3397H (APPELLANT) (RESPONDENT) REVENUE BY : SHRI AMIT JAIN, SR. DR ASSESSEE BY: SHRI AJAY VOHRA, SR. ADV DATE OF HEARING 26/07/2018 DATE OF PRONOUNCEMENT 0 1 / 0 8 / 2 0 1 8 O R D E R PER PRASHANT MAHARISHI , A. M. 1 . THIS APPEAL FILED BY THE DEPARTMENT IS DIRECTED AGAINST THE ORDER DATED 27.08.2015 OF LD CIT(A) - 40 (EXEMPTION), NEW DELHI FOR THE ASSESSMENT YEAR 2011 - 12, WHEREIN, PENALTY U/S THE LD CIT(A) DENIED U/S 11(1) AND MADE AN ADDITION OF RS. 5215158/ - AND RS. 19 64970/ - TAX DEMANDED ON THE ADDITION MADE, MAINLY ON THE GROUND THAT THE ASSESSEE IS TOTALLY INVOLVED IN TRADE, COMMERCE OR BUSINESS. 2 . AT THE OUTSET OF THE HEARING ITSELF, THE LD. DR BROUGHT TO OUR ATTENTION THAT CBDT VIDE CIRCULAR NO.03/2018 DATED 11 TH JULY 2018 HAS DECIDED THAT THE REVENUE WOULD NOT PREFER AN APPEAL BEFORE THE TRIBUNAL IF THE TAX EFFECT IS LESS THAN RS.20 LAKHS. THEREFORE, HE PLEADED THAT THE APPEAL OF THE REVENUE BE DECIDED AS PER THE INSTRUCTION OF THE CBDT. LD AR ALSO REITERATED SAM E FACTS. 3 . WE HAVE HEARD BOTH THE SIDES ON THE ISSUE AND PERUSED THE MATERIAL. WE FIND THAT THE CBDT VIDE CIRCULAR DATED 11 TH JULY 2018 HAS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HONBLE HIGH COURTS AND HONBLE SUPREME COURT. THE RELEVANT PARA OF THE AFORESAID CIRCULAR IS REPRODUCED AS UNDER : - ITO(EXEMPTION) VS SHRI CHATRAPATI SHIVAJI MAHARAJ MEMORIAL NATIONAL COMMITTEE ITA NO.6031/DEL/2015 (ASSESSMENT YEAR: 2011 - 12) PAGE | 2 3. HENCEFORTH, APPEALS/SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMITS GIVEN HEREUNDER : - SL.NO. APPEALS IN INCOME - TAX MATTERS MONETARY LIMIT(IN RS.) 1. BEFORE APPELLATE TRIBUNAL 20,00,000 2. BEFORE HIGH COURT 50,00,000 3. BEFORE SUPREME COURT 1,00,00,000 IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MERELY BECAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETARY LIMITS PRESCRIBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 4 . WE FIND THA T THE TAX EFFECT INVOLVES IN THE APPEAL OF THE REVENUE IS BELOW RS.20 LAKHS. THERE IS NO DISPUTE THAT THE BOARDS INSTRUCTIONS OR DIRECTIONS ISSUED TO THE INCOME - TAX AUTHORITIES ARE BINDING ON THOSE AUTHORITIES, THEREFORE, THE DEPARTMENT SHOULD HAVE WITHDR AWN/NOT PRESSED THE PRESENT APPEAL IN VIEW OF THE AFORESAID INSTRUCTION SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUNT OF RS.20 LAKHS. 5. IN VIEW OF THE ABOVE, CIRCULAR NO.3/2018 DATED 10.07.2018 WILL APPLY TO ALL PENDING APPEALS. THERE FORE THE PRECEDENT, IT IS HELD THAT THE APPEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFECT IS LESS THAN RS.20 LAKHS. ACCORDINGLY, IT IS HELD THAT APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE. 6. IN THE RESULT, APPEALS FILED BY THE DEPARTMENT IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 0 1 / 0 8 / 2 0 1 8 . - S D / - - S D / - (AMIT SHUKLA) (PRASHANT MAHARISHI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 0 1 / 0 8 / 2 0 1 8 A K KEOT COPY FORWARDED TO 1 . APPLICANT 2 . RESPONDENT 3 . CIT 4 . CIT (A) 5 . DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI
