Appeal details
Counselvise Citation
[2019] 115 COUNSELVISE.COM (IT) 5353 (ITAT-MUMBAI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 year(s) 2 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
25-10-2019
Appeal Filed By
Department
Order Result
Dismissed
Bench Allotted
D
Assessment Year
2014-2015
Appeal Filed On
23-10-2018
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH D MUMBAI BEFORE SHRI C.N. PRASAD (JUDICIAL MEMBER) AND SHRI N.K. PRADHAN (ACCOUNTANT MEMBER) ITA NO. 6061/MUM/2018 ASSESSMENT YEAR: 2014-15 ASST. COMMISSIONER OF INCOME TA-25(3), ROOM NO. 601, C-10, 6 TH FLOOR, PRATYAKSHAKARBHAVAN, BANDRAKURLA COMPLEX (EAST)-400051. VS. MINAL BHARAT PATEL, DIVYADARSHAN, N.S. ROAD NO. 5, JVPD SCHEME, VILE PARLE (W), MUMBAI-400056. PAN NO. AACPP5126G APPELLANT RESPON DENT REVENUE BY : MS. JOTHILAKSHMI NAYAK, DR ASSESSEE BY : MR. KUMAR KALE,AR DATE OF HEARING : 26/09/2019 DATE OF PRONOUNCEMENT : 25/10/2019 ORDER PER N.K. PRADHAN, AM THE CAPTIONED APPEAL FILED BY THE REVENUE IS DIRECT ED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-3 7, MUMBAI (IN SHORT CIT(A)) AND ARISES OUT OF THE ASSESSMENT OR DER PASSED U/S 143(3) OF THE INCOME TAX ACT 1961, (THE ACT). 2. CENTRAL BOARD OF DIRECT TAXES (CBDT) VIDE CIRCULAR NO. 17/2019 DATED 08.08.2019 HAS AMENDED CIRCULAR NO. 3/2018 DA TED 11.07.2018 FOR FURTHER ENHANCEMENT OF MONETARY LIMIT FOR FILIN G OF APPEALS BY THE ITA 6061/MUM/2018/A.Y. 2014-15 MINAL BHA RAT PATEL 2 DEPARTMENT BEFORE THE ITAT, HIGH COURTS AND SLPS/AP PEALS BEFORE SUPREME COURT AS MEASURES FOR REDUCING LITIGATION. 3. CBDT VIDE CIRCULAR NO. 3/2018 DATED 11.07.2018 HAS SPECIFIED THAT APPEALS SHALL NOT BE FILED BEFORE THE INCOME T AX APPELLATE TRIBUNAL (ITAT) IN CASES WHERE THE TAX EFFECT DOES NOT EXCEE D THE MONETARY LIMIT OF RS.20,00,000/-. FOR THIS PURCHASE, TAX EFFECT MEANS THE DIFFERENCE BETWEEN THE TAX ON THE TOTAL INCOME ASSESSED AND TH E TAX THAT WOULD HAVE BEEN CHARGEABLE HAD SUCH TOTAL INCOME BEEN RED UCED BY THE AMOUNT OF INCOME IN RESPECT OF ISSUES AGAINST WHICH APPEAL IS INTENDED TO BE FILED. FURTHER, TAX EFFECT SHALL BE TAXES I NCLUDING APPLICABLE SURCHARGE AND CESS. HOWEVER, THE TAX WILL NOT INCLU DE ANY INTEREST THEREON, EXCEPT WHERE CHARGEABILITY OF INTEREST ITS ELF IS IN DISPUTE. IN CASE THE CHARGEABILITY OF INTEREST IS THE ISSUE UND ER DISPUTE, THE AMOUNT OF INTEREST SHALL BE THE TAX EFFECT. IN CASES WHERE RETURNED LOSS IS REDUCED OR ASSESSED AS INCOME, THE TAX EFFECT WOULD INCLUDE NOTIONAL TAX ON DISPUTED ADDITIONS. IN CASE OF PENALTY ORDER, THE T AX EFFECT WILL MEAN QUANTUM OF PENALTY DELETED OR REDUCED IN THE ORDER TO BE APPEALED AGAINST. AT PARA 13 OF THE ABOVE CIRCULAR, IT HAS BEEN MENTI ONED THAT: 13. THIS CIRCULAR WILL APPLY TO SLPS/APPEALS/CROSS OBJECTION/REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SHALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/APPEALS/CROSS OBJECTIONS/REFERENCES . PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/NOT PRESSED. ITA 6061/MUM/2018/A.Y. 2014-15 MINAL BHA RAT PATEL 3 4. AS A STEP TOWARDS FURTHER MANAGEMENT OF LITIGAT ION, CBDT VIDE CIRCULAR NO. 17/2019 HAS FIXED THE MONETARY LIMIT F OR FILING OF APPEALS BEFORE ITAT AT RS.50,00,000/-. 5. IN THE INSTANT APPEAL FILED BY THE DEPARTMENT, THE TAX EFFECT ON THE AMOUNT IN DISPUTE IS RS.44,08,462/-. THEREFORE, THE LD. COUNSEL FOR THE ASSESSEE SUBMITS THAT THE APPEAL FILED BY THE DEPAR TMENT BE DISMISSED. 6. BEFORE US, THE LD. DR ALSO AGREES THAT THE TAX EFFECT HEREIN IS RS.44,08,462/- AS PER THE COMPUTATION DATED 25.09.2 019 FILED BY THE ASSESSING OFFICER. 7. IN VIEW OF THE CBDT CIRCULAR NO. 17/2019, THIS APPEAL INVOLVING TAX EFFECT OF LESS THAN RS.50,00,000/- IS DISMISSED AS WITHDRAWN. ORDER PRONOUNCED IN THE OPEN COURT ON 25.10.2019 SD/- SD/- (C.N. PRASAD) (N.K. PRADHAN) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI; DATED: 30/10/2019 SUBHANKAR SAMANTA,P.S.(ON TOUR) COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A) - 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE . BY ORDER, //TRUE COPY// (ASSISTANT REGISTRAR) ITAT, MUMBAI
Mehul