ACIT-TDS, Noida V. M/s. Halonix Limited, Noida

ITA 6065/DEL/2013

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 2743 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 1 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-01-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 16-12-2015
• Assessment Year: misc
• Appeal Filed On: 08-11-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: T VASANTHAN
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C, NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER ITA NOS. 6063 TO 6065/DEL/2013 ASSESSMENT YEARS: 2008-09 TO 2010-11 ACIT, (TDS) VS. M/S HALONIX LIMITED, 5 TH FLOOR, A-2D, SECTOR-24 59-A, NSEZ, PHASE-II, NOIDA-201301 (UP) NOIDA -201 305 (PAN: AABCP7718G) (APPELLANT) (RESPONDENT) APPELLANT BY : SH. T. VASANTHAN, SR. D R RESPONDENT BY : SH. SHASHWAT BAJPAI, ADV. DATE OF HEARING : 16-12-2015 DATE OF ORDER : 04-1-2016 ORDER PER H.S. SIDHU, J.M. THESE THREE APPEALS FILED BY THE DEPARTMENT ARE DI RECTED AGAINST THE COMMON ORDER DATED 14.8.2013 OF LD. CIT(A), NOIDA PERTAINING TO ASSESSMENT YEARS 2008-09 TO 2010-11. SINCE THE ISSUE INVOLVED IN THE THESE APPEALS ARE COMMON AND IDENTICAL, HENCE, THEY ARE BEING CONSOLI DATED AND DISPOSED OF BY THIS COMMON ORDER FOR THE SAKE OF BREVITY, BY DEAL ING WITH ITA NO. 6063/DEL/2013 (AY 2008-09). 2. THE COMMON GROUND RAISED IN ALL THE THREE APPEAL S READ AS UNDER:- THE LD. CIT(A) HAS ERRED IN LAW AND ON FACTS IN HO LDING THAT PROVISIONS OF SECTION 194-C OF THE I.T. ACT ARE APP LICABLE IN THIS CASE INSTEAD OF SECTION 194-I, IGNORING THE FACT TH AT THE HIRE OF BUSES ON RENT WAS COVERED UNDER THE AMENDED PROVIS IONS OF SECTION 194-I OF THE I.T. ACT W.E.F. 13.7.2006 UNDE R WHICH THE VEHICLES ON HIRE ARE COVERED UNDER THE DEFINITION PLANT DEFINED U/S. 43(3) OF THE I.T. ACT. ITA NOS. 6063-6065/DEL/2013 2 3. AT THE TIME OF HEARING, LD. COUNSEL OF THE AS SESSEE, SH. SHASHWAT BAJPAI, ADVOCTE HAS SUBMITTED THAT THE TAX EFFECT I N THESE APPEAL IS LESS THAN RS.10,00,000/-, THEREFORE, THE DEPARTMENTS APPEALS ARE NOT MAINTAINABLE, IN VIEW OF THE CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015 ISSUED VIDE F.NO. 279/MISC. 142/2007-ITJ (PT.) BY THE CBDT. 4. LD. DR, SHRI T. VASANTHAN, DID NOT CONTROVERT TH E SUBMISSIONS OF THE LD. AUTHORISED REPRESENTATIVE FOR THE ASSESSEE, BUT HE RELIED UPON THE ORDER OF THE ASSESSING OFFICER. 5. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL ON RECORD. FOR THE SAKE OF CONVENIENCE, THE RELEVANT PARA NOS. 3 & 10 OF THE AFORESAID CBDTS CIRCULAR ARE REPRODUCED AS UNDER:- 3. HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY L IMITS GIVEN HEREUNDER: S NO APPEALS IN INCOME-TAX MATTERS MONETARY LIMIT (IN RS) 1 BEFORE APPELLATE TRIBUNAL 10,00,000/- 2 BEFORE HIGH COURT 20,00,000/- 3 BEFORE SUPREME COURT 25,00,000/- IT IS CLARIFIED THAT AN APPEAL SHOULD NOT BE FILED MERELY BECAUSE THE TAX EFFECT IN A CASE EXCEEDS THE MONETA RY LIMITS PRESCRIBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 10. THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN HIGH COURTS/ TRIBUNALS. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/ NOT PRESSED. APPEALS BEFORE THE SUPREME COURT WILL BE GOVERNED BY THE INSTRUCTI ONS ON THIS SUBJECT, OPERATIVE AT THE TIME WHEN SUCH APPEA L WAS FILED. ITA NOS. 6063-6065/DEL/2013 3 6. IT IS NOT IN DISPUTE THAT THE BOARDS INSTRUCTIO N OR DIRECTIONS ISSUED TO THE INCOME-TAX AUTHORITIES ARE BINDING ON THOSE AUTHORI TIES, THEREFORE, THE DEPARTMENT SHOULD HAVE WITHDRAWN/ NOT PRESSED THE P RESENT APPEAL, IN VIEW OF THE AFORESAID INSTRUCTIONS SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUNT OF RS. 10 LACS, PRESCRIBED IN THE ABOVE SAID CBDTS INSTRUCTIONS. 7. KEEPING IN VIEW THE CBDT INSTRUCTION NO. 21/2015 DATED 10 TH DECEMBER, 2015, WE ARE OF THE VIEW THAT THE REVENUE SHOULD HA VE WITHDRAWN/ NOT PRESSED THE INSTANT APPEAL BEFORE THE TRIBUNAL. WE ARE ALS O OF THE VIEW THAT THE SAID INSTRUCTIONS ARE APPLICABLE FOR THE PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN TRIBUNAL. 8. IN THE RESULT, ALL THE THREE APPEALS FILED BY TH E REVENUE STAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 04/1/2016. SD/- SD/- (O.P. KANT) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIA L MEMBER DATED: 04/1/2016 *SR BHATNAGAR* COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR