DCIT, New Delhi V. M/s. Jindal Export & Import (P) Ltd., New Delhi

ITA 6071/DEL/2014

• Counselvise Citation: [2018] 121 COUNSELVISE.COM (IT) 5387 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-04-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2011-2012
• Appeal Filed On: 07-11-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D NEW DELHI BEFORE SHRI J.S.REDDY, ACCOUNTANT MEMBER AND SHRI AMIT SHUKLA, JUDICIAL MEMBER ITA NO. 6071/DEL/2014 (ASSESSMENT YEAR : 2011-12) DCIT, CIRCLE-4(1), NEW DELHI. VS M/S. JINDAL EXPORT & IMPORT (P.) LTD., 110, BABAR ROAD, NEW DELHI. PAN-AAACJ0474G (APPELLANT) (RESPONDENT) APPELLANT BY SH. SALIL AGGARWAL, ADV., SH. SHAILESH GUPTA, CA & SH. MADHUR AGGARWAL, ADV. RESPONDENT BY SH. AMIT JAIN, SR.DR DATE OF HEARING 03.04.2018 DATE OF PRONOUNCEMENT 03.04.2018 ORDER PER J.S.REDDY, ACCOUNTANT MEMBER THIS APPEAL IS FILED BY THE REVENUE AGAINST THE ORD ER OF LD.CIT(A)-VIII, NEW DELHI DATED 26.08.2014 FOR AY 2011-12. 2. AT THE OUTSET OF THE HEARING ITSELF, THE LD. DR BROUGHT TO OUR ATTENTION THAT CBDT VIDE CIRCULAR NO.21/2015 DATED 10 TH DECEMBER, 2015 HAS DECIDED THAT THE REVENUE WOULD NOT PREFER AN APPEAL BEFORE THE TRIBUNAL IF THE TAX EFFECT IS LESS THAN RS.10 LAKHS. THEREFORE, HE PLEADED TH AT THE APPEAL OF THE REVENUE BE DECIDED AS PER THE INSTRUCTION OF THE CBDT. LD A R ALSO REITERATED SAME FACTS. 3. WE HAVE HEARD BOTH THE SIDES ON THE ISSUE AND PE RUSED THE MATERIAL. WE FIND THAT THE CBDT VIDE CIRCULAR DATED 10.12.2015 H AS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFOR E INCOME TAX APPELLATE ITA NO. 6071/DEL/2014 TRIBUNAL, HONBLE HIGH COURTS AND HONBLE SUPREM E COURT. THE RELEVANT PARA OF THE AFORESAID CIRCULAR IS REPRODUCED AS UND ER :- 3. HENCEFORTH, APPEALS/SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMITS GIVEN HE REUNDER :- SL.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 MONETARY LIMITS PRESCR IBED ABOVE. FILING OF APPEAL IN SUCH CASES IS TO BE DECIDED ON MERITS OF THE CASE. 4. WE FIND THAT THE TAX EFFECT INVOLVES IN THE APPE AL OF THE REVENUE IS BELOW RS.10 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 WITHDRAWN/NOT PRESSED THE PRESENT APPEAL IN VIEW OF THE AFORESAID INSTRUCTION SINCE T HE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE AMOUNT OF RS.10 LAKHS. 5. IN VIEW OF THE ABOVE, CIRCULAR NO.21 DATED 10.12 .2015 WILL APPLY TO ALL PENDING APPEALS. THEREFORE THE PRECEDENT, IT IS HE LD THAT THE APPEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFE CT IS LESS THAN RS.10 LAKHS. ACCORDINGLY, IT IS HELD THAT APPEAL FILED BY THE RE VENUE IS NOT MAINTAINABLE. 6. IN THE RESULT, APPEAL FILED BY THE DEPARTMENT IS DISMISSED. PRONOUNCED IN THE OPEN COURT ON 03.04.2018. SD/- SD/- (AMIT SHUKLA) (J.S.REDDY) JUDICIAL MEMBER ACCOUNTANT MEMBER DATE:- 03 RD APRIL, 2018 *AMIT KUMAR* ITA NO. 6071/DEL/2014 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI