DCIT, New Delhi V. M/s Uniproducts India Ltd., New Delhi

ITA 6104/DEL/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6920 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 8 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-07-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2011-2012
• Appeal Filed On: 13-11-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S R SENAPATI
• Keywords: Tax effect
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: E NEW DELHI BEFORE SHRI G.D. AGRAWAL, PRESIDENT & SHRI K.NARASIMHA CHARY, JUDICIAL MEMBER ITA NO.6104/DEL/2015 ASSESSMENT YEAR: 2006-07 DCIT, CIRCLE 27(1), NEW DELHI. VS M/S UNIPRODUCTS INDIA LTDD., KHASRA NO.360-61, VILL. JONAPUR, MEHRAULI, NEW DELHI. PAN: AAACU0224D (APPELLANT) (RESPONDENT) ASSESSEE BY SHRI SANJIV RAI MEHRA, CA REVENUE BY SH. S.R. SENAPATI, SR. DR ORDER PER K. NARASIMHA CHARY, J.M. AGGRIEVED BY THE ORDER OF THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS)- 9, NEW DELHI (FOR SHORT CIT(A)} DATED 27.8.2015, REVENUE PREFERRED THIS APPEAL AGAINST THE DELETION OF ADDITIONS OF RS .36,05,541/- ON ACCOUNT OF LATE DEPOSIT OF EMPLOYEES CONTRIBUTION TO PF/ESI AND RS .56,700/- MADE ON ACCOUNT OF SECTION 14A OF THE INCOME-TAX ACT, 1961 (THE ACT) . DATE OF HEARING 23.07.2018 DATE OF PRONOUNCEMENT 23.07.2018 2 2. AT THE OUTSET, IT IS SUBMITTED BY THE LEARNED AR THAT THE QUANTUM INVOLVED IN THIS CASE BEING LESS THAN RS.20 LACS, SQUARELY FALLS WITHIN THE AMBIT OF CIRCULAR NO.3/2018 DATED 11.07.2018 ISSUED BY THE CENTRAL BO ARD OF DIRECT TAXES PRESCRIBING THE TAX EFFECT FOR PREFERRING APP EALS BEFORE TRIBUNAL BY THE REVENUE. 3. AFTER PERUSING THE MATERIALS AVAILABLE ON RECOR D, WE FIND THAT THE AMOUNT DISPUTED BEFORE US IS BELOW THE TAX EFFECT LIMIT PR ESCRIBED BY CBDT VIDE CIRCULAR NO.3/2018 DATED 11.07.2018 FOR PREFERRING APPEALS BEFORE TRIBUNAL BY THE REVENUE. ON PERUSAL OF THE CIRCULAR NO.3/2018 DATE D 11.07.2018 AND THE MATERIALS AVAILABLE ON RECORD, LD. DR COULD NOT POI NT OUT AS TO HOW AND WHY SUCH A CIRCULAR IS NOT APPLICABLE TO THE FACTS OF THE CA SE. WE ALSO FIND THAT THE CIRCULAR MAKES IT VERY CLEAR THAT THE REVISED MONETARY LIMIT S SHALL APPLY RETROSPECTIVELY TO PENDING APPEALS ALSO. WE FIND THAT THE CIRCULAR IS BINDING ON THE TAX AUTHORITIES. HENCE, WE HOLD THAT THE APPEAL OF THE REVENUE DESER VES TO BE DISMISSED IN TERMS OF LOW TAX EFFECT VIDE CIRCULAR NO.3/2018 DATED 11. 07.2018. ACCORDINGLY, THIS BEING A LOW TAX EFFECT CASE, WE DISMISS THIS APPEAL OF REVENUE IN LIMINE, AS UNADMITTED, WITHOUT GOING INTO THE MERITS OF THE CA SE. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 23 RD JULY 2018 SD/- SD/- (G.D. AGRAWAL) (K. NARASI MHA CHARY) PRESIDENT JUDICIAL MEMBER DATED: 23 RD JULY, 2018 VJ 3 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI DRAFT DICTATED ON 23.07.2018 DRAFT PLACED BEFORE AUTHOR 23.07.2018 DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. APPROVED DRAFT COMES TO THE SR.PS/PS 24.7.18 KEPT FOR PRONOUNCEMENT ON 23.7.18 DATE OF UPLOADING ORDER ON THE WEBSITE 24.7.18 FILE SENT TO THE BENCH CLERK 24.7.18 DATE ON WHICH FILE GOES TO THE AR DATE ON WHICH FILE GOES TO THE HEAD CLERK. DATE OF DISPATCH OF ORDER.