DCIT, New Delhi V. M/s. Creative Dyeing & Printing Mills Pvt. Ltd., New Delhi

ITA 6508/DEL/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 6696 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 7 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-07-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 28-07-2016
• Assessment Year: 2004-2005
• Appeal Filed On: 05-12-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANIMA BARNWAL
• Assessee Lawyers: V S RASTOGI
• Keywords: Depreciation; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: D NEW DELHI BEFORE SMT DIVA SINGH, JUDICIAL MEMBER AND SH.L.P.SAHU, ACCOUNTANT MEMBER I.T.A .NO.-650 8/DEL/2013 (ASSESSMENT YEAR- 2004-05) DCIT, CIRCLE-3(1), NEW DELHI. (APPELLANT) VS CREATIVE DYEING & PRINTING MILLS PVT. LTD., G-6, VAIKUNTH, 82-83, NEHRU PLACE, NEW DELHI-110013. PAN-AABCC8332R (RESPONDENT) APPELLANT BY MS. ANIMA BARNWAL, SR.DR RESPONDENT BY SH.V.S.RASTOGI, ADV. ORDER PER DIVA SINGH, JUDICIAL MEMBER THE PRESENT APPEAL HAS BEEN FILED BY THE REVENUE AS SAILING THE CORRECTNESS OF THE ORDER DATED 12.09.2013 OF CIT(A)-VI, NEW DEL HI PERTAINING TO 2004-05 ASSESSMENT YEAR ON THE FOLLOWING GROUNDS: 1. THE LD.CIT(A) HAS ERRED IN LAW AND ON FACTS IN DIRE CTING THE AO TO ALLOW THE SET OFF OF BROUGHT FORWARD LOSSES/UNABSOR BED DEPRECIATION WITHOUT ANY VERIFICATION OR THE SATISFACTION OF THE PROVISIONS OF SECTION 72 AND SECTION 79 OF THE I.T.ACT. 2. THE APPELLANT CRAVE LEAVE FOR RESERVING THE RIGHT T O AMEND, MODIFY, ALTER, ADD OR FOREGO ANY GROUND(S) OF APPEAL AT ANY TIME BEFORE OR DURING THE HEARING OF THIS APPEAL. 2. IT WAS A COMMON STAND OF THE PARTIES BEFORE THE BENCH THAT THE TAX EFFECT IN THE PRESENT APPEAL IS WELL BELOW RS.10 LAKH. WE HA VE CONSIDERED THE MATERIAL AVAILABLE ON RECORD. WE FIND THAT THE APPEAL HAS BE EN PREFERRED BY THE REVENUE IN VIOLATION OF CIRCULAR NO.21/2015 DATED 10TH DECEMBE R, 2015 OF CBDT. BY THE AFORESAID CIRCULAR THE PECUNIARY LIMIT FOR FILING T HE APPEAL BEFORE THE ITAT HAS BEEN DATE OF HEARING 28.07.2016 DATE OF PRONOUNCEMENT 29.07.2016 I.T.A .NO.-6508/DEL/2013 PAGE 2 OF 2 PRESCRIBED BEYOND RS.10 LAKH. PARA 3 OF THE AFORES AID CIRCULAR HAS BEEN MADE APPLICABLE VIDE PARA 10 RETROSPECTIVELY. CONSIDERI NG THE SETTLED LEGAL PRECEDENT THAT THE BOARDS INSTRUCTIONS OR DIRECTIONS ISSUED TO THE INCOME TAX AUTHORITIES U/S 268A OF THE INCOME TAX ACT, 1961 ARE BINDING ON THE AUTHORITIES, WE HOLD THAT THE APPEAL IS NON-MAINTAINABLE. 3. IN VIEW OF THE ABOVE DISCUSSION, THE PRESENT APP EAL PREFERRED BY THE REVENUE IN VIOLATION OF CBDT CIRCULAR NO.21/2015 (CITED SUP RA) IS NOT MAINTAINABLE AND HENCE, THE SAME IS DISMISSED AS SUCH MAKING IT CLEA R THAT SINCE THE PRESENT APPEAL HAS NOT BEEN DISPOSED OF ON MERITS, BUT DUE TO THE ABOVE REASON, THIS ORDER WILL NOT HAVE ANY JUDICIAL PRECEDENCE. ACCORDINGLY, THE APPEAL OF THE REVENUE IS DISMISSED AS NON-MAINTAINABLE. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 29 TH JULY 2016. SD/- SD/- (L.P.SAHU) (DIVA SING H) ACCOUNTANT MEMBER JUDICIAL MEMBER *AMIT KUMAR* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSI STANT REGISTRAR ITAT NEW DELHI