ITO (TDS), Gurgaon V. M/s The Gurgaon Central Coop. Bank Ltd, Vill. Jamalpur, Gurgaon

ITA 6707/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 4276 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 9 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-09-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Assessment Year: 2013-2014
• Appeal Filed On: 18-12-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRASHANT SHARMA
• Assessee Lawyers: KAUSHLENDRA TIWARI
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH G , NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA NO. 6705/DEL/2015 ASSESSMENT YEAR: 2012-13 ITO (TDS), VS. THE GURGAON CENTRAL COOP. BAN K, 5 TH FLOOR, UDYOG VIHAR, VILL. NAWADA, FATEHPUR, PHASE-V, GURGAON GURGAON (PAN:AAALT0271A) (APPELLANT) (RESPONDENT) ITA NO. 6707/DEL/2015 ASSESSMENT YEAR: 2013-14 ITO (TDS), VS. THE GURGAON CENTRA L COOP. BANK, 5 TH FLOOR, UDYOG VIHAR, VILL. JAMALPUR, GURGAON PHASE-V, GURGAON PAN:AAALT0271A) ITA NOS. 6713 & 6714/DEL/2015 ASSESSMENT YEAR: 2012-13 & 2013-14 ITO (TDS), VS. THE GURGAON CENTRA L COOP. BANK, 5 TH FLOOR, UDYOG VIHAR, VILL. MANESAR, GURGAON PHASE-V, GURGAON PAN:AAALT0271A) ITA NOS. 6715 & 6716/DEL/2015 ASSESSMENT YEAR: 2012-13 & 2013-14 ITO (TDS), VS. THE GURGAON CENTRA L COOP. BANK, 5 TH FLOOR, UDYOG VIHAR, VILL. BASAI, P.O. BASAI, HARY ANA PHASE-V, GURGAON PAN:AAALT0271A) DEPARTMENT BY : SH. PRASHANT SHARMA, C A ASSESSEE BY : SH. KAUSHLENDRA TIWA RI, SR. DR ORDER PER H.S. SIDHU, JM THE DEPARTMENT HAS FILED THESE 06 APPEALS WHICH AR E EMANATE FROM THE COMMON ORDER DATED 14.10.2015 OF THE LD. CIT(A)-2, GURGAON PERTAINING TO A.Y. 2012-13 & 2013-14. SINCE THE ISSUES INVOLVED IN THESE APPEAL S ARE COMMON AND IDENTICAL, HENCE, THE 2 APPEALS WERE HEARD TOGETHER AND ARE BEING DISPOSED OF BY THIS COMMON ORDER FOR THE SAKE OF CONVENIENCE. 2. WE DEAL WITH ITA NO. 6705/DEL/2015 (AY 2012-13) WHEREIN THE FOLLOWING IDENTICAL AND COMMON GROUNDS HAVE BEEN RAISED. THE LD. CIT(A) ERRED IN LAW AND FACTS BY CONSIDER ING THE APPELLANT HAS COOPERATIVE SOCIETY AND NOT LIABLE TO DEDUCT TD S IN ACCORDANCE TO SECTION 194(3)(V) OF THE I.T. ACT, 1961. 1. THE LD. CIT(A) ERRED IN LAW AND FACTS BY IGNORING T HE FACT THAT THOUGH APPELLANT IS CO-OP SOCIETY BUT ENGAGED IN THE BUSINESS OF BANKING AND THEREFORE NOT EXEMPT U/S. 1 94(3)(V) AND THUS THE LD. CIT(A), GURGAON HAS ERRED IN DELET ING THE DEMAND RAISED ON ACCOUNT OF SHORT DEDUCTION OF TDS OF RS. 9,25,344/- AND INTEREST THEREON OF RS. 2,82,229/-. 2. THE LD. CIT(A), GURGAON HAS ERRED IN DELETING THE D EMAND RAISED ON ACCOUNT OF SHORT DEDUCTION OF TDS OF RS. 52,554/- AND INTEREST THEREON OF RS. 15,766/- WITH RESPECT T O CASES WHERE FROM NO. 15G/15H WERE NOT SUBMITTED TO THE CIT(TDS), CHANDIGARH ON OR BEFORE 7 TH DAY OF WEEK, NEXT FOLLOWING THE MONTH IN WHICH DECLARATION IS FURNSIE HD HIM (SEC. 197A AND NOTE 28C). 3. THE APPELLANT CRAVES LEAVE TO ADD, ALTER, AMEND AND / OR, MODIFY ANY OF THE GROUNDS OF APPEAL AT OR BEFORE TH E HEARING OF THE APPEAL. 2.1 IN OTHER 05 APPEALS, IDENTICAL ISSUES ARE INVO LVED AND SIMILAR GROUNDS HAVE BEEN RAISED, THE ONLY DIFFERENCE IS IN THE FIGURES INVOL VED, HENCE, THE GROUNDS ARE REPRODUCED HERE FOR THE SAKE OF BREVITY. 3. DURING THE HEARING, A.R. OF THE ASSESSEE HAS STA TED THAT THE TAX EFFECT IN ALL 06 CASES ARE BELOW THE PRESCRIBED LIMIT, HENCE, HE REQ UESTED THAT ALL THE 06 APPEALS OF THE REVENUE MAY BE DISMISSED. 4. ON THE CONTRARY, LD. DR RELIED UPON THE ORDER OF THE AO. 5. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE RECORDS. AFTER PERUSING THE RECORDS, WE FIND THAT TAX EFFECT IN ALL THE REVENU E APPEALS IS BELOW THE LIMIT OF RS. 10 3 LACS, AS FIXED BY THE CBDT AND, THEREFORE, THE DEP ARTMENT 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. FOR THE SAKE OF CONVENIENCE, THE RELEVANT PARA NOS. 3 & 10 OF THE AFORESAID CBDTS CIRCULAR A RE REPRODUCED AS UNDER:- 3. HENCEFORTH, APPEALS/ SLPS SHALL NOT BE FILED IN CASES WHERE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LIMITS GIVEN HE REUNDER: S NO APPEALS IN INCOME -TAX MATTERS MONETARY LIMIT (IN RS) 1 BEFORE APPELL ATE 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. 10. THIS INSTRUCTION WILL APPLY RETROSPECTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN HIGH COURTS/ TRIB UNALS. PENDING APPEALS BELOW THE SPECIFIED TAX LIMITS IN PARA 3 AB OVE MAY BE WITHDRAWN/ NOT PRESSED. APPEALS BEFORE THE SUPREME COURT WILL BE GOVERNED BY THE INSTRUCTIONS ON THIS SUBJECT, OPERA TIVE AT THE TIME WHEN SUCH APPEAL WAS FILED. 6. IT IS NOT IN DISPUTE THAT THE BOARDS INSTRUCTIO N OR DIRECTIONS ISSUED TO THE INCOME- TAX AUTHORITIES ARE BINDING ON THOSE AUTHORITIES, T HEREFORE, THE DEPARTMENT SHOULD HAVE WITHDRAWN/ NOT PRESSED THE PRESENT APPEAL, IN VIEW OF THE AFORESAID INSTRUCTIONS SINCE THE TAX EFFECT IN THE INSTANT APPEAL IS LESS THAN THE A MOUNT 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 HAVE WIT HDRAWN/ NOT PRESSED THE INSTANT APPEAL BEFORE THE TRIBUNAL. WE ARE ALSO OF THE VIE W THAT THE SAID INSTRUCTIONS ARE 4 APPLICABLE FOR THE PENDING APPEALS AND APPEALS TO B E FILED HENCEFORTH IN TRIBUNAL. ACCORDINGLY, THE REVENUE APPEAL S ARE DISMISSED. 8. IN THE RESULT, ALL THE 06 REVENUE APPEALS STAND DISMISSED. ORDER PRONOUNCED ON 25/09/2017. SD/- SD/- (PRASHANT MAHARISHI) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 25/09/2017 *SR BHATNAGAR* COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR