ACIT, New Delhi V. M/s MDLR Developers & Promotors Pvt. Ltd., New Delhi

ITA 671/DEL/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 0879 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 7 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2005-2006
• Appeal Filed On: 06-02-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Audit objection; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH : E , NEW DELHI BEFORE SMT. DIVA SINGH , JUDICIAL M EMBER AND SHRI O.P. KANT , ACCOUNTANT MEMBER ITA/IT(SS)A/ CO NO. APPELLANT RESPONDENT AY/ ASST. PERIOD ASSESSEE BY 2615/DEL/2016 ACIT, CENTRAL CIRCLE - 14, JHANDEWALAN EXTENSION, NEW DELHI SMT. SARASWATI DEVI GOYAL, H. NO. - 436/16, CIVIL LINES, GURGAON. (PAN: AEIPG8121L) 2004 - 05 SH. PIYUSH K. KAMAL, ADV. 2620/DEL/2016 C.O. NO. 210/DEL/2016 ACIT, CENT. CIRCLE - 14, NEW DELHI SMT. SARI TA DEVI GOY AL, FLAT NO. - 4, R.R. APARTMENT, 304, MANGLAPURI, MEHRAULI, NEW DELHI S MT. SARITA DEVI GOYAL , FLAT NO. - 4, R.R. APARTMENT, 3 - 4, MANGLAPURI, MEHRAULI, NEW DELHI (PAN: AEIPG8122K) ACIT, CENT. CIRCLE - 14, NEW DELHI 2005 - 06 2005 - 06 SH. PIYUSH K. KAMAL, ADV. SH. PIYUSH K. KAMAL, ADV. 2598/DEL/2016 ACIT, CENTRAL CIRCLE - 14 , JHANDEWALAN EXTENSION, NEW DELHI M/S. WORLDWIDE REALTORS PVT. LTD., FLAT NO. 4, R.R. APARTMENT, 3 - 4, MANGLAPURI , MEHRAULI, NEW DELHI (PAN: AAACW1175B ) 2002 - 03 SH. PIYUSH K. KAMAL, ADV. 671/DEL/2017 ACIT, CENTRAL CIRCLE - 14, JHANDEWALAN EXTN., NEW DELHI M/S. MDLR DEVELOPERS & PROMOTORS PVT. LTD., 4, R.R. APARTMENTS, 3 - 4, 2005 - 06 SH. PIYUSH K. KAMAL, ADV. 2 MANGLAPURI, MEHRAULI, NEW DELHI (PAN:A AECM0201E ) 672/DEL/2017 ACIT, CENT. CIRCLE - 14, JHANDEWALAN EXTN., NEW DELHI M/S. MDLR DEVELOPERS & PROMOTORS PVT. LTD., 4, R.R. APARTMENTS, 3 - 4, MANGLAPURI, MEHRAULI, NEW DELHI (PAN: AAECM0201E) 2006 - 07 SH. PIYUSH K. KAMAL, ADV. DEPARTMENT B Y : SHRI S.R. SENAPATI , SR. DR ORDER PER BENCH: THESE APPEALS FILED BY THE REVENUE AND A CROSS OBJECTION FILED BY ONE OF THE ASSESSEE S IN THE RESPECTIVE ASSESSMENT YEARS AS PER DETAILS IN THE CAUSE TITLE ARISING OUT OF THE ORDERS PASSED BY THE CIT(A) HAVE BEEN IDENTIFIED BY THE REGISTRY WHEREIN THE TAX EFFECT INVOLVED IN EACH OF THESE APPEALS IS LESS THAN THE RS.20,00,000/ - . 2. T HE ASSESSEE - RESPONDENTS WE RE REPRESENTED BY SH. PIYUSH K. KAMAL, ADV., AS NOTED ABOVE . DURING THE COURSE OF HEARING, THE LEARNED DEPARTMENTAL REPRESENTATIVE SUBMITTED THAT NO DOUBT TAX DATE OF HEARING 21.08.2018 DATE OF PRONOUNCEMENT 1 1 . 0 9 . 2 0 1 8 3 EFFECT INVOLVED IN THE APPEALS IS LESS THAN RS.20 LAKHS EACH THUS BOUND BY THE DEPARTMENTAL INSTR UCTIONS THE APPEALS HAVE TO BE WITHDRAWN. HOWEVER, ATTENTION WAS INVITED TO MODIFIED PARA 10 OF THE CIRCULAR NO. 3/2018, DATED 11 TH JULY, 2018, WHICH HAS BEEN MODIFIED BY CIRCULAR DATED 20 TH AUGUST, 2018 AND IN TERMS OF THE SAID MODIFICATION THE DEPARTMENT AL REPRESENTATIVES MADE A PRAYER THAT PERMISSION TO PRAY FOR RECALL OF THE ORDER MAY BE GRANTED IN CASE ANY OF THE CONDITIONS IN THE REPORTS MADE AVAILABLE BY THE AO SUBSEQUENTLY, SHOW THAT THE ISSUES WERE REQUIRED TO BE CONTESTED. THE MODIFIED PARA IS EXT RACTED HEREUNDER: 10. ADVERSE JUDGMENTS RELATING TO THE FOLLOWING ISSUES SHOULD BE CONTESTED ON MERITS NOTWITHSTANDING THAT THE TAX EFFECT ENTAILED IS LESS THAN THE MONETARY LIMITS SPECIFIED IN PARA 3 ABOVE OR THERE IS NO TAX EFFECT: (A) WHERE THE CONSTITUTIONAL VALIDITY OF THE PROVISIONS OF AN ACT OR RULE IS UNDER CHALLENGE, OR (B) WHERE BOARD'S ORDER, NOTIFICATION, INSTRUCTION OR CIRCULAR HAS BEEN HELD TO BE ILLEGAL OR ULTRA VIRES, OR (C) WHERE REVENUE AUDIT OBJECTION IN THE CASE HAS BEEN ACCEPT ED BY THE DEPARTMENT, OR (D) WHERE ADDITION RELATES TO UNDISCLOSED FOREIGN INCOME/UNDISCLOSED FOREIGN ASSETS (INCLUDING FINANCIAL ASSETS)/ UNDISCLOSED FOREIGN BANK ACCOUNT. (E) WHERE ADDITION IS BASED ON INFORMATION RECEIVED FROM EXTERNAL SOURCES IN THE NATURE OF LAW ENFORCEMENT AGENCIES SUCH AS CBI/ ED/ DRI/ SFIO/ DIRECTORATE GENERAL OF GST INTELLIGENCE (DGGI). 4 (F) CASES WHERE PROSECUTION HAS BEEN FILED BY THE DEPARTMENT AND IS PENDING IN THE COURT. 3. ACCEPTING THE SAID REQUEST, THE APPEAL S ARE DISM ISSED AS INFRUCTUOUS. THE C ROSS O BJECTION FILED BY ONE OF THE ASSESSEES, WHICH IS IN SUPPORT OF THE RESPECTIVE IMPUGNED ORDER, IS ALSO DISMISSED AS INFRUCTUOUS. WHILE SO DIRECTING, IT IS MADE CLEAR THAT THE DEPARTMENT IS AT LIBERTY TO FILE MISCELLANEOUS AP PLICATION, IF THE TAX EFFECT IS FOUND TO BE MORE THAN THE PRESCRIBED LIMIT OF RS.20,00,000/ - OR ANY OF THE CONDITIONS ETC. , AS AVAILABLE IN THE AMENDMENT CARRIED OUT IN PARA 10 OF CIRCUL AR NO. 3/2018, DATED 20.08.2018, IS MADE OUT. 4. IN THE RESULT, ALL T HE APPEALS OF THE REVENUE AND THE CROSS OBJECTION OF ASSESSEE ARE DISMISSED. ORDER IS PRONOUN CED IN THE OPEN COURT ON 1 1 T H SEPT. , 201 8 . S D / - S D / - DIVA SINGH O.P. KANT JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 1 1 T H SEPTEMBER , 201 8 . RK / - COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT 4 . CIT(A) 5 . DR ASST. REGISTRAR, ITAT, NEW DELHI