DCIT, New Delhi V. M/s. Impartial Builders Pvt. Ltd., New Delhi

ITA 6817/DEL/2014

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 4660 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 8 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2017
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2011-2012
• Appeal Filed On: 17-12-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NAVEEN CHANDRA
• Assessee Lawyers: V S RASTOGI
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH C , NEW DELHI BEFORE SHRI H.S. SIDHU, JUDICIAL MEMBER AND SHRI L.P. SAHU, ACCOUNTANT MEMBER ITA NO. 6817/DEL/2014 ASSESSMENT YEAR: 2011-12 DCIT, CC-32, VS. M/S IMPARTIAL BUILDERS PVT. LTD. ROOM NO. 359, E-2, M-11, MIDDLE CIRCLE, ARA CENTRE, CANNAUGHT PLACE, JHANDEWALAN EXTN., NEW DELHI 110 001 NEW DELHI (PAN: AACC12038P) (APPELLANT) (RESPONDENT) DEPARTMENT BY : SH. NAVEEN CHANDRA, CI T(DR) ASSESSEE BY : SH. V.S. RASTOGI, A .R. ORDER PER H.S. SIDHU, JM THE DEPARTMENT HAS FILED THIS APPEAL WHICH IS EMAN ATE FROM THE ORDER DATED 05.8.2014 OF LD. CIT(A)-XXXIII, NEW DELHI PERTAINI NG TO ASSESSMENT YEAR 2011-12. THE GROUNDS RAISED IN THE REVENUES APPEAL READS AS UNDER:- 1. ON THE FACTS AND IN CIRCUMSTANCES OF THE CASE THE CIT(A) HAS ERRED IN DIRECTING THE AO TO COMPUTE THE INTEREST BASED O N POST DATED CHEQUES FROM THE DATE AFTER THE SIX MONTHS OF ISSUE OF SUCH POS T DATED CHEQUES. 2. THE ORDER OF THE LD. CIT(A) IS ERRONEOUS AND IS NOT TENABLE ON FACTS AND IN LAW. 3. THE APPELLANT CRAVES LEAVE TO ADD, ALTER OR AMEN D ANY / ALL OF THE GROUNDS OF APPEAL DURING THE COURSE OF THE HARING OF THE AP PEAL. 2. AT THE TIME OF HEARING, LD. COUNSEL OF THE ASSE SSEE HAS STATED TAX EFFECT IN THE REVENUES APPEAL IS LESS THAN THE PRESCRIBED LIMIT OF RS. 10 LACS AS FIXED BY THE CBDT. THEREFORE, HE REQUESTED THAT THE APPEAL OF THE REVE NUE MAY BE DISMISSED ON THIS ACCOUNT. 3. ON THE OTHER HAND, LD. CIT(DR) DID NOT CONTROVER T THE CONTENTION RAISED BY THE LD. COUNSEL OF THE ASSESSEE, BUT HE RELIED UPON THE ORDER OF THE AO. 2 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE RECORDS. AFTER PERUSING THE RECORDS, WE FIND THAT TAX EFFECT IN THE REVENUES A PPEAL IS BELOW THE LIMIT OF RS. 10 LACS, AS FIXED BY THE CBDT AND, THEREFORE, THE DEPARTMEN TS APPEAL IS 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 CO NVENIENCE, THE RELEVANT PARA NOS. 3 & 10 OF THE AFORESAID CBDTS CIRCULAR ARE 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 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. 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. 5. 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. 6. 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 3 APPLICABLE FOR THE PENDING APPEALS AND APPEALS TO B E FILED HENCEFORTH IN TRIBUNAL. ACCORDINGLY, THE REVENUES APPEAL IS DISMISSED. 7. IN THE RESULT, THE REVENUES APPEAL STANDS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 11/09/2017. SD/- SD/- (L.P. SAHU) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 11/09/2017 *SR BHATNAGAR* COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR