ITO 25(3)(2), MUMBAI V. KUNJAN MARKETING, MUMBAI

ITA 6958/MUM/2010

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 59926 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 5 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 06-10-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N K MEHTA
• Keywords: Tax effect
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES, A, MUMBAI BEFORE SHRI DINESH KUMAR AGARWAL (JM) AND SHRI N.K .BILLAIYA (AM) ITA NO.6958/MUM/2010 (ASSESSMENT YEAR: 2007-08) INCOME TAX OFFICER, 25(3)(2), C-11, ROOM NO.306, PRATYAKSHA KAR BHAVAN, BANDRA- KURLA- COMPLEX, BANDRA (E), MUMBAI-400051. M/S KUNJAN MARKETING, E-403, 4 TH FLOOR, JYOTI ARCH, S.V.ROAD, KANDIVALI (W), MUMBAI-400067 PAN: AAFFKO340N APPELLANT V/S RESPONDENT DATE OF HEARING : 20.3.2012 DATE OF PRONOUNCEMENT : 20.3.2012 APPELLANT BY : SHRI N.K.MEHTA RESPONDENT BY : SHRI SUBHASH CHHAJED O R D E R PER DINESH KUMAR AGARWAL (JM) THIS APPEAL PREFERRED BY THE REVENUE IS DIRECTED AG AINST THE ORDER DATED 22.7.2010 PASSED BY THE LD. CIT(A ) FOR THE ASSESSMENT YEAR 2007-08. 2. BRIEFLY STATED FACTS OF THE CASE ARE THAT THE AS SESSEE FIRM IS ENGAGED IN THE BUSINESS OF DISTRIBUTION OF FMCG PRODUCTS FILED RETURN DECLARING TOTAL INCOME OF RS.97,787/-. HOWEVER, THE ASSESSMENT WAS COMPLETED AT AN INCOME OF RS.9,37,6 66/- VIDE ORDER DATED 24.12.2009 PASSED U/S 143(3) OF THE INC OME TAX ITA NO.6958/MUM/2010 (ASSESSMENT YEAR: 2007-08) 2 ACT, 1961 (THE ACT). ON APPEAL, THE LD. CIT(A), HOW EVER, REDUCED THE INCOME OF THE ASSESSEE TO RS.1,17,160 /-. IN OTHER WORDS, HE HAS ALLOWED THE RELIEF OF RS.8,20,5 06/- OR RS.8,20,510/- IN ROUND FIGURE. 3. BEING AGGRIEVED BY THE ORDER OF THE LD. CIT(A) THE REVENUE IS IN APPEAL BEFORE US CHALLENGING IN ALL THE GROUNDS THE RELIEF ALLOWED BY THE LD. CIT(A) OF RS.8,20,51 0/-. 4. AT THE TIME OF HEARING, IT WAS OBSERVED THAT THE TAX EFFECT IN THE APPEAL FILED BY THE REVENUE IS LE SS THAN THE MONETARY LIMIT OF RS.3,00,000/- FIXED BY THE CBDT. THE LEARNED DEPARTMENTAL REPRESENTATIVE DID NOT DISPUTE ON THE SAID FACTUAL MATRIX OF THE CASE. 5. THAT BEING SO AND IN VIEW OF THE RECENT CBDT INS TRUCTION NO. 3 OF 2011 DATED 9 TH FEBRUARY, 2011 REPORTED IN (2011) 332 ITR 1 (STATUTES) AND THE RATIO OF THE DECISION OF T HE HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF CIT V. MAD HUKAR K. INAMDAR (HUF) (2009) 318 ITR 148(BOM), WHEREIN IT H AS BEEN HELD THAT THE REVISED MONETARY LIMIT IN THE CIRCULA R DATED MAY 15, 2008 WOULD BE APPLICABLE FOR ALL PENDING APPEAL S AND ALSO THE CONSISTENT VIEW OF THE CO-ORDINATE BENCHES OF THE TRIBUNAL, WE ARE OF THE VIEW THAT THE DEPARTMENT SHOULD NOT H AVE FILED ITA NO.6958/MUM/2010 (ASSESSMENT YEAR: 2007-08) 3 THE APPEAL AND ACCORDINGLY, THE APPEAL FILED BY THE REVENUE IS DISMISSED. 6. IN THE RESULT, THE REVENUES APPEAL STANDS DISMI SSED AS NOT MAINTAINABLE. ORDER PRONOUNCED IN THE OPEN COURT ON 20TH MAR., 20 12. SD SD (N.K.BILLAIYA) ( DINESH KUMAR AGARWAL ) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI,20TH MARCH, 2012 SRL: COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT CONCERNED 4. CIT(A) CONCERNED 5. DR CONCERNED BENCH 6. GUARD FILE. BY ORDER TRUE COPY ASSTT. REGISTRAR, ITAT, MUMBAI