ACIT, Alwar V. M/S SUPREME CYLINDERS PVT. LTD., Alwar

ITA 7/JPR/2012

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 5031 (ITAT-JAIPUR)
• Duration Of Justice: 4 year(s) 8 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-09-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2004-2005
• Appeal Filed On: 03-01-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R A VERMAADDL
• Assessee Lawyers: HIMANSHU GOYAL DHK
• Keywords: Tax effect
• Section: 43B

Judgement Text

- VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES (SMC), JAIPUR JH HKKXPUN] YS[KK LNL; DS LE{K BEFORE: SHRI BHAGCHAND, ACCOUNTANT MEMBER VK;DJ VIHY LA-@ ITA NO. 7/JP/2012 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2004-05 THE ACIT CIRCLE- 2 ALWAR CUKE VS. M/S. SUPREME CYLINDERS (P) LTD. A-146 K, INDUSTRIAL AREA BHIWADI, DISTT. ALWAR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AACCS 9200 M VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS@ REVENUE BY:SHRI R.A. VERMA,ADDL.CIT - DR FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY: SHRI HIMANSHU GOYAL LQUOKBZ DH RKJH[K@ DATE OF HEARING : 28/09/2016 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 28/09/2016 VKNS'K@ ORDER PER BHAGCHAND, AM THE REVENUE HAS FILED AN APPEAL AGAINST THE ORDER OF THE LD. CIT(A),ALWAR DATED 24-10-2011 FOR THE ASSESSMENT YEAR 2004-05 RAISING THEREIN FOLLOWING GROUNDS OF APPEAL. (I) THAT THE LD. CIT(A) HAS ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTANCES OF THE CASE IN DELETING THE ADDITION OF RS. 23,74,046/- ON ACCOUNT OF SALE OF SCRAP. ITA NO. 7/JP/2012 ACIT CIRCLE-, 2, ALWAR VS. M/S. SUPREME CYLINDERS ( P) LTD. , ALWAR 2 (II) THAT THE LD. CIT(A) HAS ERRED IN LAW AS WELL A S ON THE FACTS AND CIRCUMSTANCES OF THE CASE IN DELETING THE DISALLOWANCE MADE U/S 43B OF RS. 15,571/- (III) THAT THE LD. CIT(A) HAS ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTANCES OF THE CASE IN DELETING THE DISALLOWANCE OF INTEREST MADE U/S 36(1)(III) OF RS. 2,73,893/- 2.1 I HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. IT IS OBSERVED THAT THE DEMAND / TAX EFFECT IN THE REVENUES APPEAL IN QUESTION IS BELOW RS. 10.00 LA CS . UNDER THE POWERS VESTED BY SEC. 268A(1) OF THE I T ACT, CBDT HAS REC ENTLY ISSUED CIRCULARNO.21 OF 2015 DATED 10.12.2015(F NO. 279/MI SC. 142/2007-ITJ(PT) INSTRUCTING THE AUTHORITIES BELOW DEPARTMENTAL APPEAL SHOULD NOT BE FILED BEFORE ITAT WHERE THE DEMAND/TAX EFFECT DOES NOT EXCEED RS.10 LACS. THE C IRCULAR IS SPECIFICALLY MENTIONED TO BE APPLICABLE FOR ALL PEN DING APPEALS. 2.2 SUBJECT TO SOME EXCEPTIONS, IT IS FURTHER DIRE CTED BY CBDT THAT ALL THE DEPARTMENTAL APPEALS PENDING BEFORE ITAT WHERE THE DEMAND/TAX EFFECT IS LESS THAN 10 LACS SHOULD BE EITHER WITHDR AWN OR NOT PRESSED BY THE DEPARTMENTAL REPRESENTATIVES. 2.3 THE PRESENT APPEAL IS NOT COVERED BY ANY EXCEP TIONS MENTIONED IN THE SAID CBDT CIRCULAR. SINCE THE TAX DEMAND IN DIS PUTE IN THIS ITA NO. 7/JP/2012 ACIT CIRCLE-, 2, ALWAR VS. M/S. SUPREME CYLINDERS ( P) LTD. , ALWAR 3 DEPARTMENTAL APPEAL IS BELOW THE LIMIT SET OUT BY C BDT FOR THE APPEAL THE SAME IS NOT MAINTAINABLE IN VIEW OF FORE GOINGS. AC CORDINGLY THE APPEAL OF THE DEPARTMENT IS DISMISSED AS NOT PRESSED/WITHD RAWN. 3.0 IN THE RESULT, THE APPEAL OF THE REVENUE IS DIS MISSED ORDER PRONOUNCED IN THE OPEN COURT ON 28 / 09/2016 SD/- HKKXPUN ( BHAGCHAND) YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 28 /09/ 2016 *MISHRA VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE ACIT, CIRCLE-, 2, ALWAR 2. IZR;FKHZ@ THE RESPONDENT- M/S. SUPREME CYLINDERS (P) LTD. ,A LWAR 3. VK;DJ VK;QDRVIHY@ CIT(A). 4. VK;DJ VK;QDR@ CIT, 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO. 7/JP/2012) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ @ ASSISTANT. REGISTRAR