Astt. Commissioner of Income Tax, Faizabad V. M/s Harish Hosiery, Faizabad

ITA 799/LKW/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 3102 (ITAT-LUCKNOW)
• Duration Of Justice: 2 year(s) 7 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-08-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 14-08-2018
• Assessment Year: 2011-2012
• Appeal Filed On: 31-12-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: CBDT
• Keywords: Tax effect

Judgement Text

I.T.A. NO.799/LKW/2015 ASSESSMENT YEAR:2011-12 1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH B, LUCKNOW BEFORE SHRI T. S. KAPOOR, ACCOUNTANT MEMBER AND SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER ITA NO.799/LKW/2015 ASSESSMENT YEAR:2011-12 A.C.I.T., CIRCLE-FAIZABAD. VS. M/S HARISH HOSIERY, L.G. CHAMBER, FAIZABAD. PAN:AACFH 8988 C (APPELLANT) (RESPONDENT) O R D E R PER T. S. KAPOOR, A.M. THIS IS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER OF LEARNED CIT(A), FAIZABAD DATED 15/09/2015 PERTAINING TO ASS ESSMENT YEAR 2011-12. 2. DURING THE COURSE OF HEARING NONE APPEARED ON BE HALF OF ASSESSEE. IT IS NOTICED THAT THE TAX EFFECT INVOLVED IN THIS APP EAL IS LESS THAN RS.20,00,000/-, THEREFORE, IN VIEW OF THE CIRCULAR NO. 3/2018 ISSUED BY THE CBDT AND THE PROVISIONS CONTAINED IN SECTION 268A OF THE INCOME TAX ACT, 1961 (HEREINAFTER TO BE REFE RRED AS THE ACT), THE DEPARTMENT IS BOUND TO WITHDRAW THE APPEA L. 3. ON THE OTHER HAND, THE LD. D.R., ALTHOUGH SUPPOR TED THE ORDER OF THE ASSESSING OFFICER, BUT COULD NOT CONTR OVERT THIS FACT THAT TAX EFFECT IN THIS APPEAL IS LESS THAN RS.20,0 0,000/-. APPELLANT BY SMT. POOJA RAJ, D.R. RESPONDENT BY NONE DATE OF HEARING 14/08/2018 DATE OF PRONOUNCEMENT 24 /0 8 /2018 I.T.A. NO.799/LKW/2015 ASSESSMENT YEAR:2011-12 2 4. AFTER CONSIDERING THE SUBMISSIONS OF BOTH THE PA RTIES AND THE MATERIAL AVAILABLE ON RECORD, IT IS NOTICED THA T SECTION 268A HAS BEEN INSERTED BY THE FINANCE ACT, 2008 WITH RET ROSPECTIVE EFFECT FROM 01/04/99. THE SAID SECTION 268 OF THE A CT PROVIDES THAT THE BOARD MAY ISSUE INSTRUCTION OR DIRECTIONS TO THE OTHER INCOME-TAX AUTHORITIES FIXING MONETARY LIMITS FOR N OT FILING THE APPEALS BEFORE THE APPELLATE TRIBUNAL OR THE COURTS . THE SAID INSTRUCTIONS/DIRECTIONS ARE BINDING ON THE INCOME T AX AUTHORITIES. 5. IT IS NOTICED THAT THE CBDT HAS ISSUED CIRCULAR NO. 3 OF 2018 DATED 11.07.2018, VIDE WHICH IT HAS REVISED TH E MONETARY LIMIT TO RS.20,00,000/- FOR NOT FILING THE APPEAL B EFORE THE TRIBUNAL. FROM THIS CIRCULAR IT IS CLEAR THAT THES E INSTRUCTIONS ARE APPLICABLE TO THE PENDING APPEALS ALSO AND AS PER C LAUSE 13, THERE IS CLEAR CUT INSTRUCTION TO THE DEPARTMENT TO WITHDRAW OR NOT TO PRESS THE APPEALS FILED BEFORE THE ITAT WHER EIN TAX EFFECT IS LESS THAN RS.20,00,000/-. THESE INSTRUCTIONS ARE OPERATIVE RETROSPECTIVELY TO THE PENDING APPEALS ALSO. 7. KEEPING IN VIEW THE CBDT CIRCULAR NO. 3 OF 2018 DATED 11.07.2018 AND ALSO THE PROVISIONS OF SECTION 268A OF INCOME TAX ACT, 1961, WE ARE OF THE VIEW THAT THE REVENUE SHOULD HAVE WITHDRAWN THE INSTANT APPEAL FILED BEFORE THE TRIBU NAL. 8. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. (ORDER PRONOUNCED IN THE OPEN COURT ON 24/08/2018) SD/. SD/. (PARTHA SARATHI CHAUDHURY) ( T. S. KAPOOR ) JUDICIAL MEMBER A CCOUNTANT MEMBER DATED:24/08/2018 *SINGH I.T.A. NO.799/LKW/2015 ASSESSMENT YEAR:2011-12 3 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. CONCERNED CIT 4. THE CIT(A) 5. D.R., I.T.A.T.,