DCIT, CIR-4(1), KOLKATA, Kolkata V. M/s B. R. Malhotra & Co. Ltd., Kolkata

ITA 895/KOL/2015

• Counselvise Citation: 89523514 RSA 2015
• Duration Of Justice: 5 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-12-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2004-2005
• Appeal Filed On: 18-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NILOY BARAN SOM
• Assessee Lawyers: PAWAN KUMAR AGARWAL FCA NA
• Keywords: Tax effect

Judgement Text

I.T.A. NO. 895/KOL./2015 ASSESSMENT YEAR: 2004-2005 PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA SMC BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER I.T.A. NO. 895/KOL/ 2015 ASSESSMENT YEAR: 2004-2005 DEPUTY COMMISSIONER OF INCOME TAX,................. ...............APPELLANT CIRCLE-4(1), KOLKATA, P-7, CHOWRINGHEE SQUARE, KOLKATA-700 069 -VS.- M/S. B.R. MALHOTRA & CO. LIMITED,.................. ...................RESPONDENT 9, RABINDRA SARANI, KOLKATA-700 073 [PAN : AABCB 0806 D] APPEARANCES BY: SHRI NILOY BARAN SOM, JCIT, SR. D.R., FOR THE DEPAR TMENT SHRI PAWAN KUMAR AGARWAL, FCA, FOR THE ASSESSEE NATE OF CONCLUDING THE HEARING : DECEMBER 15, 2015 DATE OF PRONOUNCING THE ORDER : DECEMBER 15, 2015 O R D E R THIS APPEAL IS PREFERRED BY THE REVENUE AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-V, KOLKATA DAT ED 16.03.2015 FOR THE ASSESSMENT YEAR 2004-05 AND THE SOLITARY GROUND RAISED BY THE REVENUE THEREIN READS AS UNDER:- THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) ERRED IN FACTS AS WELL AS IN LAW IN HOLD ING THAT THE DISALLOWANCE OF RS.6,73,286/- ON ACCOUNT OF COMMISSION PAID TO M/S. SHAH ENTERPRISE FOR PROCURI NG EXPORT ORDER WAS NOT WARRANTED, IGNORING THE FACT T HAT THE ASSESSING OFFICER IN THE REMAND REPORT CATEGORICALL Y OPINED THAT THE NECESSITY OF EMPLOYING A COMMISSION AGENT COULD NOT BE ESTABLISHED. 2. AT THE TIME OF HEARING BEFORE ME, THE LD. COUNSE L FOR THE ASSESSEE, AT THE OUTSET, HAS SUBMITTED THAT THE TAX EFFECT INVOL VED IN THIS APPEAL OF THE REVENUE IS LESS THAN THE REVISED MONETARY LIMIT REC ENTLY FIXED BY THE CBDT VIDE CIRCULAR NO. 21/2015 DATED 10 TH DECEMBER, 2015 AT RS.10,00,000/- FOR FILING THE APPEAL BY THE REVENUE BEFORE THE TRIBUNAL I.T.A. NO. 895/KOL./2015 ASSESSMENT YEAR: 2004-2005 PAGE 2 OF 2 AND THIS POSITION CLEARLY EVIDENT FROM THE GROUND R AISED BY THE REVENUE IN THIS APPEAL IS NOT DISPUTED EVEN BY THE LD. D.R. IN CIRCULAR NO. 21/2015 (SUPRA) RECENTLY ISSUED BY THE CBDT, THE MONETARY L IMIT FOR FILING THE APPEALS BY THE REVENUE BEFORE THE TRIBUNAL HAS BEEN INCREASED TO RS.10,00,000/- AND AS CLARIFIED IN THE SAID CIRCULA R, THE SAID MONETARY LIMIT IS APPLICABLE RETROSPECTIVELY EVEN TO THE APP EALS PENDING BEFORE THE TRIBUNAL. THE CBDT HAS ALSO INSTRUCTED THAT SUCH PE NDING APPEALS BELOW THIS SPECIFIED TAX LIMIT OF RS.10,00,000/- MAY BE W ITHDRAWN/ NOT PRESSED. KEEPING IN VIEW THE INSTRUCTION GIVEN BY THE CBDT V IDE CIRCULAR NO. 21/2015 DATED 10.12.2015, WHICH IS SQUARELY APPLICA BLE IN THE PRESENT CASE, THE APPEAL FILED BY THE REVENUE IN THIS CASE IS TREATED AS WITHDRAWN/NOT PRESSED AND DISMISSED ACCORDINGLY. 3. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON DECEMBER 15, 2015. SD/- (P.M. JAGTAP) ACCOUNTANT MEMBER KOLKATA, THE 15 TH DAY OF DECEMBER, 2015 COPIES TO : (1) DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-4(1), KOLKATA, P-7, CHOWRINGHEE SQUARE, KOLKATA-700 069 (2) M/S. B.R. MALHOTRA & CO. LIMITED, 9, RABINDRA SARANI, KOLKATA-700 073 (3) COMMISSIONER OF INCOME-TAX (APPEALS)-V, KOLKAT A (4) COMMISSIONER OF INCOME TAX, KOLKATA (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.