ACIT, New Delhi V. M/s. K.P. Pouches Pvt. Ltd., New Delhi

ITA 907/DEL/2014

• Counselvise Citation: [2015] 121 COUNSELVISE.COM (IT) 0100 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 4 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-06-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Next Hearing Date: 25-06-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 17-02-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: ROBIN RAWAL
• Keywords: Tax effect

Judgement Text

1 ITA NO. 907/DEL/1 4 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: SMC NEW DELHI BEFORE SHRI S. V. MEHROTRA, ACCOUNTANT MEMBER I.T.A .NO.-907/DEL/2014 (ASSESSMENT YEAR-2008-09) ACIT CENTRAL CIRCLE-8 NEW DELHI (APPELLANT) VS K.P. POUCHES PVT. LTD. 19, MANOHAR PARK, ROOM NO. 1 IST FLOOR, NEW ROHTAK ROAD NEW DELHI AABCK6527A (RESPONDENT) APPELLANT BY NONE RESPONDENT BY SH. ROBIN RAWAL, JCIT ORDER PER S. V. MEHROTRA, AM THE DEPARTMENT HAS FILED THIS APPEAL AGAINST THE OR DER DATED 29/01/2013 OF CIT(A)- XXXII, NEW DELHI, IN APPEAL NO. 647/10-11. 2. THE NOTICE SENT TO THE ASSESSEE/RESPONDENT HAS R ETURNED UNSERVED. THEREFORE, I PROCEED TO DECIDE THIS APPEAL EX-PARTE QUA ASSESS EE-RESPONDENT. THE DEPARTMENT HAS TAKEN FOLLOWING GROUNDS OF APPEAL:- 1. THAT THE COMMISSIONER OF INCOME TAX (APPEALS)ER RED IN LAW AND ON FACTS OF THE CASE IN DELETING THE ADDITION OF RS. 2 ,08,532/- MADE BY AO DATE OF HEARING 25.06.2015 DATE OF PRONOUNCEMENT 29 .06.2015 2 ITA NO. 907/DEL/1 4 ON ACCOUNT OF UNDISCLOSED SALES WITHOUT EXAMINING A ND ADJUDICATING UPON THE MERITS OF THE CASE. 2. WHETHER CIT(A) HAS ERRED IN LAW AND FACTS AS WEL L IN NOT INVOKING THE PROVISIONS OF SECTION 250 (4) OF THE I.T. ACT, WHIC H EMPOWERS LD. CIT(A) TO CONDUCT FURTHER ENQUIRY ON THE ISSUES INV OLVED IN THIS CASE. 3. (A) THE ORDER OF THE CIT(A) IS ERRONEOUS AND NOT TENABLE IN LAW AND ON FACTS. (B) THE APPELLANT CRAVES LEAVE TO ADD, ALTER OR AME ND ANY/ ALL OF THE GROUNDS OF APPEAL BEFORE OR DURING THE COURSE OF TH E HEARING OF THE APPEAL. 3. THE LD. DR FAIRLY CONCEDED THAT THE TAX EFFECT I N THE PRESENT APPEAL IS MUCH LESS THAN RS. 4 LACS. 4. I HAVE HEARD LD. DR AND PERUSED THE ENTIRE MATE RIAL ON RECORD. AS PER RECENT CBDT INSTRUCTION NO. 5/2014 DATED 10/7/2014, THE MONETARY LIMIT FOR FILING APPEAL BY THE DEPARTMENT BEFORE THE ITAT HAS BEEN R EVISED TO RS. 4 LACS. THUS, THE DEPARTMENTAL APPEALS, INVOLVING TAX EFFECT BELOW RS . 4 LACS, ARE NOT MAINTAINABLE BEFORE THE ITAT. 4.1. THE HONBLE JURISDICTIONAL HIGH COURT IN THE C ASE OF CIT VS. DELHI RACE CLUB LTD. IN ITA NO. 128/2008, ORDER DATED 03/03/20 11, BY FOLLOWING THE EARLIER ORDER DATED 2/8/2010 IN ITA NO. 179/1991 IN THE CAS E OF CIT DELHI-III VS. M/S P. S. JAIN & CO., HAS HELD THAT SUCH INSTRUCTION/CIRCU LAR WOULD ALSO BE APPLICABLE TO PENDING CASES. 4.2. ADMITTEDLY THE TAX EFFECT INVOLVED IN THE PRES ENT APPEAL IS BELOW RS. 4 LAKHS. THEREFORE, IN VIEW OF THE REVISED INSTRUCTION OF TH E CBDT, REFERRED TO ABOVE, AND THE HONBLE JURISDICTIONAL HIGH COURTS DECISION IN THE CASE OF DELHI RACE CLUB LTD., SUPRA, THE DEPARTMENTAL APPEAL IS NOT MAINTAI NABLE. 5. IN THE RESULT, DEPARTMENTAL APPEAL IS DISMISSED. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 29 TH OF JUNE 2015. 3 ITA NO. 907/DEL/1 4 SD/- (S. V. MEHROTRA) ACCOUNTANT MEMBER DATED:- 29 /06/2013 *R. NAHEED* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT A SSISTANT REGISTRAR ITAT NEW DELHI DATE 1. DRAFT DICTATED ON 25.06.2015 PS 2. DRAFT PLACED BEFORE AUTHOR 26.06.2015 PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS .06.2015 PS/PS 6. KEPT FOR PRONOUNCEMENT ON PS 7. FILE SENT TO THE BENCH CLERK .06.2015 PS 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER. 4 ITA NO. 907/DEL/1 4