Dy. Commissioner of Income Tax, Lucknow V. Shri Prashant Chandra, Lucknow

ITA 909/LKW/2014

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 1873 (ITAT-LUCKNOW)
• Duration Of Justice: 3 year(s) 8 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-09-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2009-2010
• Appeal Filed On: 23-12-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

I.T.A. NO.909/LKW/2014 ASSESSMENT YEAR:2009-10 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.909/LKW/2014 ASSESSMENT YEAR:2009-10 DY.C.I.T., RANGE-2, LUCKNOW. VS. SHRI PRASHANT CHANDRA, 26/1, G, WAZIR HASAN ROAD, NEAR GOKHLE MARG, LUCKNOW. PAN:ADCPC 6535 D (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)-II, LUCKNOW DATED 15/09/2015 PERTAINING TO A SSESSMENT YEAR 2011- 12. 2. THE FACTS OF THE CASE, IN BRIEF, ARE THAT THE AP PEAL WAS EARLIER ALLOWED BY HON'BLE TRIBUNAL IN FAVOUR OF THE REVENUE VIDE O RDER DATED 19/01/2016 HOWEVER, ON MISC. APPLICATION FILED BY THE ASSESSEE THE SAID ORDER OF THE TRIBUNAL WAS PARTLY RECALLED VIDE ORDER DATED 28/07 /2017. IT WAS SUBMITTED THAT HON'BLE TRIBUNAL HAD RECALLED GROUND NOS. 1,2 & 3 ONLY AND THE TAX EFFECT IN THE THREE GROUNDS OF APPEAL IS LESS THAN RS.20 LAKH AND THEREFORE, THE SAME MAY BE DISMISSED. APPELLANT BY SHRI JAY NATH VERMA, D.R. RESPONDENT BY SHRI A. P. SINHA, ADVOCATE DATE OF HEARING 04/09/2018 DATE OF PRONOUNCEMENT 07 /09/2018 I.T.A. NO.909/LKW/2014 ASSESSMENT YEAR:2009-10 2 3. LEARNED D. R. AGREED WITH THE CONTENTIONS OF LEA RNED COUNSEL FOR THE ASSESSEE. 4. WE HAVE HEARD THE RIVAL PARTIES AND HAVE GONE TH ROUGH THE MATERIAL PLACED ON RECORD. WE FIND THAT EARLIER VIDE ORDER DATED 19/01/2016 THE HON'BLE TRIBUNAL HAD DECIDED THE ISSUE IN FAVOUR OF THE REVENUE. HOWEVER, VIDE ORDER DATED 28/07/2017 THE SAID ORDER OF THE T RIBUNAL DATED 19/01/2016 WAS PARTLY RECALLED WHEREBY HON'BLE TRIB UNAL HAD RECALLED ONLY GROUND NOS. 1,2 AND 3 OF THE APPEAL. WE FIND THAT THE TAX EFFECT INVOLVED IN THESE THREE GROUNDS OF APPEAL IS LESS THAN RS.20 LA KH AND 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 REFERRED AS THE ACT), THE D EPARTMENT IS BOUND TO WITHDRAW THE APPEAL. 5. 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/-. 6. 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. 7. 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 I.T.A. NO.909/LKW/2014 ASSESSMENT YEAR:2009-10 3 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. 8. 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. 9. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. (ORDER PRONOUNCED IN THE OPEN COURT ON 07/09/2018) SD/. SD/. (PARTHA SARATHI CHAUDHURY) ( T. S. KAPOOR ) JUDICIAL MEMBER A CCOUNTANT MEMBER DATED:07/09/2018 *SINGH 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.,