The ITO,Vapi Ward-1, Vapi V. Shri Deepak Jayantilal Kapadia, Umbergam

ITA 938/AHD/2013

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 3633 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 1 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-06-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 01-06-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 05-04-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VILAS V SHINDE
• Keywords: Tax effect

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI R.P. TOLANI, JUDICIAL MEMBER AND SHRI MANISH BORAD , ACCOUNTANT MEMBER ./ ITA NO. 938 /AHD/201 3 / ASSESSMENT YEAR : 2006 - 07 INCOME - TAX OFFICER, VAPI WARD - 1, VAPI VS SHRI DEEPAK JAYANTILAL KAPADIA, PROP: - SUDEEP PLASTICS, PLOT NO.2226, OPP. VKM TEXTILE, GIDC, UMBERGAON PAN : AEBPK 0897 G / (APPELLANT) / (RESPONDENT) REVENUE BY : SHRI VILAS V. SHINDE, SR DR ASSESSEE BY : NONE / DATE OF HEARING : 01 / 0 6 /201 6 / DATE OF PRONOUNCEMENT: 01 / 06 /201 6 / O R D E R PER R.P. TOLANI , JUDICIAL MEMBER: - THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF THE COMMI SSIONER OF INCOME - TAX (APPEALS) , VALSAD DATED 31 . 12 .201 2 FOR ASSESSMENT YEAR 2006 - 07. 2. THE SOLITARY GROUND RAISED BY THE REVENUE READS AS UNDER: - ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LEARNED CIT(A) HAS ERRED IN DELETING THE ADDITION OF RS.26,94,502/ - MADE U/S 40(A)(IA) OF THE ACT. 3 . WE HAVE HEARD THE LD. DEPARTMENTAL REPRESENTATIVE AND PERUSED THE MATERIAL AVAILABLE ON RECOR D. ON PERUSING THE GROUND OF APPEAL RAISED BY THE REVENUE, WE FIND THAT REVENUE IS AGGRIEVED BY THE ORDER OF CIT(A) IN DELETING THE ADDITION OF RS.26,94,502/ - MADE U/S 40(A)(IA) OF THE ACT AND THE TAX EFFECT OF WHICH IS BELOW RS.10 LACS. AS PER THE ANNOU NCEMENT OF CENTRAL BOARD OF DIRECT TAXES (CBDT) DATED 10.12.2015 (CIRCULAR NO.21 OF 2015), NO ITA NO. 938/AHD/ 2013 ITO VS. SHRI DEEPAK JAYANTILAL KAPADIA AY : 2006 - 07 2 DEPARTMENT APPEALS ARE TO BE FILED AGAINST RELIEF GIVEN BY LD. CIT(A) BEFORE THE INCOME TAX APPELLATE TRIBUNAL UNLESS THE TAX EFFECT, EXCLUDING INTEREST EXCEEDS R S.10 LACS AND IT FURTHER STATES THAT THE INSTRUCTIONS WILL APPLY RETROSPECTIVELY TO THE PENDING APPEALS. IN THE PRESENT CASE, SINCE IT IS AN UNDISPUTED FACT THAT THE TAX EFFECT IS LESS THAN RS.10 LACS, WE ARE OF THE VIEW THAT THE MONETARY LIMIT PRESCRIBED BY THE INSTRUCTIONS OF THE AFORESAID CBDT CIRCULAR WOULD BE APPLICABLE TO THE PRESENT APPEAL OF THE DEPARTMENT AND THEREFORE THE PRESENT APPEAL IS NOT MAINTAINABLE ON ACCOUNT OF LOW TAX EFFECT. IN SUCH CIRCUMSTANCES, WE DISMISS THIS APPEAL OF THE REVENUE WITHOUT EXPRESSING ANY OPINION ON MERITS OF THE CASE. 4 . IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED IN LIMINE. ORDER PRONOUNCED IN THE COURT ON 1 ST JUNE , 201 6 AT AHMEDABAD. SD/ - SD/ - MANISH BORAD ( ACCOUNTANT MEMBER ) R.P. TOLANI ( JUDICIAL MEMBER ) AHMEDABAD; DATED 01 / 0 6 /201 6 *BIJU T. / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , , / DR, ITAT, AHMEDABAD 6. / GUARD FILE . / BY ORDER, TRUE COPY / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD