The ITO, Ward-1(2)(6), Surat V. Shri Arvindkumar N. Jain, Surat

ITA 952/AHD/2016

• Counselvise Citation: [2018] 118 COUNSELVISE.COM (IT) 2018 (ITAT-SURAT)
• Duration Of Justice: 2 year(s) 5 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-10-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2011-2012
• Appeal Filed On: 15-04-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: RAMESH KUMAR MA LPANI
• Keywords: Audit objection; Tax effect

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT , , BEFORE SHRI C.M.GARG, JUDICIAL MEMBER AND SHRI O.P.MEENA, ACCOUNTANT MEMBER . / ITA NO.952/AHD/2016/SRT / ASSESSMENT YEAR: 2011-12 INCOME TAX OFFICER, WARD-1(2)(6), SURAT. VS. SHRI ARVINDKUMAR N. JAIN, PROP. OF M/S. MADHUR TEXTILES, E-3638, LIFT NO.5, RAGHUKUL TEXTILE MARKET, RING ROAD, SURAT. [PAN: AAWPJ 4361P] ( / APPELLANT) ( !' /RESPONDENT) / ASSESSEE BY : SHRI RAMESH KUMAR MALPANI, C.A /REVENUE BY : SHRI DILEEP KUMAR, SR. D.R /DATE OF HEARING : 11-10-2018 /DATE OF PRONOUNCEMENT : 12-10-2018 / ORDER PER C.M.GARG, JUDICIAL MEMBER: THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAINST T HE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS)-II, SURAT (CI T(A) FOR SHORT) DATED 15.02.2016 FOR THE ASSESSMENT YEAR (A.Y) 2011-12. 2. WE HAVE HEARD THE LD. DEPARTMENTAL REPRESENTATIV E (DR) AND PERUSED THE MATERIAL AVAILABLE ON RECORD AND FIND THAT TAX EFFECT INVOLVED IN THIS APPEAL IS BELOW RS. 20 LAKHS. THE LD. DR ALSO DID NOT DISPUTE THIS FACT. WE FIND THAT THE CBDT VIDE CIRCULAR NO.3/2018 DATED 11.07.2018 [F.NO .279/MISC.142/2007-ITJ (PT)] HAS REVISED THE MONETARY LIMIT FOR FILING OF APPEAL BEFORE TRIBUNAL FIXING THE TAX EFFECT LIMIT AT RS.20 LACS. THE SAID CIRCULAR S UPERSEDES THE EARLIER 2 ITA NO.952/AHD/2016/SRT (A.Y: 2011-12) SHRI ARVINDKUMAR N. JAIN CIRCULAR(S) ISSUED ON THE SUBJECT OF TAX EFFECT AND APPLIES TO ALL PENDING APPEAL RETROSPECTIVELY. THE BOARD HAS PROVIDED EXCEPTIONS PROVIDED UNDER PA RA 10 OF THE CIRCULAR WHEREIN IT HAS BEEN PROVIDED THAT THE ISSUES RELATED IS TO BE CONTESTED (A) WHERE THE CONSTITUTION VALIDITY OF THE PROVISION O F THE ACT OR (B) RULE IS UNDER CHALLENGE OR (C) WHERE BOARD`S ORDER, NOTIFICATION, INSTRUCTION OR CIRCULAR HAS BEEN HELD TO BE ILLEGAL OR ULTRA VIRES , OR WHERE REVENUE AUDIT OBJECTIONS HAS BEEN ACCEPTED BY THE DEPARTMENT OR (D) WHERE THE ADDITION RELATES TO UNDISCLOSED FOREIGN ASSETS/BANK ACCOUNTS , ETC. 3. WE FIND THAT THE PRESENT CASE DOES NOT FALL WITH IN THE EXCEPTIONS CLAUSE AND THE TAX DEMAND IS LESS THAN RS.20 LACS. THEREFO RE, THE PRESENT APPEAL IS NOT MAINTAINABLE AS PER RECENT CIRCULAR (SUPRA) AND HENCE THE SAME IS DISMISSED. HOWEVER, WE MAY MAKE IT CLEAR THAT THE R EVENUE IS AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALLING THIS ORDER, IF IT COMES TO THE NOTICE OF THE ASSESSING OFFICER THAT THE TAX EFFECT IS MORE THAN THE MONETARY LIMIT PRESCRIBED UNDER CIRCULAR OR REVENUE`S CASE FALLS WITHIN THE A MBIT OF THE EXCEPTIONS PROVIDED IN THE CIRCULAR. 4. IN THE RESULT, THE APPEAL OF THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS DAY OF 1 2 TH OCTOBER, 2018. SD/- SD/- ( ) (O.P.MEENA), /ACCOUNTANT MEMBER ( ) (C.M.GARG) /JUDICIAL MEMBER / SURAT; DATED : 12 TH OCTOBER, 2018 / EDN ! $ / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. # ( ) / THE CONCERNED CIT(A); 4. THE CONCERNED PRL. CIT; 5. , , / DR, ITAT, SURAT; 6. / GUARD FILE.