ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1, KOTA V. M/S CAREER POINT INFORSYSTEMS LTD., Kota

ITA 993/JPR/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 2746 (ITAT-JAIPUR)
• Duration Of Justice: 2 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-11-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 28-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J C KULHARI
• Assessee Lawyers: VIJAY GOYAL C A DHK
• Keywords: Tax effect
• Section: 14A

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES A, JAIPUR JH FOT; IKY JKO ] U;KF;D LNL; ,OA JH FOE FLAG ;KNO] YS[KK LNL; DS LE{K BEFORE: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM VK;DJ VIHY LA - @ ITA NO. 993/JP/2018 FU/KZKJ.K O'K Z @ ASSESSMENT YEAR : 2014-15 A.C.I.T., CIRCLE-1, KOTA. CUKE VS. M/S CAREER POINT LIMITED, 112-B, SHAKTI NAGAR, DADABARI, KOTA. LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO.: AABCC 4963 A VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT JKTLO DH VKSJ LS @ REVENUE BY : SHRI J.C. KULHARI (JCIT) FU/KZKFJRH DH VKSJ L S@ ASSESSEE BY : SHRI VIJAY GOYAL (CA) LQUOKBZ DH RKJH[K @ DATE OF HEARING: 01/11/2018 MN?KKS'K.KK DH RKJH[K @ DATE OF PRONOUNCEMENT : 02/11/2018 VKNS'K@ ORDER PER: VIJAY PAL RAO, J.M.: THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER DATED 20/06/2018 OF LD. CIT(A)-2, UDAIPUR FOR THE A.Y. 2014-15. THE REVENUE HAS RAISED FOLLOWING GROUNDS OF APPEAL: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE , THE LD. CIT(A) HAS ERRED IN :- (I) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, CIT(A) HAS ERRED IN DELETING THE ADDITION OF RS. 2,42,325/- MADE BY A.O . U/S 14A READ WITH RULE 8D. (II) THE APPELLANT CRAVES LIBERTY TO RAISE ADDITION AL GROUND AND TO MODIFY/AMEND THE GROUND OF APPEAL AT THE TIME OF HE ARING. THE ISSUE FALLS UNDER EXCEPTION AS MENTIONED IN PA RA NO. 5 OF THE CBDT CIRCULAR NO. 03/2018 DATED 11/07/2018. 2 ITA NO. 993/JP/2018 ACIT VS. CAREER POINT LTD. 2. THE LD. DR HAS ACCEPTED THAT THE TAX EFFECT INVO LVED IN THIS APPEAL IS NOT EXCEEDING RS. 20.00 LACS AS PRESCRIBED IN THE CBDT CIRCULAR NO. 3/2018 DATED 11 TH JULY, 2018, HOWEVER, AS IT IS MENTIONED IN THE GRO UNDS, THE PRESENT CASE FALL IN THE EXCEPTION UNDER PARA 10(B) OF THE SAID CIRCU LAR. 3. THERE IS NO DISPUTE THAT THAT THE TAX EFFECT IN THE REVENUES APPEAL IS VERY LESS AS THE RELIEF OF RS. 2,42,325/- WAS GIVEN BY T HE LD. CIT(A). HOWEVER, THE LD DR HAS CONTENDED THAT THE MATTER FALLS IN THE EXCEP TION UNDER PARA 10(B) OF THE CBDT CIRCULAR. WE DO NOT FIND MERIT IN THIS CONTENT ION OF THE LD AR AS THE ISSUE OF DISALLOWANCE U/S 14A, WHICH WAS DELETED BY THE LD. CIT(A) DOES NOT INVOLVE ANY NOTIFICATION, INSTRUCTION OR CIRCULAR ISSUED BY THE CBDT HAS BEEN HELD TO BE ILLEGAL OR ULTRA VIRES. THEREFORE, IN OUR CONSIDERED OPINIO N THAT THE PRESENT APPEAL IS NOT COVERED BY THE EXCEPTION IN PARA 10(B) CLAIMED BY T HE DEPARTMENT OR ANY OTHER EXCEPTION PRESCRIBED IN THE SAID CBDT CIRCULAR NO. 3 OF 2018 DATED 11 TH JULY, 2018. ACCORDINGLY, THE APPEAL OF THE DEPARTMENT IS LIABLE TO BE DISMISSED AS NOT MAINTAINABLE. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED AS NOT MAINTAINABLE. ORDER PRONOUNCED IN THE OPEN COURT ON 2 ND NOVEMBER, 2018. SD/- SD/- FOE FLAG ;KNO FOT; IKY JKO (VIKRAM SINGH YADAV) (VIJAY PAL RAO) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 02 ND NOVEMBER, 2018 *RANJAN VKNS'K DH IZFRFYFI VXZSFKR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- THE A.C.I.T., CIRCLE-1, KOTA . 2. IZR;FKHZ@ THE RESPONDENT- M M/S CAREER POINT LIMITED, KOTA . 3 ITA NO. 993/JP/2018 ACIT VS. CAREER POINT LTD. 3. VK;DJ VK;QDR@ CIT 4. VK;DJ VK;QDR@ CIT(A) 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K]T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO. 993/JP/2018 ) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASST. REGISTRAR