Assistant Commissioner of Income Tax (Central), Jabalpur V. Shri Santosh Kumar Singhania, Shohdol

ITSSA 1/JAB/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 0006 (ITAT-JABALPUR)
• Duration Of Justice: 1 year(s) 1 month(s) 16 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 02-04-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2013-2014
• Appeal Filed On: 15-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: B K NEMA
• Keywords: Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JABALPUR BENCH , JABALPUR BEFORE SHRI A. D. JAIN, VICE PRESIDENT AND SHRI T. S. KAPOOR, ACCOUNTANT MEMBER IT (SS) A NO. 01 /JAB/2018 ASSESSMENT YEAR: 2013 - 14 ASSTT. C.I.T. (CENTRAL) JABALPUR V. SHRI SANTOSH KUMAR SINGHANIA OPP. RAILWAY STATION, BURHAR SHAHDOL T AN /PAN : AJDPS5198R (APP ELL ANT) (RESPONDENT) ITA NO. 24/JAB/2018 ASSESSMENT YEAR: 2014 - 15 ASSTT. C.I.T. (CENTRAL) JABALPUR V. SHRI SANTOSH KUMAR SINGHANIA OPP. RAILWAY STATION, BURHAR SHAHDOL T AN /PAN : AJDPS5198R (APP ELL ANT) (RESPONDENT) APPELLANT BY: SHRI P. D. CHOUGULE, D.R. RESPONDENT BY: SHRI B. K. NEMA, ADVOCATE DATE OF HEARING: 01 04 201 9 DATE OF PRONOUNCEMENT: 02 04 201 9 O R D E R PER A. D. JAIN, V.P . : THESE APPEALS HAVE BEEN FILED BY THE REVENUE AGAINST SEPARATE ORDER S OF THE LD. CIT(A) - I, JABALPUR , BOTH DATED 27/11/2017 FOR THE ASSESSMENT YEARS 2013 - 14 AND 2015 - 16 . 2. AT THE OUTSET, THE LD. A.R. OF THE ASSESSEE, SHRI B. K. NEMA, ADVOCATE SUBMITTED THAT IN THESE APPEALS FILED BY THE R EVENUE, THE TAX EFFECT ON THE INCOME IN DISPUTE IS LESS THAN RS.20 LAKHS. ITA NO.01 & 24/JAB/2018 PAGE 2 OF 3 3. THE CENTRAL BOARD OF DIRECT TAXES, VIDE CIRCULAR NO. 3/2018 DATED 11TH JULY, 2018 FILE NO.279 OF MISC.142/2007 - ITJ (PT), HAS ISSUED THE DIRECTION IN SUPERSESSION OF THE INSTRUCTION NO.21/2015 DATED 10 TH DECEMBER, 2015 IN CONSONANCE WITH THE POWER ENTRUSTED UNDER SECTION 268A OF THE INCOME TAX ACT, 1961 THAT NO APPEAL SHOULD BE FILED BEFORE THE TRIBUNAL IN CASE THE TAX EFFECT DOES NOT EXCEED RS.20 LAKHS. THE 'TAX EFFECT' IN THIS REGAR D MEANS THE DIFFERENCE BETWEEN THE TAX ON THE TOTAL INCOME ASSESSED AND THE TAX THAT WOULD HAVE BEEN CHARGEABLE, HAD SUCH TOTAL INCOME BEEN REDUCED BY THE AMOUNT OF INCOME IN RESPECT OF ISSUES AGAINST WHICH APPEAL IS INTENDED TO BE FILED. THIS CIRCULAR FUR THER STATES THAT TAX WILL NOT INCLUDE ANY INTEREST THEREON, UNLESS THE CHARGEABILITY OF INTEREST ITSELF IS IN DISPUTE. IN PARAGRAPH 13, WHICH IS REPRODUCED AS UNDER, IT HAS BEEN MENTIONED IN THE CIRCULAR, THAT THIS INSTRUCTION WILL APPLY EVEN TO PENDING AP PEALS: '13. THIS INSTRUCTION WILL APPLY TO SLPS/APPEALS/CROSS OBJECTIONS/ REFERENCES TO BE FILED HENCEFORTH IN SC/HCS/TRIBUNAL AND IT SHALL ALSO APPLY RETROSPECTIVELY TO PENDING SLPS/APPEALS/CROSS OBJECTIONS/ REFERENCES. PENDING APPEALS BELOW THE SPECIFIE D TAX LIMITS IN PARA 3 ABOVE MAY BE WITHDRAWN/NOT PRESSED. ' 4. THE TAX EFFECT IN EACH OF THESE APPEALS DOES NOT EXCEED RS.20 LAKHS. IN VIEW OF THIS FACT, AS PER THE CBDT CIRCULAR NO. 3/2018 DATED 11 TH JULY, 2018 FILE NO.279 OF MISC.142/2007 - ITJ(PT), THE REV ENUE IS NOT SUPPOSED TO PRESS THESE APPEALS. WE, THEREFORE, DISMISS THE APPEALS FILED BY THE REVENUE IN LIMINE, WITHOUT GOING INTO THE MERITS OF THE CASE, AS IN OUR OPINION, THE CIRCULAR ISSUED BY THE CBDT IS BINDING ON THE DEPARTMENTAL AUTHORITIES IN VIEW OF THE PROVISIONS OF SECTION 268A(1) OF THE INCOME TAX ACT, 1961. THE SAID VIEW HAS BEEN TAKEN BY THE HONBLE ITA NO.01 & 24/JAB/2018 PAGE 3 OF 3 SUPREME COURT IN THE CASE OF NAVNIT LAL JHAVERI VS. K. K. SEN, 56 ITR 198 (SC). WE, ACCORDINGLY, DISMISS THE APPEALS FILED BY THE REVENUE. 5. IN TH E RESULT, BOTH THE APPEALS FILED BY THE REVENUE STAND DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 02 / 0 4 /201 9 . SD/ - SD/ - [ T. S. KAPOOR ] [ A. D. JAIN ] ACCOUNTANT MEMBER VICE PRESIDENT DATED: 02 /0 4 / 201 9 JJ: 0104 COPY FORWARDED TO: 1. APPELLANT 2. RESPON DENT 3. CIT(A) 4. CIT 5. DR