JCIT, OSD, DELHI V. MIDAS POLYPACK PVT. LTD NOW KNOWN AS A G POLYPACK PVT. LTD, DELHI

ITA 1348/DEL/2025

AI Insights

The case involves the Revenue's appeals against the common order of the Ld. Pr. CIT (Appeals), Delhi-1, which pertained to the assessment years 2014-15 to 2016-17. The Revenue challenged the deletion of certain additions made in the assessment orders, arguing that the CIT(A) had incorrectly relied on judgments that were under appeal or misapplied the law regarding the calculation of block periods for assessment under section 153C(1) of the Income-tax Act, 1961. However, the primary reason for the dismissal of the appeals was the low tax effect, which was below the threshold set by the CBDT Circular, leading to the dismissal of the appeals without delving into the substantive legal issues raised.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 779148 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-10-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2015-2016
• Appeal Filed On: 04-03-2025
• Other Referred Cases: PCIT, Central-1, Delhi vs Ojjus Medicare Pvt. Ltd., CIT vs. Jasjit Singh, CIT vs. RRJ Securities Ltd.
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DAYAINDER SINGH SIDHU
• Assessee Lawyers: VIBHU GUPTA
• Keywords: Tax effect

Judgement Text

"ITA Nos.1347 to 1349/Del/2025 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “C” NEW DELHI BEFORE SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER आ.अ.सं/.I.T.A Nos.1347 to 1349/Del/2025 िनधा रणवष /Assessment Years:2014-15 to 2016-17 JCIT (OSD), 404, C.R. Building, I.P. Estate, Delhi. बनाम Vs. MIDAS POLYPACK PVT. LTD., (Now Known as AG Polypack Pvt. Ltd.) C-4/1, Rajiv Nagar, Industrial Area, Mandoli, Delhi. PAN No.AAICM3805G अपीलाथ\u0014 Appellant \u0016\u0017यथ\u0014/Respondent Revenue by Shri Dayainder Singh Sidhu, CIT DR Assessee by Shri Vibhu Gupta, Adv. सुनवाईक\bतारीख/ Date of hearing: 09.10.2025 उ\u000eोषणाक\bतारीख/Pronouncement on 14.10.2025 आदेश /O R D E R PER C.N. PRASAD, J.M. The appeals are filed by the Revenue against the common order of the Ld. Pr. CIT (Appeals), Delhi-1, dated 03/03/2025 for the AYs 2014-15 to 2016-17. Revenue raised the following common grounds in all these appeals: - 1. “Whether on the facts and under the circumstances of the case and in law, the Ld.CIT(A) was justified in relying upon the judgement of Hon’ble Delhi High Court in the case of Printed from counselvise.com ITA Nos.1347 to 1349/Del/2025 2 PCIT, Central-1, Delhi vs Ojjus Medicare Pvt. Ltd. (ITA No 52 of 2024), even when the Revenue has filed a SLP against this decision of the Hon'ble Delhi High Court? 2. Whether on the facts and under the circumstances of the case and in law, the Ld.CIT(A)-was justified in holding that block periods for assessment under section 153C(1) of the Income-tax Act, 1961, have to be calculated six years prior to the AY in which satisfaction note was recorded by concerned Assessing Officer even when Section 153C(1) of the Act clearly mentions that calculation of block period has to be done from the year of search? 3. Whether on the facts and circumstances of the case and in law, Hon'ble High Court justified in relying on the judgment of Hon’ble Supreme Court in the case of ClT vs. Jasjit Singh (2023 SCC Online SC 1265) and of Hon'ble High Court in the case of CIT vs. RRJ Securities Ltd. (2015 SCC Online Del 13085), even though the facts of the instant case arc different from that of Jasjit Singh case and RRJ Securities case, since the decisions rendered by the Court in Jasjit Singh as well as in RRJ Securities had dealt with a pre-2017 position (i.e. for search conducted before 1st April, 2017) and hence are clearly distinguishable? 4. The appellant craves leave tor reserving the right to amend, modify, alter, add or forego any ground(s) of appeal at any time before or during the hearing of this appeal.” 2. Ld. Counsel for the assessee, at the outset, submitted that the tax effect in all these Revenue’s appeals is less than Rs.60 lakhs and thus the appeals are liable to be dismissed in view of the CBDT Circular No.09 of 2024 dated 17/09/2024. On the other hand, Ld. DR could not controvert the submission of the Ld. AR. Printed from counselvise.com ITA Nos.1347 to 1349/Del/2025 3 3. On perusal of the assessment orders passed by the Assessing Officer for assessment years 2014-15 to 2016-17 it is observed that the total additions made in the assessment orders stood at Rs.20,70,068/-, 2,40,000/- and Rs.2,40,000/- respectively. Therefore, it is observed that the grievance of the Revenue in these appeals is with respect to the deletion of additions on which the tax effect would certainly is less than Rs.60 lakhs. Therefore, the present appeals filed by the Revenue are not maintainable in the light of the CBDT Circular No.09 of 2024 dated 17/09/2024. 4. In the result, the appeals filed by the Revenue are dismissed. Order pronounced in the open court on 14.10.2025 Sd/- Sd/- (MANISH AGARWAL) (C.N. PRASAD) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 14.10.2025 *Kavita Arora, Sr. P.S. Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com "