The Dy.CIT.,Circle-1(1)(2), Surat V. Gujarat JHM Hotels Ltd., Surat

MA 11/SRT/2021

• Counselvise Citation: [2022] 104 COUNSELVISE.COM (IT) 2478 (ITAT-SURAT)
• Duration Of Justice: 3 month(s) 18 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 14-02-2022
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 30-12-2021
• Assessment Year: 2010-2011
• Appeal Filed On: 26-10-2021
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: ANUPAMA SINGLA
• Keywords: Audit objection; Tax effect

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI PAWAN SINGH, JUDICIAL MEMBER AND Dr. ARJUN LAL SAINI, ACCOUNTANT MEMBER Miscellaneous Application No.11/SRT/2021 For AY: 2010-11 (Arising out of ITA No.27/SRT/2017) (Hearing in Virtual Court) The Deputy Commissioner of Income Tax, Circle-1(1)(2), Surat. Vs . Gujarat JHM Hotels Ltd., Hotel Holiday Inn, Nr. Ambica Niketan, Athwaline, Surat. PAN: AAACG 8562 E Applicant Respondent Assessee by Shri Hiren Vepari – CA Revenue by Mrs. Anupama Singla – Sr.DR Date of hearing 31.12.2021 Date of pronouncement 15.02.2022 Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JM : 1. This Miscellaneous Application(MA) is filed by the Revenue for seeking rectification of the order dated 15.04.2021 passed in ITA No.27/SRT/2017. The ld.Sr.Departmental Representative(ld.Sr.DR) for the Revenue submits that this appeal was dismissed by the Tribunal due to the fact that monetary limit of tax effect is less than 50 lakhs as fixed by CBDT in Circular No.17 of 2019 dated 08.08.2019. However, the Revenue was given liberty to get the appeal revive if the case is covered by exception clause of CBDT Circular dated 20.08.2018. The ld.Sr.DR for the Revenue submits that though the tax effect involved in the present appeal is Rs.35,25,971/-, however, the case fall under the exception clause of CBDT Circular No.3/2018 dated 11.07.2018 as amended by subsequent circular dated 20.08.2018 as the reopening of assessment was based on revenue audit objection. M.A.No.11/SRT/2021 (AY 2010-11) Gujarat JHM Hotels Ltd., Surat 2 2. On the other hand, the ld.Authorised Representative(ld.AR) for the assessee submits that reopening on the basis of audit objection is not valid as has been held in a series of decisions by Hon'ble Jurisdictional High Court. However, the reasons recorded never disclosed that reopening based on audit objection. The ld.AR for the assessee submits that even the assessee has good case on merit and without going into controversy whether case is covered by exception clause of CBDT Circular or not he is ready to contest the appeal on merit and he has no objection if the order 15.04.2021 is re-called and the appeal is heard on merit. 3. Considering the concessions on the ld.AR for the assessee that he is ready to argue the appeal on merit, the order dated 15.04.2021 is recalled and the appeal is fixed for hearing on merit on 31.03.2022. Issuance of separate notice is dispensed with as the date of hearing was fixed with the consent of both the parties. 4. In the result, Miscellaneous Application filed by the Revenue is allowed. Order pronounced on 15 February, 2022 by placing the result on the notice board. Sd/- Sd/- (Dr ARJUN LAL SAINI) PAWAN SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Surat, Dated: 15/02/2022 / *SGR M.A.No.11/SRT/2021 (AY 2010-11) Gujarat JHM Hotels Ltd., Surat 3 Copy to: 1. Appellant 2. Respondent 3. CIT(A) 4. CIT 5. DR 6. Guard File By order // TRUE COPY // Sr.Private Secretary, ITAT, Surat