Asst. Commissioner of Income Tax, Circle-4(1), Hyderabad V. Subhash Gupta , Hyderabad

MA 122/Hyd/2019

• Counselvise Citation: [2019] 111 COUNSELVISE.COM (IT) 5591 (ITAT-HYDERABAD)
• Duration Of Justice: 4 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 01-11-2019
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB-B
• Assessment Year: 2014-2015
• Appeal Filed On: 28-10-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: K C DEVDAS CA
• Keywords: Wrong claim; Penny stocks

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER MA NO.122/HYD/2019 (IN ITA NO. 2078/HYD/2019) ASSESSMENT YEAR: 2014 - 15 ASST. COMMISSIONER OF INCOME TAX, CIRCLE - 4(1), HYDERABAD. VS. SRI SUBHASH GUPTA, 4 - 3 - 72/1/15, SULTAN BAZAR, K.S. LANE, HYDERABAD. PAN: ACAPG 1663 R (APPELLANT) (RESPONDENT) ASSESSEE BY: SRI K.C. DEVDAS, CA AR REVENUE BY: SMT. MATTA PADMA DATE OF HEARING: 01/11/2019 DATE OF PRONOUNCEMENT: 01/11/2019 ORDER PER A. MOHAN ALANKAMONY, AM.: THIS MISCELLANEOUS APPLICATION IS FILED BY THE REVENUE SEEKING TO RECALL THE ORDER OF THE TRIBUNAL PASSED IN ITA NO. 2078/HYD/2018, DATED 03/09/2019. 2. AT THE OUTSET, LD. DR SUBMITTED THAT THE APPEAL FILED BY THE REVENUE WAS DISMISSED BY THE ITAT BY FOLLOWING THE CBDT CIRCULAR NO.03/2018 DATED 11/07/2018 AND CIRCULAR NO. 17 OF 2019, DATED 09/08/2019 AS THE TAX LIMITED INVOLVED IN THE APPEAL IS LESS THAN RS. 50 LAKHS. FURTHER, LD. DR DRAWN OUR ATTENTION TO THE LATEST CIRCULAR 2 NO.23 OF 2019, DATED 06/09/2019 AND OFFICE MEMORANDUM DATED 16/09/2019 ISSUED BY THE CBDT WHEREIN IT WAS MENTIONED THAT THE MONETARY LIMITS FIXED FOR FILING APPEALS BEFORE THE ITAT , HONBLE HIGH COURTS AND THE HONBLE SUPREME COURT , SHALL NOT APPLY IN CASE OF THE ASSESSEE S CLAIMING BOGUS L TCG / STCL THOROUGH PENNY STOCKS AND THE APPEAL S IN SUCH CASES SHALL BE HEARD AND DISPOSED OFF ON MERITS. LD. DR ALSO SUBMITTED THAT THE PRESENT CA SE FALLS UNDER THE EXCEPTIONAL CATEGORY TO THE MONETARY LIMITS FOR FILING THE APPEAL BEFORE THE ITAT, AS MENTIONED IN THE CBDT CIRCULARS (SUPRA), AS THE ISSUE INVOLVED IN THE APPEAL RELATES TO BOGUS CLAIM OF LTCG WITH RESPECT TO DEALING ON PENNY STOCKS. THEREFORE, LD. DR PLEADED THAT THE MONETARY LIMI TS SPECIFIED IN CIRCULAR NO.17 OF 2019, THE ORDER OF THE TRIBUNAL DATED 03/09/2019 MAY BE CALLED AND THE APPEAL MAY BE HEARD ON MERITS NOTWITHSTANDING THE CIRCULAR NO.3/2018 DATED 11/7/2018 AND CIRCULAR NO. 17/2019 DATED 09/08/2019 . ON THE OTHER HAND, LD. AR COULD NOT CONTROVERT TO THE SUBMISSIONS OF THE LD. DR. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND CAREFULLY PERUSED THE MATERIALS ON RECORD. AFTER EXAMINING THE LATEST CIRCULAR NO.23 OF 2019, DATED 06/09/2019 AND OFFICE MEMORANDUM DATED 16/09/2019 ISS UED BY THE CBDT, WE ARE OF THE CONSIDERED VIEW THAT UNAMBIGUOUSLY THE APPEAL OF THE REVENUE FALLS UNDER THE EXCEPTIONAL CATEGORY TO MONETARY LIMITS FOR FILING THE APPEALS BEFORE THE ITAT. THEREFORE, CONSIDERING THE PRAYER OF THE LD. DR , WE HEREBY RECALL THE ORDER OF THE TRIBUNAL DATED 3 03/09/2019 WITH DIRECTIONS TO THE REGISTRY TO FIX THE APPEAL FOR HEARING IN REGULAR COURSE AND ISSUE NOTICE OF HEARING TO BOTH THE PARTIES AND THE ASSESSEE IS ALSO DIRECTED TO FILE PAPER BOOKS / EVIDENCES ETC. , IF ANY , AND ALSO A FURNISH A COPY TO THE REVENUE IN ADVANCE IN ORDER TO EXPEDITE THE PROCEEDINGS . IT IS ORDERED ACCORDINGLY. 4. IN THE RESULT, MISCELLANEOUS APPLICATION FILED BY THE REVENUE IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON 01 ST NOVEMBER, 2019. SD/ - SD/ - (P. MADHAVI DEVI) ( A. MOHAN ALANKAMONY ) JUDICIAL MEMBER ACCOUNTANT MEMBER HYDERABAD, DATED: 01 ST NOVEMBER , 2019 OKK COPY TO: - 1) SRI SUBHASH GUPTA, 4 - 3 - 72/1/15, SULTAN BAZAR, K.S. LANE, HYDERABAD - 95. 2) ACIT, R.NO.742, 7 TH FLOOR, INCOME TAX TOWERS, MASAB TANK, HYDERABAD. 3) THE CIT(A) - 1, HYDERABAD 4) THE PR. CIT - 1, HYDERABAD 5) THE DR, ITAT, HYDERABAD 6) GUARD FILE