The Income Tax Officer, Ward-1, Davanagere V. M/s. Primary Co-Operative Agriculture & Rural Development Bank Limited, Davanagere

MA 145/BANG/2020

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 9549 (ITAT-BANGALORE)
• Duration Of Justice: 4 month(s) 28 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 19-03-2021
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2008-2009
• Appeal Filed On: 21-10-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: KANNAN NARAYAN J BANGALORE
• Assessee Lawyers: V SRINIVASAN
• Keywords: Audit objection; Tax effect
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI N. V. VASUDEVAN, VICE PRESIDENT AND SHRI B. R. BASKARAN, ACCOUNTANT MEMBER MP NO.145/BANG/2020 (IN IT A NO.28 0 /BANG/201 9 ) ASSESSMENT Y EAR : 20 08 - 09 ITO, WARD 1, DAVANGERE. VS. M/S. PRIMARY CO-OPERATIVE AGRICULTURE AND RURAL DEVELOPMENT BANK LTD., KAGATHUR ROAD, CHANNAGIRI 577 213. PAN : AAA JP 0642 F APPELLANT RESPONDENT REVENUE BY : SHRI. KANNAN NARAYAN, JCIT(DR)(ITAT), BANGALORE ASSESSEE BY : SHRI. V. SRINIVASAN, ADVOCATE DATE OF HEARING : 1 9 . 03 .20 2 1 DATE OF PRONOUNCEMENT : 19 . 03 .20 2 1 ORDER PER N. V. VASUDEVAN, VICE PRESIDENT: THIS IS A MISCELLANEOUS PETITION FILED BY THE REVENUE U/S. 254(2) OF THE INCOME TAX ACT, 1961 (THE ACT) PRAYING THAT THE ORDER DATED 28.08.2019 DISMISSING THE APPEAL OF THE REVENUE ON THE GROUND THAT THE TAX EFFECT IN THE APPEAL BY THE REVENUE IS LESS THAN RS.50 LAKHS AND IN VIEW OF THE CBDT CIRCULAR NO.17/19 DATED 08.08.2019 WHICH STIPULATES THAT FOR THE REVENUE TO FILE AN APPEAL BEFORE THE TRIBUNAL AGAINST THE ORDER OF THE FIRST APPELLATE AUTHORITY, THE TAX EFFECT SHOULD BE RS. 50 LAKHS AND ABOVE. 2. IN THIS MP, THE REVENUE HAS POINTED OUT THAT EVEN THOUGH THE TAX EFFECT IN THE APPEAL IS BELOW THE MONETARY LIMITS PRESCRIBED BY THE CBDT IN CIRCULAR NO.17/19 DATED 08.08.2019, THE CASE OF THE ASSESSEE FALLS UNDER AN EXCEPTION SPECIFIED IN THE CIRCULAR VIZ., IF THERE IS A REVENUE AUDIT OBJECTION WHICH HAS BEEN ACCEPTED BY THE AO, THEN THE APPEAL CAN BE FILED EVEN THOUGH THE TAX EFFECT IN THE REVENUES APPEAL IS LESS THAN RS.50 LAKHS. ACCORDING TO THE REVENUE, IN THE PRESENT APPEAL, THERE WAS A REVENUE AUDIT OBJECTION WHICH WAS ACCEPTED BY THE AO AND THEREFORE THE ORDER DATED MP NO.145/BANG/2020 (IN ITA NO.280/BANG/2019) PAGE 2 OF 2 28.08.2019 DISMISSING THE APPEAL ON THE GROUND OF LOW TAX EFFECT SHOULD BE RECALLED AND THE APPEAL SHOULD BE HEARD AND DECIDED ON MERITS. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS. LEARNED DR FILED COPY OF THE RAP AUDIT OBJECTION WHICH WAS ACCEPTED BY THE AO. COPY OF THE SAME WAS ALSO FURNISHED TO THE LEARNED AR WHO COULD NOT POINT OUT ANY INFIRMITY. IN THE CIRCUMSTANCES, WE RECALL THE ORDER DATED 28.08.2019 DISMISSING THE APPEAL OF THE ASSESSEE. THE APPEAL WILL BE LISTED BY THE REGISTRY IN DUE COURSE, AFTER ISSUE OF NOTICE TO THE PARTIES. 4. IN THE RESULT, THE MISCELLANEOUS PETITION BY THE REVENUE IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON THE DATE MENTIONED ON THE CAPTION PAGE. SD/- SD/- BANGALORE. DATED: 19.03.2021. /NS/* COPY TO: 1. APPELLANTS 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, ITAT, BANGALORE. (B. R. BASKARAN) (N. V. VASUDEVAN) ACCOUNTANT MEMBER VICE PRESIDENT