THE ACIT, CEN.CIR.-2, RAJKOT V. VIJAY PROTEINS P. LTD., JUNAGADH

MA 41/RJT/2019

• Counselvise Citation: [2022] 104 COUNSELVISE.COM (IT) 4536 (ITAT-RAJKOT)
• Duration Of Justice: 3 year(s) 17 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 28-04-2022
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 1992-1993
• Appeal Filed On: 10-04-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Tax effect; Tax effect

Judgement Text

आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरणआयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण, राजकोट 瀈यायपीठ 瀈यायपीठ瀈यायपीठ 瀈यायपीठ, , , , राजकोट IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT (Conducted Through Virtual Court) ] ] BEFORE SMT.ANNAPURNA GUPTA, ACCOUNTANT MEMBER AND T.R. SENTHIL KUMAR, JUDICIAL MEMBER M.A. NO.41/RJT/2019 WITH ITA No.714 /RJT/2003 Assessment Year :1992-93 ACIT, Junagadh Circle Junagadh. Vs M/s.Vijay Proteins Ltd. GIR No.31-802-CZ-3934 Outside Majewadi Gate Junagadh. (Applicant) (Responent) Assessee by : Shri Vimal Desai, AR Revenue by : Shri S.S. Rathi, Sr.DR स ु नवाई क तार ख/D a t e o f H e a r i n g : 2 9 / 0 4 / 2 0 2 2 घोषणा क तार ख /D a t e o f P r o n o u n c e m e n t : 2 9 / 0 4 / 2 0 2 2 आदेश/O R D E R PER T.R. SENTHIL KUMAR, JUDICIAL MEMBER Present Misc. Application is filed at the instance of the Revenue pointing out apparent error qua the present assessee in ITA No.714/RJT/2003 which included in a consolidated order of Tribunal dated 30.7.2018 in a bunch of cases disposed of vide ITA No.396/RJT/2015 and 181 others. 2. In the MA, it is pleaded by the Revenue in the application that in the impugned common order, the appeal of the Revenue being ITA No.714/RJT/2003 was dismissed on the ground that tax effect by virtue of relief given by the ld.CIT(A) was less than the monetary MA No.41/RJT/2019 with ITA 2 limit prescribed by the CBDT Instruction no.03/2018 dated 11.7.2018 i.e. Rs.20 lakhs, hence, the appeal of the Revenue is not maintainable. However, the tax effect involved on the issues appealed was more than Rs.20 lakhs i.e. Rs.24,58,348/- and hence, this mistake requires to be rectified and the appeal of the Revenue may be recalled and decided on merit. 3. After going through the pleadings of the Revenue in the MA, we find that the ITAT in special drive to dispose of those cases where tax effect in the appeals filed by the Revenue is below Rs.20 lakhs as per CBDT circular no.3 of 2018 dated 11.7.2018, the Tribunal had disposed of as many as 181 appeals vide order dated 30.7.2018 impugned by the Revenue. In this bunch of appeals also included the present appeal, where tax effect is more than the limit prescribed under CBDT Circular No.3 of 2018 dated 11.7.2018. This is due to oversight mistake and requires rectification. Therefore, we recall the impugned order dated 30.7.2018 qua ITA No.714/RJT/2003 and proceed to dispose of the same with the consent of both the parties. ITA No.714/RJT/2016 Asstt.Year 1992-93 4. At the outset, ld.counsel for the assessee contended that admittedly tax effect involved in this appeal is Rs.24,58,348/- and appeal of the assessee is otherwise also hit by recent CBDT Circular No.17 of 2019 dated 8.8.2019 by which the CBDT has revised monetary limit to Rs.50 lakhs and prohibited the Revenue from filing appeal in the Tribunal where tax effect is below Rs.50 lakhs or not. However, the ld.DR did not contest this contention of the ld.counsel for the assessee, and fairly conceded that the tax effect of the present appeal is below Rs.50 lakhs, and left the matter to the Tribunal to pass appropriate order in accordance with law. MA No.41/RJT/2019 with ITA 3 5. On due consideration of the facts and circumstances, we find that the CBDT is issuing instruction from time to time by revising threshold monetary limit for filing appeal before the Tribunal by the Department. Now monetary limit for filing appeal by the Department before the Tribunal, has been raised to Rs.50 lakhs, as against Rs.20 lakhs when the appeal of the Revenue was dismissed. This instruction No.17 of 2019 of the CBDT is applicable to the pending cases also. Admittedly in the present appeal, tax effect is below Rs.50 lakhs. Thus, even though the appeal of the Revenue is restored to its original number, it is dismissed by applying the new CBDT Instruction No.17 of 2019 which revised the monetary limit to Rs.50 lakhs for filing appeal before the Tribunal. Therefore, appeal of the Revenue stands dismissed. 6. In the result, Revenue’s Misc. Application is allowed; however, appeal is dismissed due to revised low tax effect. Order pronounced in the Court on 29 th April, 2022 at Ahmedabad. Sd/- Sd/- (ANNAPURNA GUPTA) ACCOUNTANT MEMBER (T.R. SENTHIL KUMAR) JUDICIAL MEMBER