Income-tax Officer, Nashik V. Shri Ritesh Sundrlal Shah, Nashik

MA 52/PUN/2022

AI Insights

The case involves a Miscellaneous Application by the Income Tax Department against Ritesh Sunderlal Shah, stemming from a previous ITA decision where the appeal was dismissed due to the monetary limits set for filing appeals. The Revenue contended that the case fell under an exception due to information received from the Sales Tax Department regarding hawala transactions. However, the Tribunal referenced several precedents where similar contentions were not accepted, leading to the dismissal of the Revenue's application.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 138065 (ITAT-PUNE)
• Duration Of Justice: 3 year(s) 8 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-07-2023
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 15-06-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 24-06-2020
• Other Referred Cases: ACIT v. Anand Omprakash Pahade, ITO vs. M/s Param Marketing, ITO vs. Yusuf Gulmmohmmed Patel, DCIT vs. M/s Rang Rasayan
• Laws Referred To: CBDT Circular No.17/2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIRTUE OF CBDT
• Keywords: Tax effect
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE „A‟ BENCHES :: PUNE BEFORE SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER & DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER M.A.No. 52/PUN/2022 (Arising out of ITA No.1193/PUN/2016) (A.Y. 2010-11) ITO, Ward-2(1), Nashik vs Ritesh Sunderlal Shah, 5, Chandanbala Housing Society, Gurudwara Road, Shingada Talav, Nashik. PAN: AVNPS 7816 C Applicant/Revenue Respondent/Assessee Assessee by : Shri Sanket M. Joshi, CA Revenue by : Shri Suhas Kulkarni, DR Date of hearing : 16/06/2023 Date of pronouncement : 03/07/2023 O R D E R Per PARTHA SARATHI CHAUDHURY, JM: This Misc. Application preferred by the Revenue emanates from the order of this Tribunal in ITA No. 1193/PUN/2016, dated 13/08/2018 for A.Y.2010-11. 2. We have perused the contents in the Misc. Application filed by the Department, and it is stated therein that, the appeal of the Department was dismissed on monetary limits without going into the merits of the case and that as per the information received from Sales Tax Department, the matter is covered by exception as laid down in clause (e) of Para 10 of the Board‟s letter dated 20/08/2018. 2.1. In this regard, we find that Pune Tribunal in the case of ACIT v. Anand Omprakash Pahade in M.A.No. 150/PUN/2022 arising out of ITA MA No.52/PUN/2022 Ritesh Sunderlal Shah 2 No.2276/PUN/2017 by order dated 26/04/2023 has observed and held as under:- “2. We have heard the rival submissions and gone through the relevant material on record. There is no appearance from the side of assessee(s) at Sl.No.1 and 2. We, are, therefore, proceeding to dispose of the appeal(s) ex parte qua the assessee(s). Having found that the tax effect in the instant appeals referred to by the Revenue are less than the monetary limits of Rs.50.00 lakh, the Tribunal dismissed the appeal of Revenue by virtue of CBDT Circular No.17/2019 dated 08-08-2019 revising upward the monetary limit to Rs.50.00 lakh for filing of appeals by the Department in Income-tax Cases before various appellate forums. 3. As regards the contention of the ld. DR that the appeals should not have been dismissed because the additions in the above cases were made on the basis of information received from the Director General of Central Excise Intelligence (DGCEI)/Sales Tax Department, Govt. of Maharashtra about the assessee(s) indulging in hawala transactions and hence covered in the exception clause of the Circular as referred to above, we find that such a contention has not been countenanced by the Pune Benches of the Tribunal in several cases including ITO vs. M/s Param Marketing (ITA No.1872/PUN/2019 dt.30-01-2020) and ITO vs. Yusuf Gulmmohmmed Patel (ITA No.1852/PUN/2019 dt.30-01-2020). Not only that, even the Miscellaneous Application filed u/s 254(2) on this issue has also been dismissed in DCIT vs. M/s Rang Rasayan (M.A.No.60/PUN/2019 dt. 14-01-2020). No contrary view has been brought to our notice on behalf of the Revenue. Respectfully following the above precedent, we are not inclined to accept the Miscellaneous applications filed by the Revenue. 3. Respectfully following the decision of the coordinate bench of Pune Tribunal in the above referred to case, we find no merit in the Misc. Application filed by the Revenue, and hence, the same is dismissed. 4. In the result, Misc. Application of the Revenue is dismissed. Order pronounced in open Court on 03 rd July, 2023. Sd/- Sd/- (DIPAK P. RIPOTE) (PARTHA SARATHI CHAUDHURY) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated : 03 rd July, 2023 MA No.52/PUN/2022 Ritesh Sunderlal Shah 3 vr/- Copy to : 1. The Appellant. 2. The Respondent. 3. The Pr. CIT concerned. 5. The DR, ITAT, “A” Bench Pune. 6. Guard File. By Order // TRUE COPY // Senior Private Secretary ITAT, Pune.