The DCIT, Circle-1(1)(2), Ahmedabad V. M/s. Crystal Ceramics Industries Pvt. Ltd. ( Formerly known as Crystal Glaze), Ahmedabad

MA 93/AHD/2020

• Counselvise Citation: [2022] 104 COUNSELVISE.COM (IT) 3358 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 5 month(s) 6 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-08-2022
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 28-07-2022
• Assessment Year: 2008-2009
• Appeal Filed On: 27-02-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: V.K. SINGH
• Keywords: Tax effect; Tax effect

Judgement Text

, ‘B’ । IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, AHMEDABAD BEFORE SMT. ANNAPURNA GUPTA, ACCOUNTANT MEMEBR & SHRI MAHAVIR PRASAD, JUDICIAL MEMEBR MISCELLANEOUS APPLICATION Nos. 92/Ahd/2020 & 93/Ahd/2020 (आयकर अपील सं./I.T.A. Nos. 693 & 694/Ahd/2018) ( Assess ment Ye ars : 2 007-08 & 2008-09) Th e DC IT Cir cl e – 1(1 )( 2) , Ah me da bad / V s . M / s. Cry s ta l Ce ra mic s In du st rie s Pv t. L t d. (F or mer l y k no wn a s Cr ys t al G la zes ) B- 19, V is hn u Pa rk soc ie t y, B/ h. B hag yoda ya Ten a men ts , Op p: B eth ak , Nar od a, A h med ab a d यी ल सं./ ीआ आर सं./P A N / G IR N o . : A A C FC 0 9 2 6 H (अपील Appellant) . . ( य / Respondent) य क र स / Revenue by: Shri V. K. Singh, Sr. D.R. अपील र स / Assessee by : Shri Aseem L thakkar, A.R. स क र D a t e o f H e a r i n g 29/07/2022 !"# क र /D a t e o f P r o n o u n c e m e n t 03/08/2022 ORDER PER MAHAVIR PRASAD, JM: Both miscellaneous applications have been filed by the Revenue under s.254(2) of the Act against the Tribunal order dated 04.10.2019 to recall the impugned order. MA Nos. 92 & 93/Ahd/2020 [DCIT vs. M/s. Crystal Ceramics Industries Pvt. Ltd.] A.Ys. 2007-08 & 2008-09 - 2 - 2. The Revenue has made following submissions: “2. The Hon'ble ITAT, Ahmedabad "B" Bench had dismissed the appeal of the revenue as the tax effect in question was less than the limit prescribed for filing appeal with ITAT as per CBDT Circular no. 17 of 2019. In the order/ vide para No. 6 it was mentioned that, "it is open to the Revenue to seek restoration of its appeals on showing inapplicability of the aforesaid CBDT Circular in any manner" 3. Though the tax effect on the issues involved for A.Y. 2007-08 was Rs.45,15,362/-, on examination of case records, it is found that, this case falls within the exception laid down by the CBDT Instruction F No. 279/Misc./M- 93/2018-ITJ dtd. 11-12-2018, which states that "addition based on information received from external sources in the nature of Law enforcement agencies such as CBI/ED/DRI/SFIO/Directorate General of GST Intelligence (DGGI)/' should be contested on merits. In this case for both the assessment years, the information was received from Directorate General of Central excise (intelligence), which squarely falls into the category mentioned in para No. 2 (e). Hence on this particular issue, MA has to be filed to restore the appeal proceedings before the Hon'ble ITAT. 3. The letter from the office of PCIT-1, Ahmedabad granting the approval to file Misc. Application vide letter No. Pr.CIT-1/DCIT(HQ-1)/CCIPL dtd. 21- 02-2020 as well as Letter of authorisation is enclosed herewith along with a copy of Hon'ble ITAT's order.” 3. We have heard learned DR. At the time of hearing in ITA Nos. 693 & 694/Ahd/2018, it was submitted by learned AR for the assessee that the appeals filed by the Revenue are hit by recently issued CBDT Circular No.17 of 2019 dated 08/08/2019 revising the previous thresholds pertaining to tax effects. It is inter alia noticed that the CBDT vide Instruction No. F. No. 279/Misc/M-93/2018-ITJ dt. 20/08/2019 has observed that Circular No.17/2019 dated 08/08/2019 relating to enhancement of monetary limits is also applicable to all pending appeals. As per aforesaid Circular read with instruction, all pending appeals filed by Revenue are liable to be dismissed as a measure for reducing litigation where the tax effect does not exceed the prescribed monetary limit which is now revised at Rs.50 Lakhs. In the instant case, the tax effect on the disputed issues raised by the Revenue is stated to be not exceeding Rs.50 lakhs and therefore both MA Nos. 92 & 93/Ahd/2020 [DCIT vs. M/s. Crystal Ceramics Industries Pvt. Ltd.] A.Ys. 2007-08 & 2008-09 - 3 - appeals of the Revenue are required to be dismissed in limine. Therefore, on the basis of that above circular, we dismiss the appeal of the Revenue. 4. Now, after going through the miscellaneous applications filed by the Revenue, undisputedly, the addition was made in ITA Nos. 693 & 694/Ahd/2018 on the basis of information received from the Directorate General of Central Excise (Intelligence), which squarely falls within the exception laid down by the CBDT Instructions. In view of the above, we recall the order in ITA Nos. 693 & 694/Ahd/2018 and direct the registry to refix these matters before the Bench on 25.08.2022 under intimation to both sides. 5. In the result, both miscellaneous applications filed by the Revenue are allowed. Sd/- Sd/- ( ANNAP UR NA GUP TA) (MAHAVIR PRASAD) ACC OUNTANT MEMB ER JUDICIAL MEMBER True Copy S.K.SINHA ेश ! " #े" / Copy of Order Forwarded to:- $. र / Revenue 2. आ दक / Assessee '. सं(ं)* आयकर आय + / Concerned CIT 4. आयकर आय + - अपील / CIT (A) .. / 0 1ीय 2 2 )*3 आयकर अपील य अ)*कर#3 अ45द ( द / DR, ITAT, Ahmedabad 6. 1 78 9 ल / Guard file. By order/आद श स 3 उप/स4 यक पं ीक र आयकर अपील य अ)*कर#3 अ45द ( द । This Order pronounced in Open Court on 03/08/2022