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Facts
The Revenue filed an appeal against the order of the Ld.CIT(A) concerning assessment year 2009-10. The assessee's AR submitted that the appeal was hit by a recent CBDT Circular (No.09 of 2024) which revises monetary thresholds for tax effects, rendering appeals with tax effects not exceeding Rs.60 Lakhs liable for dismissal.
Held
The Tribunal noted that the Ld.Sr. DR for the Revenue admitted the applicability of the CBDT Circular. Consequently, the appeal was dismissed as not maintainable, with the liberty for the Revenue to seek restoration if they could show the circular's inapplicability.
Key Issues
Whether the Revenue's appeal is maintainable in light of the revised monetary limits stipulated in CBDT Circular No.09 of 2024, given the tax effect of the disputed issues.
Sections Cited
250, 147, 143(3)
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Income Tax Appellate Tribunal, DELHI “G” BENCH: NEW DELHI
Before: SHRI YOGESH KUMAR US & SHRI MANISH AGARWAL
The present appeal has been filed by the Revenue against the order dated 05.04.2016 passed by Ld. Commissioner of Income Tax (A)-II, Kanpur [“Ld.CIT(A)”] in Appeal No.CIT(A)-II/116/ACIT(E)/15-16 passed u/s 250 of the Income Tax Act, 1961 [“the Act”] arising from the assessment order dated 26.02.2015 passed u/s 147/143(3) of the Act pertaining to assessment year 2009-10.
At the time of hearing, it was submitted by the Ld.AR for the assessee that the appeal filed by the Revenue is hit by recently issued CBDT Circular No.09 of 2024 dated 17.09.2024 revising the previous thresholds pertaining to tax effects. As per aforesaid Circular, 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.60 Lakhs. In the instant case, the tax effect on the disputed issues raised by the Revenue is stated to be not exceeding Rs.60 lakhs and therefore, appeal of the Revenue is required to be dismissed in limine.
The Ld.Sr. DR for the Revenue fairly admitted the applicability of the CBDT Circular No.09 of 2024 dated 17.09.2024. Accordingly, appeal of the Revenue is dismissed as not maintainable. However, it will be open to the Revenue to seek restoration of its appeal on showing inapplicability of the aforesaid CBDT Circular in any manner.