INCOME TAX OFFICER, CHANDIGARH vs. PRAGYA SHARDA, CHANDIGARH

IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, CHANDIGARH HYBRID HEARING BEFORE HON’BLE SHRI LALIET KUMAR, JUDICIAL MEMBER AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं./ ITA No.1817/CHANDI/2025 (िनधा�रण वष� / Assessment Year: 2020-21) Income Tax Officer Ms. Pragya Sharda Chandigarh. बनाम/ Vs. 401, Sector 43A, Chandigarh 160036 �ायीलेखासं./जीआइआरसं./PAN/GIR No. AJOPS-6617-E (अपीलाथ�/Appellant) (��थ� / Respondent) : अपीलाथ�कीओरसे/ Appellant by : Dr. Ranjit Kaur, Addl CIT, Sr. DR ��थ�कीओरसे/Respondent by : None सुनवाईकीतारीख/Date of Hearing : 29-04-2026 घोषणाकीतारीख /Date of Pronouncement : 04-05-2026 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by revenue for Assessment Year (AY) 2020-21 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC, [CIT(A)] dated 13-10-2025 in the matter of an assessment framed by Ld. Assessing Officer[AO] u/s 147 of the Act on 23.03.2025. In the assessment order, Ld. AO made addition of unexplained investment for Rs.18.31 Lacs. However, Ld. CIT(A) invalidated the jurisdiction of Ld. AO in terms of decision of Hon’ble

Jurisdictional High Court in the case of Jatinder Singh Bhangu (165 Taxmann.com 115; dated 19-07-2024). Aggrieved, the revenue is in further appeal before us. 2. It emerges that the addition made by Ld. AO was for Rs.18.31 Lacs and the tax effect thereof is less than the prescribed limit of Rs.60 Lacs. The exception clause of the said Circular read as under: - In supersession of the above referred communications issued by CBDT, the 2. following may be noted in respect of departmental appeals to be filed before ITATs and HCs and SLPs/ appeals before SC: 3.1 Monetary limits given in paragraph 4 with regard to filing appeal/SLP shall be applicable to all cases including those relating to TDS/TCS under the Act with the following exceptions where the decision to appeal/file SLP shall be taken on merits, without regard to the tax effect and the monetary limits: a. Where any provision of the Act or the Rules or notification issued thereunder has been held to be constitutionally invalid, or b. Where any order, notification, instruction or circular of the Board or the Government has been held to be illegal or ultra vires the Act or otherwise constitutionally invalid, or c. Where the assessment is based on information in respect of any offence alleged to have been committed under any other law received from any of the law enforcement or intelligence agencies such as CBI, ED, DRI, SFIO, NIA, NCB, DGGI, state law enforcement agencies such as State Police, State Vigilance Bureau, State Anti-Corruption Bureau, State Excise Department, State Sales/Commercial Taxes or GST Department, or d. Where the case is one in which prosecution has been filed by the Department in the relevant case and the trial is pending in any Court or conviction order has been passed and the same has not been compounded, or e. Where strictures/adverse comments have been passed and/or cost has been levied against the Department of Revenue, CBDT or their officers, or f. Where the tax effect is not quantifiable or not involved, such as the case of registration of trusts or institutions under sections 10(23C), 12A/ 12AA/12AB of the Act, order passed u/s 263 of the Act etc. The reference to cases involving sections referred here, where it is not possible to quantify tax effect or tax effect is not involved, is for the purpose of illustration only.

g. Where addition relates to undisclosed foreign income/undisclosed foreign assets (including financial assets)/undisclosed foreign bank account, or h. Cases involving organized tax evasion including cases of bogus capital gain/loss through penny stocks and cases of accommodation entries, or i. Where mandated by a Court's directions, or j. Writ matters, or k. Matters related to wealth tax, fringe benefit tax, equalization levy and any matter other than the Income Tax Act, or l. In respect of litigation arising out of disputes related to TDS/TCS matters in both domestic and International taxation charges:- i. Where dispute relates to the determination of the nature of transaction such that the liability to deduct TDS/TCS thereon or otherwise is under question, or ii. Appeals of International taxation charges where the dispute relates to the applicability of the provisions of a Double Taxation Avoidance Agreement or otherwise m. Any other case or class of cases where in the opinion of the Board it is necessary to contest in the interest of justice or revenue and specified so by a circular issued by Board in this regard.

No exception as enumerated hereinabove has been shown to us. Therefore, this appeal is not maintainable in terms of said circular. In the result, the appeal stand dismissed as not maintainable in terms of above circular. However, a liberty is granted to the revenue to seek recall of the order if it is found that the issue is covered under any of the exception clause or the tax effect in the appeal exceeds the prescribed limit as provided in the Circular. 3. The appeal stand dismissed. Order pronounced on 04th May, 2026.

-Sd- -Sd- (LALIET KUMAR) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER

Dated: 04.05.2026 आदेश की �ितिलिप अ�ेिषत /Copy of the Order forwarded to : 1. अपीलाथ�/Appellant 2. ��थ�/Respondent 3. आयकरआयु�/CIT 4. िवभागीय�ितिनिध/DR 5. गाड�फाईल/GF

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