THE DCITM CENTRAL CIRCLE-1(4), AHMEDABAD vs. SHRI BHUDARJI MAFATJI THAKOR , AHMEDABAD

PDF · subscribers
ITSSA 544/AHD/2019Status: DisposedITAT Ahmedabad20 September 2024AY 2012-133 pages
AI SummaryDismissed

What did the Tribunal hold?

The Tribunal decided the Revenue's appeal based on the admitted low tax effect. The Judicial Member and Accountant Member noted that the tax effect of Rs. 52,76,287/- was well below the Rs. 60 lakhs threshold mentioned in the Finance Act 2024 for pursuing Departmental appeals, as per CBDT Circular No. 09/2024. Following this circular, the Revenue's appeal was dismissed on the ground of low tax effect, without delving into the merits of the case. Liberty was granted to the Department to revive the appeal if the tax effect increased or if any exclusions mentioned in CBDT Circular No. 09/2024 and Circular No. 5/2024 applied. Regarding the Cross Objection filed by the assessee, the learned counsel stated that the grounds of appeal were not being pressed. Accordingly, the Cross Objection was also dismissed.

What were the facts?

The Revenue, represented by the Dy. Commissioner of Income Tax, Central Circle-1(4), Ahmedabad, filed an appeal (IT(SS)A No: 544/Ahd/2019) against the order dated 23.09.2019 passed by the Commissioner of Income Tax (Appeals)-11, Ahmedabad. This order arose from an assessment made under section 143(3) r.w.s. 153C of the Income Tax Act, 1961, for the Assessment Year 2012-13. The assessee, Shri Bhudarji Mafatji Thakor, filed a Cross Objection (C.O. No: 40/Ahd/2020) against the Revenue's appeal. The tax effect in the Revenue's appeal was stated to be Rs. 52,76,287/-.

What were the issues?

1. Whether the Revenue's appeal is maintainable before the Tribunal, considering the tax effect and the prevailing CBDT Circulars regarding withdrawal of appeals. (Question of law) Assessee's Contention: The assessee did not press the grounds of appeal raised in their Cross Objection. Revenue's Contention: The Revenue admitted that the tax effect in the appeal was Rs. 52,76,287/-, which is below the threshold stipulated in the Finance Act 2024 for pursuing Departmental appeals before the Tribunal, as per CBDT Circular No. 09/2024. Consequently, the Revenue sought dismissal of its own appeal on the grounds of low tax effect.

Which sections of the Income-tax Act were involved?

Section 143(3),Section 153C,Section 268A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, AHMEDABAD “B” BENCH

Before: Shri T.R. Senthil Kumar & Shri Narendra Prasad Sinha

आदेश/ORDER

PER : T.R. SENTHIL KUMAR, JUDICIAL MEMBER:-

The above appeal is filed by the Revenue as against the appellate order dated 23.09.2019 passed by the Commissioner of

I.T(SS).A No. 544/Ahd/2019 & C.O. No. 40/Ahd/20 A.Y. 2012-13 Page No 2 DCIT Vs Shri Bhudarji Mafatji Thakor

Income Tax (Appeals)-11, Ahmedabad arising out of the assessment order passed under section 143(3) r.w.s. 153C of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) relating to the Assessment Year 2012-13, whereas the assessee filed Cross Objection against the above Department appeal.

2.

At the outset, Ld. CIT-DR admitted that the Tax Effect in this case is Rs. 52,76,287/- which is well below Rs. 60 lakhs as per the new Low Tax Effect withdrawal of Revenue appeals as contemplated in the Finance Act 2024 for pursuing Department appeal before the Tribunal. Following CBDT Circular No. 09/2024 dated 17-09-2024 issued u/s. 268A of the Income Tax Act, the Department appeal is dismissed on Low Tax Effect without going into the merits of the case. However liberty is given to the Department to revive the above appeal, in the event if the Tax Effect in the above case is higher or any of the exclusion as mentioned in the CBDT Circular No. 09/2024 and Circular No. 5/2024 dated 15-03-2024.

3.

In the result, the appeal filed by the Revenue is hereby dismissed.

C.O. No. 40/Ahd/2020

4.

Ld. Counsel submitted that she is not pressing the Grounds of Appeal in the C.O. raised by the assessee.

I.T(SS).A No. 544/Ahd/2019 & C.O. No. 40/Ahd/20 A.Y. 2012-13 Page No 3 DCIT Vs Shri Bhudarji Mafatji Thakor

5.

Recording the same, the C.O. No. 40/Ahd/2020 filed by the Assessee is hereby dismissed.

Order pronounced in the open court on 20-09-2024

Sd/- Sd/- (NARENDRA PRASAD SINHA) (T.R. SENTHIL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Ahmedabad : Dated 20/09/2024 आदेश क� ��त�ल�प अ�े�षत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से,

उप/सहायक पंजीकार आयकर अपील�य अ�धकरण, अहमदाबाद

More judgments on Section 153C

All 9,619 judgments and leading authorities on Section 153C →

Recent GST High Court judgments

Search GST case law →