INCOME-TAX OFFICER,, PUNE vs. PUNDALIK BABURAO MURKUTE,, PUNE

Shri Chandrasekhar L.S. appearing on behalf of the assessee submitted at the outset that the appeal of Revenue is liable to be dismissed on account of low tax effect in terms of recent CBDT Circular No. 17/2019, dated 08-08-2019. The ld. AR of the assessee furnished calculation of tax effect involved in the appeal as Rs.33,78,513/-, including Surcharge and Education Cess. Thus, the tax effect on the addition is less than Rs.50 Lakhs.

The ld. AR further submitted that the assessee does not wish to pursue the appeal and hence, may be permitted to withdraw the same.

Ms. Shabana Parveen representing the Department fairly admitted that in the present appeal by the Department tax effect is less than Rs.50 Lakhs. The ld. DR further submitted that the Department has no objection if the assessee wishes to withdraw his appeal.

Both sides heard. The Revenue is in appeal against the order of Commissioner of Income Tax (Appeal) in allowing the benefit of deduction u/s. 54B of the Act to the assessee. Undisputedly, the tax effect involved

Before parting, we clarify here that the Revenue shall be at liberty to approach the Tribunal for restoration of appeal, with the requisite material to show that the appeal is protected by the exceptions prescribed in Para 10 of the Circular dated 11-07-2018 and its amendment dated 20-08-2018.

The assessee furnished a note giving calculations of tax effect involved in the appeal by the Revenue. In the same note, it is also mentioned that the assessee wishes to withdraw the appeal. The relevant extract of the same is reproduced as under : “Appeal No. 1856/PN/2017 This is an appeal preferred by the appellant assessee for the same assessment year and the appellant assessee would like not to press the grounds of appeal raised and would like to withdraw the appeal.”

Thus, in view of the statement made by ld. AR, the appeal of assessee is dismissed as withdrawn.

In the result, the appeal of assessee and Revenue are dismissed.