INCOME TAX OFFICER, WARD-1(3), AJMER vs. SHRI ATISH KAPOOR, PUNE

PDF · subscribers
ITA 728/JPR/2018Status: DisposedITAT Jaipur02 August 2018AY 2015-164 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that the appeal of the Revenue was not maintainable as the tax effect was below the threshold limit of Rs. 20 lacs as per CBDT Circular No. 3 of 2018. The circular directed that such appeals should not be filed or should be withdrawn.

What were the facts?

The Revenue filed an appeal against the CIT(A)'s order allowing indexation and exemption under Section 54. The assessee raised an objection regarding the maintainability of the appeal due to the tax effect being below the prescribed limit.

What were the issues?

Whether the departmental appeal is maintainable when the tax effect is below the monetary limit prescribed by the CBDT circular. Applicability of CBDT Circular No. 3 of 2018 to pending appeals.

Which sections of the Income-tax Act were involved?

Section 268A

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, JAIPUR BENCHES, JAIPUR

Before: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM vk;dj vihy la-@ITA. No. 728/JP/2018

Hearing: 01/08/2018Pronounced: 02/08/2018

PER: VIKRAM SINGH YADAV, A.M.

This is an appeal filed by the Revenue against the order of ld. CIT (A)- Ajmer dated 22.03.2018 for Assessment Year 2015-16 wherein the Revenue has taken the following sole grounds of appeal:- “On facts and in law, the Ld CIT(A), Ajmer erred in:-

1.

Allowing indexation from the FY 1981-82 by taking fair market value of residential property as on 01.04.1981 as cost of acquisition without appreciating the fact that the assessee has acquired the property on 15.08.2006 and not during the FY 1981-82. 2 ITO, Ward-1(3), Ajmer vs. Shri Atish Kapoor, Group Centre, Maharshtra

2.

Allowing the exemption u/s 54 of Rs. 10,69,308/- for investment in new residential house without appreciating the fact that the assessee failed to produce any invoice/bill and documentary evidence in support of claim and it has also not been proved that the cash available out of withdrawal of Rs. 18,04,305/- was actually utilized for the construction of the residential house, as held by the CIT(A).”

2.

At the time of hearing, the ld. AR of the assessee has raised an objection of maintainability of the appeal of the Revenue due to the tax effect not exceeding Rs. 20 lacs as per the CBDT Circle No. 3 of 2018 dated 11th

July, 2018. 2. 1. The ld. D/R has fairly submitted that the tax effect involved in the Revenue’s appeal comes to Rs 12,58,934 less than 20 lacs which is prescribed threshold limit in terms of the CBDT Circular No. 3/2018 dated 11th July, 2018

issued in supersession of its earlier Circular No. 21 of 2015 dated 10.12.2015. 3. We have heard the rival contentions and perused the materials

available on record. It is observed that the demand/ tax effect in the Revenue’s appeal in question is below Rs. 20.00 lacs . Under the powers

vested by section. 268A(1) of the I T Act, CBDT has recently issued Circular No. 3/2018 dated 11th July, 2018 (F No. 279/Misc.

142/2007-ITJ(Pt) instructing the authorities below that departmental appeal should not be filed before ITAT where the 3 ITO, Ward-1(3), Ajmer vs. Shri Atish Kapoor, Group Centre, Maharshtra demand/tax effect does not exceed Rs. 20 lacs. The circular is specifically mentioned to be applicable for all pending appeals.

4.

Subject to some exceptions, it is further directed by CBDT that all the departmental appeals pending before ITAT where the demand/tax effect is not exceeding than 20 lacs should be either withdrawn or not pressed by the departmental representatives.

5.

The present appeal is not covered by any exceptions mentioned in the said CBDT circular. Since the tax demand in dispute in this departmental

appeal is below the limit set out by CBDT for the appeal, the appeal of the assessee is not maintainable in view of CBDT Circular No. 3 of 2018 dated

11.07.

2018. Accordingly the appeal of the Department is dismissed as not pressed/withdrawn.

In the result, the appeal of the Revenue is dismissed.

Order pronounced in the open Court on 02/08/2018. ¼fot; ikWy jko½ ¼foØe flag ;kno½ (Vijay Pal Rao) (Vikram Singh Yadav) U;kf;d lnL;@Judicial Member ys[kk lnL;@Accountant Member Tk;iqj@Jaipur fnukad@Dated:- 02/08/2018 *Ganesh Kr. आदेश की प्रतिलिपि अग्रेf’ात@ब्वचल वf जीम वतकमत वितूंतकमक जवरू 1. vihykFkhZ@The Appellant- Income Tax Officer, Ajmer 2. izR;FkhZ@ The Respondent- M/s Atish Kapoor, Group Centre CRPF, Pune (Maharshtra)

4 ITO, Ward-1(3), Ajmer vs. Shri Atish Kapoor, Group Centre, Maharshtra 3. vk;dj vk;qDr@ CIT 4. vk;dj vk;qDr@ CIT(A) 5. विभागीय प्रतिनिधि] आयकर अपीलीय अधिकरण] जयपुर@क्त्ए प्ज्Aज्ए Jंपचनत. 6. xkMZ QkbZy@ Guard File { ITA No. 728/JP/2018} vkns'kkuqlkj@ By order, सहायक पंजीकार@Aेेज. त्महपेजतंत

More judgments on Section 268A

All 3,931 judgments and leading authorities on Section 268A →

Recent GST High Court judgments

Search GST case law →