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Income Tax Appellate Tribunal, JAIPUR BENCHES, JAIPUR
Before: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM vk;dj vihy la-@ITA No. 343/JP/2017
आयकर अपीलीय अधिकरण] जयपुर न्यायपीठ] जयपुर IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES, JAIPUR Jh fot; iky jko] U;kf;d lnL; ,oa Jh foØe flag ;kno] ys[kk lnL; ds le{k BEFORE: SHRI VIJAY PAL RAO, JM & SHRI VIKRAM SINGH YADAV, AM vk;dj vihy la-@ITA No. 343/JP/2017 fu/kZkj.k o"kZ@Assessment Year : 2010-11 cuke Income Tax Officer M/s Seth Makhan Lal Mahawar Vs. (Exemption), Charitable Trust, Alwar. 54, Raghu Marg, Alwar (Raj) LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: AACTS 3005 K vihykFkhZ@Appellant izR;FkhZ@Respondent jktLo dh vksj ls@ Revenue by : Shri Jai Singh (JCIT) fu/kZkfjrh dh vksj ls@ Assessee by : Shri Manish Agarwal (CA.). lquokbZ dh rkjh[k@ Date of Hearing: 30/07/2018 mn?kks"k.kk dh rkjh[k@Date of Pronouncement : 30/07/2018 vkns'k@ ORDER
PER: VIKRAM SINGH YADAV, A.M.:
This appeal by the Revenue is directed against the order dated 07/02/2017 of CIT (A), Alwar for the assessment year 2010-11. The Revenue has raised the following grounds of appeal:-
“ 1. On the facts and circumstances of the case and in law the CIT(A) has erred in taking wrong interpretation of Section 11(1A) whereas he himself has confirmed action of AO of invoking the provisions of section 50C of the IT Act. 2. On the facts and circumstances of the case and in law the CIT(A) has erred in allowing deemed application u/s 11(1A), ignoring the failure of assessee in applying full value of consideration as per Section 50C for acquiring new asset for the charitable objects.
2 ITA No. 343/JP/2017 ITO Vs. M/s Seth Makhan Lal Mahawar Charitable Trust
Any other question of law as deemed fit in the facts and circumstances of the case may also be framed before the Hon’ble Tribunal in the interest of justice.” 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. The ld. A/R submitted that in the facts of the present case, tax effect in
Revenue’s appeal is stated to be Rs. 13,60,375/- on the addition of Rs.
67,63,760/- which is below the prescribed limit of Rs 20 lacs.
The ld. D/R has fairly submitted that the tax effect involved in the
Revenue’s appeal is 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.
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 11th dated 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 demand/tax effect does not
exceed Rs. 20 lacs. The circular is specifically mentioned to be applicable for
all pending appeals.
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
3 ITA No. 343/JP/2017 ITO Vs. M/s Seth Makhan Lal Mahawar Charitable Trust exceeding than 20 lacs should be either withdrawn or not pressed by the departmental representatives. 6. 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. 7. In the result, the appeal of the Revenue is dismissed.
Order pronounced in the open court on 30/07/2018.
Sd/- Sd/- ¼fot; iky jko½ ¼foØe flag ;kno½ (Vikram Singh Yadav) (Vijay Pal Rao) U;kf;d lnL;@Judicial Member ys[kk lnL;@Accountant Member Tk;iqj@Jaipur fnukad@Dated:- 30th July, 2018 *Ranjan आदेश की प्रतिलिपि अग्रेf’ात@ब्वचल वf जीम वतकमत वितूंतकमक जवरू 1. vihykFkhZ@The Appellant- The ITO, (Exemption), Alwar. 2. izR;FkhZ@ The Respondent- M/s Seth Makhan Lal Mahawar Charitable Trust, Alwar. 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. 343/JP/2017) vkns'kkuqlkj@ By order,
सहायक पंजीकार@Aेेज. त्महपेजतंत