What did the Tribunal hold?

The Tribunal dismissed the Revenue's appeals due to a low tax effect, as it was below the monetary limit prescribed by recent CBDT circulars. The assessees' cross-objections were dismissed as withdrawn.

The Revenue filed appeals against orders of the CIT(Appeals) that deleted additions made to the assessees' income. The assessees also filed cross-objections. The appeals were consolidated for hearing.

What were the issues?

The primary issue was whether the Revenue's appeals should be dismissed on the grounds of low tax effect as per CBDT circulars.

DCIT vs M/S Rajesh Atlani, Raipur (Cg) | ITAT Raipur 2019

Income Tax Appellate Tribunal, RAIPUR BENCH, RAIPUR

Before: SHRI ANIL CHATURVEDI, AM & SHRI PARTHA SARATHI CHAUDHURY, JM

For Respondent: Shri R.K. Singh

Hearing: 07.11.2019Pronounced: 07.11.2019

आदेश / ORDER PER BENCH :

These 14 appeals by the Revenue and 8 Cross objections by the assessees relate to different assessees and differentassessment years.

The Ld. AR of the assessees submitted at the outset that all the appeals of Revenue are liable to be dismissed on account of low tax effect in terms of recent CBDT Circular No.17/2019 [F No.279/Mise.142/2007- ITJ (Pt)], dated 08-08-2019 read with Circular No.3 of 2018 dated 11.07.2018 revising the upward monetary limits for filing of appeals in Income Tax Cases before various Appellate Forums. The earlier CBDT

4 LTE 50 Lakhs group of cases

Circular No.03/2019 dated 11.07.2018 fixed monetary limit for filing of appeals before the Tribunal at Rs.20 Lakhs. Such limit has been enhanced in the recent CBDT Circular dated 08.08.2019 from Rs.20 lakhs to Rs. 50 Lakhs. Thus, the tax effect on the addition is less than Rs.50 Lakhs. Further, Ld. AR filed an application seeking permission to withdraw Cross Objections filed by assessee.

The Ld. DR fairly admitted that in the present appeals by the Department tax effect is less than Rs.50 Lakhs.

Both sides heard. The Revenue is in appeal against the respective orders of Ld. CIT(Appeals) in deleting the additions. Undisputedly, the tax effect involved in these appeals is less than the monetary limit prescribed by the recent CBDT Circular No.17/2019 [F No.279/Mise.142/2007-ITJ (Pt)] dated 08-08-2019 read with Circular No.3 of 2018 dated 11.07.2018 for filing of appeals before the Tribunal by the Department. The CBDT vide circular dated 08.08.2019 (supra.) has amended Para 3 of Circular No.3 of 2018 dated 11.07.2018 thereby enhancing monetary limit of tax effect from Rs.20 Lakhs to Rs.50 Lakhs for filing appeals by the Department before the Tribunal. Thus, without going into merit of the issues raised in the

5 LTE 50 Lakhs group of cases

appeals, in view of the CBDT Circular (supra), we dismiss all the appeals filed by the Revenue.

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.

Since all the appeals of Revenue are dismissed on low tax effect and in view of prayer for withdrawal of Cross Objectionsby Ld. AR, we accordingly, permit the Ld. AR to withdraw all the Cross Objections. Accordingly, all the Cross Objectionsare being dismissed as withdrawn.

In the combined result, all the appeals of the Revenue are dismissed and cross objections filed by the assessee are also dismissed.

Order pronounced in the Open Court on 7th November, 2019.

Sd/- Sd/- PARTHASARATHI CHAUDHURY ANIL CHATURVEDI JUDICIAL MEMBER ACCOUNTANT MEMBER रायपुर/ RAIPUR ; दिनाांक / Dated :7thNovember, 2019. GCVSR/SB

6 LTE 50 Lakhs group of cases

आदेश की प्रतिलऱपप अग्रेपिि / Copy of the Order forwarded to : 1. अपीऱार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The concerned CIT(A) 4. The concerned CIT 5.विभागीय प्रतितनधि, आयकर अपीऱीय अधिकरण,रायपुरबेंच, रायपुर / DR, ITAT, Raipur Bench, Raipur. गार्ड फ़ाइऱ / Guard File. 6.

आिेशानुसार / BY ORDER,

//True Copy// Senior Private Secretary आयकरअपीऱीयअधिकरण, रायपुर/ ITAT, Raipur.

7 LTE 50 Lakhs group of cases

Date 1 Draft dictated on 07.11.2019 Sr.PS/PS 2 Draft placed before author 07.11.2019 Sr.PS/PS 3 Draft proposed and placed JM/AM before the second Member 4 Draft discussed/approved by AM/JM second Member 5 Approved draft comes to the Sr.PS/PS Sr. PS/PS 6 Kept for pronouncement on Sr.PS/PS 7 Date of uploading of order Sr.PS/PS 8 File sent to Bench Clerk Sr.PS/PS 9 Date on which the file goes to the Head Clerk 10 Date on which file goes to the A.R 11 Date of dispatch of order

DY. C.I.T.2(1), RAIPUR (CG) vs. M/S RAJESH ATLANI, RAIPUR (CG)

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