Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, CHANDIGARH BENCH ‘A’, CHANDIGARH
Before: SMT.DIVA SINGH & SMT.ANNAPURNA GUPTA
आदेश/ORDER Per Annapurna Gupta, Accountant Member:
This appeal has been preferred by the Revenue against the order of the Commissioner of Income Tax (Appeals)-I, Ludhiana [(in short ‘CIT(A)’] dated 29.8.2014 relating to
2 ITA No.963/Chd/2014 A.Y. 2011-12
assessment year 2011-12, passed u/s 250(6) of the Income
Tax Act, 1961 (hereinafter referred to as ‘Act’).
The above appeal was earlier heard on 11.7.2019 but
before the order could be pronounced the CBDT issued a
Circular enhancing the monetary limit for filing appeals by
the Department to the I.T.A.T. from Rs.20 lacs to Rs.50 lacs
vide its Circular No.17/2019 dated 8.8.2019. In view of the
same and since the tax effect involved in this appeal
appeared to be less than Rs.50 lacs, the appeal was fixed for
hearing again for seeking clarification from both the parties
on 28.8.2019. On the said date the Ld.Counsel for the
assessee submitted a tax calculation with respect to the
appeal reflecting the tax effect involved in the appeal being
less than Rs.50 lacs.
The Ld. DR fairly conceded to this fact and also agreed
that the appeal was liable to be withdrawn on account of the
recent CBDT Circular.
In view of the above, since the present appeal
admittedly stands covered within the monetary limit
specified by the CBDT for filing the appeals by the
Department to the I.T.A.T., the same stands dismissed as
3 ITA No.963/Chd/2014 A.Y. 2011-12
withdrawn. Moreover, we have considered the impact of the
impugned CBDT Circular in pending appeals in the case of
ACIT Vs. M/s Alchemist Ltd. in ITA Nos. 1142 &
1143/Chd/2012 dated 26.8.2019 wherein we have held that
the said Circular applies to the pending appeals also. Our
discussion on this aspect at paras 4 and 5 of our order as
under:
“4. We have considered the contentions of the parties before us and have also gone through the CBDT Circular No.17/2019 dated 8/8/19, and have noted the enhancement in monetary limits for filing appeal by the department to the ITAT to Rs.50 lacs from the earlier limit of Rs. 20 lacs which was specified vide Circular No.3/2018.We have also noted that the CBDT has vide this circular modified only para 3 and 5 of its earlier circular No.3/2018 leaving all other para’s intact. Para 13 of the earlier circular dealt with applicability of the circular retrospectively to pending appeals also and read as under: “13. This Circular will apply to SLPs/appeals/ cross objections/ references to be filed henceforth in SC/HCs/Tribunal and it shall also apply retrospectively to pending SLPs/ appeals/cross objections/ references. Pending appeals below the specified tax limits in para 3 above may be withdrawn/ not pressed.” 5. Since this para has not been modified by the recent circular, the enhanced monetary limits specified in the recent circular will apply to the pending appeals also. In view of the CBDT Circular No. 17/2019 (supra) read alongwith Circular No.3/2018,the present appeals of the Revenue is dismissed due to low tax effect.”
4 ITA No.963/Chd/2014 A.Y. 2011-12
In view of CBDT Circular No.17/2019 dated 8.8.2019 read alngwith Circular No.3/2018, the present appeal of the Revenue is dismissed due to low tax effect.
It is, however, clarified that the dismissal of the above appeal shall not be taken to be affirmation of the order of the CIT(A) on merits. The legal issue raised by the Revenue is being left open to be adjudicated in an appropriate case.
In the result, the Departmental appeal is dismissed.
Order pronounced in the Open Court.
Sd/- Sd/- �दवा �संह अ�नपूणा� गु�ता (DIVA SINGH) (ANNAPURNA GUPTA) �याय�क सद�य/Judicial Member लेखा सद�य/Accountant Member �दनांक /Dated: 29th August, 2019 *रती* आदेश क� ��त�ल�प अ�े�षत/ Copy of the order forwarded to : 1. अपीलाथ�/ The Appellant 2. ��यथ�/ The Respondent 3. आयकर आयु�त/ CIT 4. आयकर आयु�त (अपील)/ The CIT(A) 5. �वभागीय ��त�न�ध, आयकर अपील�य आ�धकरण, च�डीगढ़/ DR, ITAT, CHANDIGARH 6. गाड� फाईल/ Guard File
आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar