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Facts
The appeal emanates from an order for AY 2013-14. The assessee's representative highlighted that the tax effect was below Rs. 60 lacs, citing previous orders for the same assessee. The Revenue requested disposal on merit.
Held
The Tribunal followed a previous order concerning the same assessee and a similar low tax effect. The appeal was dismissed due to the low tax effect, in line with CBDT Circular No. 09/2024.
Key Issues
Whether the appeal should be dismissed on the grounds of low tax effect, as per CBDT circulars, even when the Revenue requests disposal on merit.
Sections Cited
250, 153A, 143(3), 268A
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Income Tax Appellate Tribunal, “B” BENCH” KOLKATA
vs. Bhagwan Das Agarwal, 21, Hemant Basu Sarani, Dalhousie - 700001 ..............…..…..................... Respondent [PAN: AFJPA9084Q] Appearances by: Assessee represented by : Devesh Poddar, AR Department represented by : P.N. Barnwal, CIT-DR Date of concluding the hearing : 28.01.2025 Date of pronouncing the order : 17.02.2025 ORDER PER SANJAY AWASTHI, ACCOUNTANT MEMBER:
The present appeal emanates from the order of the Ld. Commissioner of Income Tax, Kolkata-21 [hereinafter referred to as “the Ld. CIT(A)”] passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for AY 2013-14, dated 29.02.2024, which has been passed against the assessment order u/s 153A/143(3) of the Act. 1.1 In this case, the Ld. AR pointed out, right at the outset, that this matter was pertaining to a tax effect of below Rs. 60 lacs. In fact, he placed on record two orders of the same assessee passed by the co-ordinate Bench, in which one of us was a co-author, to stress upon the fact that for the present appeal also, the same line has to be followed.
We find that order relied upon by the Ld. AR pertains to dated 04.11.2024 in the case of the very same assessee, in which the following finding has been given:
“3. It is seen, at the outset, that the tax effect on the disputed additions before us is less than Rs. 60 lakhs as prescribed in the CBDT’s latest Circular No. 09/2024 dated 17.09.2024 for filing appeals by the Revenue before this Tribunal. 3.1. This circular prescribes that the revised monetary limits shall apply retrospectively to pending appeals as well.
The ld. DR has also fairly stated that tax effect involved in appeals are less than the prescribed limit.
In view of above stated position, the appeals of the Revenue are dismissed u/s 268A of the Act because of tax effect lower than the prescribed limits as per CBDT Circular No. 09/2024 (supra).
In case, at a later stage, it is found that these appeals are indeed covered under ‘exceptions’ then the department would be at liberty to move the ITAT with an MA for appropriate considerations.” 2.1. Considering that this matter has an identical set of facts regarding low tax effect we follow the order from which portions have been extracted (supra) and dismiss this appeal with the directive that in case at a later stage, it is found that this appeal is indeed covered under ‘exceptions’ then the department would be at liberty to move the ITAT with an MA for appropriate consideration.
In the result, all the appeals filed by the Revenue is dismissed. Order pronounced in the court 17.02.2025.