DCIT CORPORATE CIRCLE 1(2), CHENNAI vs. CONSUL NEOWATT POWER SOLUTION PVT. LTD., CHENNAI

PER G.MANJUNATHA, AM: This appeal filed by the Revenue and cross objection filed

by the assessee are directed against order passed by the

learned Commissioner of Income Tax (Appeals)-4, Chennai,

dated 02.01.2018 and pertains to assessment year 2014-15.

that the cross objection filed by the assessee is time barred by

6 days for which necessary petition for condonation of delay

along with affidavit explaining the reasons for the delay has

2 ITA No. 1291/Chny/2018 & C.O.No.103/Chny/2018

been filed. The AR further submitted that the assessee could

not file cross objection within the time allowed under the Act,

due to the fact that there was delay in appointing tax

consultants which caused delay of 6 days. The delay in filing

cross objection is neither intentional nor willful, but for the

unavoidable reasons, therefore, he prayed that delay may be

condoned in the interest of advancement of substantial

justice.

condonation of delay petition filed by the assessee submitted

that the reasons given by the assessee do not come within the

ambit of reasonable and bonafide reasons, which can be

considered for condonation of delay and hence, cross

objection filed by the assessee may be dismissed as not

maintainable.

by the assessee for condonation of delay, we are of the

considered view that reasons given by the assessee for not

filing the cross objection within the time allowed under the

Act comes under reasonable cause as provided under the Act

for condonation of delay and hence, delay in filing of cross

3 ITA No. 1291/Chny/2018 & C.O.No.103/Chny/2018

objection is condoned and cross objection filed by the

assessee is admitted for adjudication.

is less than Rs. 50 lakhs and therefore, the Circular No. 17 of

2019 dated 08.08.2019 issued by the Central Board of Direct

Taxes (CBDT) in exercise of its power vested under section

268A(1) of the Income Tax Act, 1961 comes into play wherein,

the monetary limit for filing the appeal by the Revenue before

the ITAT and various High Courts as well as Apex Court are

revised with an object of the reducing the tax litigation. In the

said circular, it is stated that in cases where the tax effect in the

appeal to be filed before the Appellate Tribunal does not

exceed Rs. 50 lakhs appeals should not be filed. Thus, taking

note of CBDT Circular No. 17 of 2019 dated 08.08.2019 and

considering the fact that the tax effect in the instant appeal is

less than Rs. 50 lakhs, the present appeal deserves to be

dismissed as not pressed / not maintainable. However, we

make it clear that issues raised in the instant appeal is left open

to be examined in the appropriate proceedings, if arises, in

future. At the same time, we also make it clear that if the appeal

4 ITA No. 1291/Chny/2018 & C.O.No.103/Chny/2018

fall in any of the exceptions referred to in the above said CBDT

Circular, the Revenue is at liberty to move an application for

recalling the order, if so advised. Accordingly, in the light of

CBDT circular No. 17 of 2019 dated 08.08.2019, this appeal

stands dismissed. Since, the appeal filed by the Revenue itself

is dismissed, the cross objection filed by the assessee becomes

infructuous and accordingly, the Cross Objection is also

dismissed.

objection filed by the assessee are dismissed. Order pronounced in the open court on 28th March, 2022

Sd/- Sd/- (वी. दुगा� राव) ( जी. मंजुनाथ ) ( V.Durga Rao) ( G.Manjunatha ) #या�यक सद&य /Judicial Member लेखा सद&य / Accountant Member

चे#नई/Chennai, )दनांक/Dated 28th March, 2021 DS आदेश क� ��त+ल,प अ-े,षत/Copy to: 1. Appellant 2. Respondent 3. आयकर आयु.त (अपील)/CIT(A) 4. आयकर आयु.त/CIT 5. ,वभागीय ��त�न2ध/DR 6. गाड� फाईल/GF.