What did the Tribunal hold?

The Tribunal dismissed the Revenue's appeal on the grounds of low tax effect, as per CBDT Circular No. 17/2019. Consequently, the assessee's cross objections were also dismissed as infructuous.

The Revenue filed an appeal against an order of the CIT(A). The assessee filed cross objections. The tax effect in the appeal was below Rs. 50 lakhs.

What were the issues?

Whether the Revenue's appeal is maintainable before the Tribunal given the low tax effect as per CBDT circular. The impact of dismissing the Revenue's appeal on the assessee's cross objections.

ITO vs Rsbl Jewels | s.143(3) | ITAT Mumbai 2020

Income Tax Appellate Tribunal, “D” BENCH, MUMBAI

Before: SHRI PRAMOD KUMAR & SHRI PAVAN KUMAR GADALE&

For Respondent: Shri Kiran Mehta, AR

Hearing: 09/12/2020Pronounced: 15/12/2020

आदेश / O R D E R PER PAVAN KUMAR GADALE - JM:

The Revenue has filed the appeal against the order of Commissioner of Income Tax (Appeals)-29, Mumbai passed u/s 143(3) and 250 of the Income Tax Act, 1961and the assessee has filed the Cross Objections.

Co. No.48/Mum/2019 RSBL Jewels, Mumbai - 2 - 2. At the time of hearing, it was brought to the knowledge of the Bench that, the tax effect in the present appeal is below Rs.50 lakhs, therefore covered by CBDT Circular No. 17/2019. We find as per the CBDT Circular dated 08.08.2019, no appeal shall be filed by the revenue before the Hon’ble Tribunal where the tax effect is below Rs 50 lakhs. Further the circular of the CBDT is also applicable to the pending cases. Accordingly, we dismiss the revenue appeals on maintainability and low tax effect.

Incase, if the revenue is able to provide evidence that the case falls under any of the exceptions provided in the circular issued by the CBDT. The revenue may prefer miscellaneous application for recalling of this order, if they so desire, in which circumstances, this order shall be recalled by the Hon’ble Tribunal.

Since, the revenue appeal is dismissed in , therefore, the cross objections filed by the assessee becomes infructuous and accordingly the same is dismissed as infructuous.

Co. No.48/Mum/2019 RSBL Jewels, Mumbai - 3 - 5. In the result, the appeal filed by the revenue and the cross objections filed by the assessee are dismissed.

Order pronounced in the open court on 15.12.2020

ITO 18(3)(2), MUMBAI vs. RSBL JEWELS, MUMBAI

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What were the facts?

What were the issues?

Which sections of the Income-tax Act were involved?

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