ITO, CORPORATE WARD -2 (2),, CHENNAI vs. M/S. GOLECHA GLOBAL FINANCE LTD.,, WEST BENGAL

This appeal filed by the Revenue is directed against order of the learned Commissioner of Income Tax (Appeals)-6, Chennai, dated 24.06.2019 and pertain to assessment year 2011-12.

It is stated before us that the tax effect in the above appeal 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 the 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 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, the appeal stands dismissed.

In the result, appeal filed by the Revenue is dismissed. Order pronounced in the open court on 11th March, 2021