The revenue filed an appeal before the Income Tax Appellate Tribunal (ITAT) against an order of the CIT(Appeals). The tax effect in this appeal was less than Rs. 50 lakhs.

What were the issues?

Maintainability of revenue's appeal before the ITAT due to low tax effect as per CBDT circular.

ITO vs M/S Hamara Shelters Pvt Ltd | ITAT Bangalore 2020

Q: What did the Tribunal hold?

The ITAT held that in view of CBDT Circular No. 17/2019, the revenue cannot file appeals before the Tribunal where the tax effect is less than Rs. 50 lakhs. Therefore, the appeal was dismissed.

Income Tax Appellate Tribunal, “B” BENCH : BANGALORE

Before: SHRI N.V. VASUDEVAN & SHRI B R BASKARAN

For Appellant: Shri Priyadarshini Mishra, JCIT(DR)(ITAT), Bengaluru

Hearing: 27.02.2020Pronounced: 18.03.2020

Per N.V. Vasudevan, Vice President

This appeal is by the revenue against the order dated 02.11.2018 of the CIT(Appeals)-3, Bangalore for the assessment year 2015-16.

Admittedly, the tax effect in this appeal by the revenue is less than Rs.50 lakhs. In view of the CBDT in Circular No.17/2019, dated 08.08.2019, the revenue cannot file appeals before the Tribunal where the tax effect is less than Rs.50 lakhs. Since the tax effect in the present appeal is less than Rs.50 lakhs, this appeal of the revenue is liable to be dismissed as not maintainable. Accordingly, the appeal of the revenue is dismissed.

In the result, the revenue’s appeal is dismissed.

Pronounced in the open court on this 18th day of March, 2020.

Sd/- Sd/-

( B R BASKARAN ) ( N V VASUDEVAN ) ACCOUNTANT MEMBER VICE PRESIDENT Bangalore, Dated, the 18th March, 2020.

INCOME TAX OFFICER WARD-3(1)(3), BANGALORE vs. M/S HAMARA SHELTERS PVT LTD, BANGALORE

What did the Tribunal hold?

What were the facts?

What were the issues?

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