ITO, DEHRADUN vs. SMT. USHA GUPTA, DEHRADUN

The Revenue through these Miscellaneous Applications requests the Tribunal to recall the exparte orders passed by it dismissing the appeals filedby the Revenue on account of low tax effect.

Ld. DR, referring to the contents of the miscellaneous application, submitted that the tax effect involved in the grounds raised by the revenue is more than Rs. 20 lacs. The Tribunal, however, has dismissed the appeal filed by the revenue by relying on the CBDT Circular No.3/2018 dated 11.07.2018 on the ground that the tax effect involved in the appeal filed by the revenue is below Rs. 20 lacs. He accordingly submitted that a mistake has crept in the order of the Tribunal which requires rectification.

Ld. Counsel for the assessees, on the other hand, conceded that the tax effect involved in the grounds raised by the revenue is above Rs.20 lacs and, therefore, a mistake has crept in the order of the Tribunal. They further submitted that in view of the recent CBDT circular No.17/2019 dated 08.08.2019 wherein the CBDT has raised the monetary limit to Rs.50 lacs for filing of the appeals by the Revenue before the Tribunal,the appeals of the Revenue are not maintainable and have to be dismissed.

We have gone through the record in the light of the submissions made on either side. We find the tax effect involved in the grounds raised by the Revenue in all these appeals is Rs. 20 lacs. Therefore, a mistake has crept in the order of the Tribunal by dismissing the appeal on account of low tax effect by relying on the CBDT circular No.3/2018 dated 11.07.2018. We, therefore, recall the orders of the Tribunal and the miscellaneous applications filed by the revenue are allowed.

The miscellaneous applications filed by the revenueare accordingly allowed. , 3635/Del/2017, 4328/Del/2018 & 1091/Del/2017 6. After hearing both the sides we find the tax effect involved in the grounds raised by the Revenue in all these appeals is admittedly below Rs.50 lacs. The CBDT vide circular No.17/2019 dated 08.08.2019 has raised the monetary limit for filing of the appeals by the revenue before the Tribunal to Rs.50 lacs. Further the CBDT vide notification dated 20.08.2019 has held that the above circular is applicable even to pending appeals. Since the monetary limit involved in the grounds raised by the revenuein all these appeals is admittedly below Rs.50 lacs, therefore, in view of the CBDT circular and subsequent notification by CBDT (cited supra) the appeals filed by the Revenue are not maintainable. Accordingly, the same are dismissed.

In the result, the appeals filed by the revenue are dismissed.