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Income Tax Appellate Tribunal, ‘B’ BENCH, CHENNAI
Before: SHRI V.DURGA RAO & SHRI G.MANJUNATHA
PER G.MANJUNATHA, ACCOUNTANT MEMBER:
This appeal filed by the Revenue and Cross Objection filed by the assessee are directed against the order of the Commissioner of Income Tax (Appeals)-19, Chennai dated 17.07.2018 and they pertain to the assessment year 2013-14.
It is stated before us that the tax effect in this case 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 appeals 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 appeals 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.
C.O. No.8/Chny/2019:
We find that there is a delay of 8 days in filing cross objection filed by the assesee, for which necessary petition along with affidavit has been filed for condonation of delay. The reasons given by the assessee for not filing cross objection within the time allowed under the Act is under a bonafide belief. Therefore, we condone the delay in filing cross objection filed by the assessee and admit the same.
Since, we dismissed the appeal of the Revenue as not maintainable on account of low tax effect, the cross objection filed by the assessee does not survive and accordingly Cross Objection filed by the assessee is dismissed.
In the result, the appeal filed by the Revenue and Cross Objection by the assessee are dismissed. Order pronounced in the open court on 29th September, 2020