What did the Tribunal hold?

The Tribunal held that the appeal filed by the Revenue was not maintainable due to the tax effect being below the prescribed monetary limit. The Tribunal dismissed the appeal but kept open the option for the Revenue to file a miscellaneous application if the issue fell under exceptions in the circular.

The Revenue filed an appeal before the ITAT. The tax effect involved in the appeal was less than Rs. 50 lacs, which was the enhanced monetary limit for filing appeals before the Tribunal as per CBDT circular No. 17/2019.

What were the issues?

The primary issue was whether the Revenue's appeal was maintainable given the tax effect was below the monetary limit stipulated by the CBDT circular for filing appeals before the Tribunal.

ACIT vs M/S.Dicitex Furnishings Private… | ITAT Mumbai 2020

Income Tax Appellate Tribunal, MUMBAI BENCH “D”, MUMBAI

Before: Shri SAKTIJIT DEY & Shri G MANJUNATHA

For Appellant: Smt. Jyotilakshmi Nayak, DR

Hearing: 23.01.2020

O R D E R Per G MANJUNATHA, AM :

This appeal filed by the Revenue is directed against order of the Commissioner of Income tax (Appeals)-16, Mumbai, dated 18/07/2018 and it pertains to AY 2015-16.

None appeared for the assessee. We have heard the Ld. DR and 2 ITA .No.5281/Mum/2018 Dicitex Furnishings Pvt.Ltd.

perused materials available on record. During course of hearing, ld. DR for the revenue submitted that tax effect involved in this appeal filed by the revenue is less than Rs. 50 lacs and in view of latest CBDT circular No. 17/2019 dated 08/08/2019, appeal filed by the revenue is not maintainable and needs to be dismissed. The Ld. DR, further argued that, the issue involved in this appeal is appears to be covered by exception as provided under clause (e) of subsequent circular and therefore, if required the revenue shall be allowed to file miscellaneous application to recall the order. We, find that, the CBDT, recently had issued a circular no. 17/2019 dated 08/08/2019, superseding its earlier circular no. 03/2018, dated 11/07/2018 and enhanced monetary limit for filing appeal before various appellate authorities and accordingly, enhanced monetary limit to Rs. 50,00,000/- for filing appeal before the Tribunal. Further, in the said circular, the CBDT had instructed its officer’s to file application for withdrawal of appeal already filed or not to pursue pending appeals. We, therefore, by taking into account the CBDT circular no.17/2019 dated 08/08/2019 and also considering the fact that tax effect involved in the present appeal is less than the amount of monetary limit fixed by the CBDT for not filing appeal before Tribunal, dismissed appeal filed by the revenue as not maintainable. However, we keep open option to the revenue to file a miscellaneous application, if 3 ITA .No.5281/Mum/2018 Dicitex Furnishings Pvt.Ltd. necessary, in case the issues involved in the present appeal comes within 3 exceptions as provided in para 10 of said circular and clause (e) of subsequent circular and if disputed tax involves exceeds threshold limit provided in CBDT circular.

In the result, appeal filed by the Revenue is dismissed.

Order pronounced in the open court on 29 .01.2020

ACIT CIRCLE-9(3)(1), MUMBAI vs. M/S.DICITEX FURNISHINGS PRIVATE LIMITED, MUMBAI

What did the Tribunal hold?

What were the facts?

What were the issues?

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