ITO, MEERUT vs. MR. SHAH KHALID, MEERUT

None appeared on behalf of the assessee. Therefore, the miscellaneous application is being disposed off on the basis of material available on record and after hearing the Ld. DR.

The Ld. DR pointed out that the tax effect involved in the instant appeal filed by the revenue is Rs.11,13,266/- and therefore, the order passed by the Tribunal dismissing the appeal on account of low tax effect in view of CBDT Circular No.21/2015 dated 10.12.2015 deserves to be recalled and the appeal should be decided on merit.

After hearing the Ld. DR and on perusal of the material available on record, we find that the tax effect involved in the appeal filed by the revenue is admittedly above Rs.10 lacs. Therefore, a mistake has been crept in the order of the Tribunal for which we recall the order of the Tribunal.

The miscellaneous application filed by the revenue is accordingly allowed.

After hearing the Ld. DR and on perusal of the orders of the authorities below, we find that the tax effect involved is admittedly below Rs.20 lacs. In view of the CBDT Circular No.03/2018 [F.No.279/Misc.142/2007-ITJ (Pt.)] dated 11.07.2018 raising the monetary limit to Rs.20,00,000/- for filing of the appeal by the department before ITAT the appeal of the revenue is not maintainable. As per para 3 of the said circular it is also clarified that the pending appeals of the department before ITAT having monetary limit of Rs. 20,00,000/- or less will be treated as withdrawn. Since in the instant case the tax effect involved is admittedly below Rs. 20,00,000/-, therefore, in view of the latest CBDT Circular cited (supra) the appeal filed by the revenue is dismissed on account of low tax effect.

In the result, the miscellaneous application filed by the revenue is allowed and appeal filed by the revenue is dismissed.