DCIT 1(2)(1), MUMBAI vs. KAIRAV CHEMOFARBE INDUSTRIES LTD, MUMBAI

PDF · subscribers
ITA 3824/MUM/2017Status: DisposedITAT Mumbai09 October 2019AY 2013-143 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal dismissed the appeal filed by the Revenue. It held that the appeal was not maintainable in view of the CBDT circulars enhancing the monetary limits for filing appeals.

What were the facts?

The Revenue filed an appeal before the ITAT, Mumbai, for AY 2013-14. The tax effect involved in the appeal was less than Rs. 50 lacs.

What were the issues?

The primary issue was the maintainability of the Revenue's appeal before the ITAT, considering the tax effect and the prevailing CBDT circulars on monetary limits for appeals.

Which sections of the Income-tax Act were involved?

Not Applicable

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “I”, BENCH MUMBAI

Before: SHRI M. BALAGANESH, AM & SHRI AMARJIT SINGH, JM

For Appellant: Shri Prakash Pandit
For Respondent: Ms. Neha Thakur (Sr. DR), Shri Prakash Pandit
Hearing: 09/10/2019Pronounced: 09/10/2019

O R D E R PER AMARJIT SINGH (J.M): This appeal filed by the Revenue is directed against order of the CIT(A)- 2, Mumbai dated 27/02/2017 and it pertains to AY 2013-14.

2.

We have heard the Ld. Representative of the parties and perused the 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. 3/2018 dated 11-7-2018, and also modified 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 provided under clause (e) of subsequent circular and therefore, if required the revenue shall be allowed to file miscellaneous application to re-call the order. We, find that, the CBDT, recently had issued a circular no. 3/2018 dated 11-7-2018, superseding its earlier circular no. 21/2015 and enhanced monetary limit for filing appeal before various appellate authorities and accordingly, enhanced monetary limit to Rs.20,00,000/- for filing appeal before the Tribunal. Further, the board has issued one more circular vide Circular no.17/2019 dated 08/08/2019 and enhanced monetary ITA No3824/M/2017 A.Y.2013-14 limit for filing appeal before appellate Tribunal to Rs. 50,00,000/-. 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. 3/2018 dated 11-7-2018 and 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, dismissed appeal filed by the revenue as not maintainable. We, further noted that the Co-ordinate bench of ITAT, Ahmedabad ‘A’ Bench in vide order dated 14/08/2019 has passed detailed order considering new circular issued by the CBDT and held that except amendment to para 3 of the circular No.3/2018 dated 11/07/2018, all other portions of the circular No.03/2018 (supra) have remain in fact, therefore, this circular is applicable even for pending appeals and accordingly, rejected the arguments of the revenue that the effect of the circular shall come into force from the date of issue of this circular. Therefore, considering the facts and circumstances of this case and also taken note of circulars issued by the CBDT including circular No. 17/2019 dated 08/08/2019, and also by following the decision of Co-ordinate Bench, we dismissed appeal filed by the revenue as not maintainable. However, we keep open option to the revenue to file a miscellaneous application, if 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.

Recent GST High Court judgments

Search GST case law →