JCIT(TDS)(OSD)-2(3), MUMBAI vs. TATA COMMUNICATIONS LTD, MUMBAI

Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JUDICIAL MEMBER:

2. At the outset of hearing, the ld. Authorized representative (AR) of the assessee submitted that the tax effect involved in the present appeal is only Rs. 46,96,840/-, which is below the monetary limit of Rs.50,00,000/- prescribed by CBDT in its Circular No.17/2019 dated 8th August 2019. The ld. AR of the assessee further submits that admittedly the tax effect involved in the present appeal is less than Rs. 50,00,000/-. Therefore, the present appeal is squarely covered by the CBDT Circular No. 17/2019 dated 8th Mum 2018-M/s Tata Communication Ltd. August 2019 and is liable to be dismissed. The ld AR for the assessee further submits that dispute in the present appeal relates to short deduction of tax (TDS) for quarter -4 (Q-4) for assessment year 2007-08. And as per the statement downloaded from web-site of Income tax the net payable amount (default) by the assessee for relevant period is only Rs. 46,96,840/-. The ld AR for the assessee also filed copy of the statement downloaded from the web-site of revenue and furnished the copy to ld DR for the revenue.

3. On the other hand, the ld. Departmental Representative (DR) for the revenue after going through the grounds of appeal and the copy of the statement downloaded from the web-site of revenue and furnished by ld AR for the assessee, submitted that though the tax effect involved in the present appeal is less than the monetary limit of tax effect fixed by CBDT in a recent circular, however, the revenue may be given liberty to get the appeal revived in case at the later stage it is discovered that the tax effect involve in the present appeal is more than the prescribed limit in CBDT Circular No. 3/2018 dated 11th July 2018.

4. Considering the submissions of both the ld. representatives of the parties, we find that tax effect involved in the present appeal is less than the monetary limit of Rs. 50,00,000/- fixed by CBDT Circular No. 17/2019 dated 8th August 2019, therefore, the appeal of revenue is dismissed being not maintainable. However, the revenue is given liberty to get the appeal revived ITA No. 3949 Mum 2018-M/s Tata Communication Ltd. in case, if it is discovered that the present appeal is covered by any exception clause of CBDT Circular No.3/2018 dated 11th July 2018.