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Income Tax Appellate Tribunal, MUMBAI BENCH “J”, MUMBAI
Before: Shri C.N.PRASAD & Shri G MANJUNATHA
O R D E R Per G MANJUNATHA, AM:
This appeal filed by the Revenue is directed against order of the CIT(A)- 22, Kolkota dated 22/12/2017 and it pertains to AY 2003-04.
We have heard both the parties and perused materials available on record. During course of hearing, ld. AR for the assessee submitted that tax effect involved in this appeal filed by the revenue is less than Rs. 50
2 ITA 3975/Mum/2018 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, on the other hand submitted that, tax effect involved in this appeal is less than Rs. 50 lacs, however, he 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 relcall 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 ciruclar no.17/2019 dated 08/08/2019 and had enhanced monetary 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
3 ITA 3975/Mum/2018 filed by the revenue as not maintainable. We, further noted that the ITAT, Ahmedabad ‘A’ Bench in ITA.No. 1398/Ahd/2004, vide order dated 14/08/2019 had passed detailed order considering the 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 intact, 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. We, further naoted that the CBDT had issued a clarification and stated that the new circular is applicable from retrospective effect. 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 of Ahmedabad ‘A’ Bench decision in ITA.No. 1398/Ahd/2004, vide order dated 14/08/2019, 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.
4 ITA 3975/Mum/2018
In the result, appeal filed by the Revenue is dismissed.
Order pronounced in the open court on 03 September, 2019