What did the Tribunal hold?

The Tribunal held that the CBDT Circular No. 17/2019, which increased the monetary limit for filing appeals before the ITAT, is binding on the Department. Therefore, the Revenue cannot proceed with the appeal.

The Revenue filed an appeal before the ITAT against an order of the CIT(A) for AY 2012-13. The tax effect in the appeal was less than Rs. 50 lakhs.

What were the issues?

Whether the CBDT Circular increasing the monetary limit for appeals is binding on the Revenue and if an appeal with a tax effect below the limit should be dismissed.

ITO vs Smt. Shameembe | ITAT Chennai 2020

Income Tax Appellate Tribunal, ‘A’ BENCH, CHENNAI

Before: SHRI N.R.S. GANESAN & SHRI RAMIT KOCHAR

Hearing: 20.12.2019Pronounced: 02.01.2020

आदेश /O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER:

This appeal of the Revenue is directed against the order passed by the Commissioner of Income Tax (Appeals)–5, Chennai dated 15.05.2019 and pertains to the assessment year 2012-13.

On hearing the ld. Departmental Representative, we find that the tax effect in this case is less than `50 lakhs. The CBDT in its Circular No.17/2019 dated 08.08.2019 increased the monetary limit for filing appeal before this Tribunal and instructed its officers to withdraw all the appeals pending before the ITAT where the tax effect is less than `50 lakhs. This Tribunal is of the considered opinion that this Circular of CBDT is binding on the officers of the Department. Therefore, the Revenue cannot proceed further in this appeal. Accordingly, this appeal stands dismissed.

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

Order pronounced in the court on 2nd January, 2020 at Chennai.

ITO, NCW - 6 (2), CHENNAI vs. SMT. SHAMEEMBE, CHENNAI

What did the Tribunal hold?

What were the facts?

What were the issues?

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