What did the Tribunal hold?

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

The Revenue filed an appeal before the ITAT for the assessment year 2012-13. The tax effect in the case was less than Rs. 50 lakhs.

What were the issues?

Whether the CBDT circular regarding monetary limits for appeals is binding on the Revenue and if the appeal should be withdrawn based on the tax effect.

DCIT vs S Albert & Co. Private Limited | ITAT Chennai 2019

Income Tax Appellate Tribunal, ‘B’ BENCH, CHENNAI

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

Pronounced: 05.12.2019

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)–15, Chennai dated 24.03.2017 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 2 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 open court on 5th December, 2019 at Chennai.

DCIT CORPORATE CIRCLE 6(1), CHENNAI vs. S ALBERT & CO. PRIVATE LIMITED, CHENNAI

What did the Tribunal hold?

What were the facts?

What were the issues?

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