DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-2(1), DAVANAGERE vs. SHRI. LAXMANDAS MOOLCHAND, CHITRADURGA

The Revenue has filed this appeal challenging the order dated 31.07.2017 passed by learned CIT(A), Davangere and it relates to Assessment Year 2011-12.

None appeared on behalf of the assessee. However, the learned DR submitted that the tax effect involved in the issues contested in the present appeal is less than 20 lakhs.

We heard the learned DR and perused the record. The Revenue is contesting the relief granted by learned CIT(A) in respect of additions relating to Page 2 of 2 cash deposits, unsecured loans and gifts received. The AO had made an addition of 66.19 lakhs in aggregate and the learned CIT(A) has granted relief to the tune of 59.51 lakhs. The Ld D.R submitted that the tax effect involved on the relief granted is less than 20 lakhs. Hence, as per Circular No. 3/2018 dated 11th July, 2018, the Revenue is precluded from pursuing this appeal. Accordingly, we dismiss this appeal of the Revenue in limine.

In the result, appeal of the Revenue is dismissed.