What did the Tribunal hold?

The Tribunal held that as per CBDT Circular No. 3/2018, the revenue cannot file appeals before the Tribunal if the tax effect is less than Rs. 20 lakhs. Therefore, the appeal was not maintainable.

The revenue filed an appeal before the Income Tax Appellate Tribunal (ITAT) for the assessment year 2013-14. The tax effect in this appeal was less than Rs. 20 lakhs.

What were the issues?

Whether an appeal filed by the revenue with a tax effect less than Rs. 20 lakhs is maintainable before the ITAT.

ITO vs M/S Mangal Reality, Kalaburgai | ITAT Bangalore 2018

Income Tax Appellate Tribunal, “B” BENCH : BANGALORE

Before: SHRI N.V. VASUDEVAN & SHRI A.K. GARODIA

For Appellant: Shri Smt. Sree Nandini Das, Addl.CIT(DR)(ITAT), Bengaluru

For Respondent: Shri Sreehari Kutsa, CA

Hearing: 11.10.2018Pronounced: 11.10.2018

Date of hearing : 11.10.2018 Date of Pronouncement : 11.10.2018 O R D E R

Per N.V. Vasudevan, Judicial Member

This is an appeal by the revenue against the order dated 22.09.2017 of the CIT(Appeals), Gulbarga pertaining to assessment year 2013-14.

Admittedly, the tax effect in this appeal by the revenue is less than Rs.20 lakhs. In view of the CBDT Circular No.3/2018 dated 11.07.2018, the revenue cannot file appeals before the Tribunal where the tax effect is less than Rs.20 lakhs. Since the tax effect in the present appeal is less than Rs.20 lakhs, this appeal of the revenue is liable to be dismissed as not maintainable. Accordingly, the appeal of the revenue is dismissed.

In the result, the revenue’s appeal is dismissed.

Pronounced in the open court on this 11th day of October, 2018.

INCOME TAX OFFICER WARD-2, KALABURGAI vs. M/S MANGAL REALITY, KALABURGAI

What did the Tribunal hold?

What were the facts?

What were the issues?

Which sections of the Income-tax Act were involved?

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