ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE - 6(3)(1), BENGALURU vs. SRI C. ASWATHANARAYANA, DEVENAHALLI

It is stated before us that the tax effect in these cases is less than Rs. 20 lakhs and therefore the Circular No. 3/2018 dated 11/07/2018 issued by the Central Board of Direct Taxes (CBDT) in exercise of its power vested under Sec. 268A(1) of the Income-tax Act,1961 comes into play wherein, the monetary limit for filing the appeals by Revenue before the ITAT and various High Courts as well as Apex Court are revised with an object of reducing the tax & 1699/Bang/2018 Page 2 of 2 litigation. Vide para 3 of the said circular (supra) it is stated that in cases where the tax effect in the appeals to be filed before the Appellate Tribunal does not exceed Rs. 20 lakhs, appeals should not be filed. Thus taking note of CBDT Circular No. 03/2018, dated 11/07/2018 and considering the fact that the tax effect in the instant appeal is less than Rs. 20 lakhs, the present appeal deserves to be dismissed as not pressed/not maintainable. However, we make it clear that the issues raised in the instant appeal are left open to be examined in the appropriate proceedings, if arise, in future. At the same time we also make it clear that if the appeal fall in any of the exceptions referred to in the above said CBDT Circular, the Revenue is at liberty to move an application for recalling the order if so advised.