What did the Tribunal hold?

The Tribunal held that the CBDT Circular No. 17/2019, which increased the monetary limit for filing appeals to Rs. 50 lakhs and instructed withdrawal of appeals below this limit, is binding on the Revenue. Therefore, the Revenue cannot proceed with these appeals.

The Revenue filed appeals before the ITAT for assessment years 2010-11 to 2016-17. The tax effect in these appeals was less than Rs. 50 lakhs.

What were the issues?

Whether the CBDT circular regarding the monetary limit for appeals is binding on the Revenue and if appeals with tax effect below the limit should be dismissed.

ACIT vs Dr. Madan Mohan Reddy | ITAT Chennai 2019

Income Tax Appellate Tribunal, ‘D’ BENCH, CHENNAI

Before: SHRI N.R.S. GANESAN & SHRI INTURI RAMA RAO

Hearing: 29.08.2019Pronounced: 03.09.2019

आदेश /O R D E R

PER N.R.S. GANESAN, JUDICIAL MEMBER:

These appeals of the Revenue are directed against the common order passed by the Commissioner of Income Tax (Appeals) -19, Chennai, dated 29.06.2018 and pertain to assessment years 2010-11 to 2016-17.

On hearing the Ld. Departmental Representative, we find that the tax effect in these cases 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 these appeals. Accordingly, these appeals stand dismissed.

In the result, all the appeals filed by the Revenue stand dismissed.

Order pronounced in the court on 3rd September, 2019 at Chennai.

ACIT CENTRAL CIRCLE 3(1), CHENNAI vs. DR. MADAN MOHAN REDDY, CHENNAI

What did the Tribunal hold?

What were the facts?

What were the issues?

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