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Income Tax Appellate Tribunal, MUMBAI BENCHES “SMC”, MUMBAI
Before: SHRI A.K. GARODIA
This appeal is filed by the Revenue and the same is directed against the order of the Commissioner of Income Tax(Appeals)-30, Mumbai, dated 26-02-2018 for the AY. 2012-13.
At the outset, Ld. AR of the assessee argued that in this appeal, there is low tax effect and hence, the same may be dismissed.
It was also pointed out by the Bench to the Ld. DR of the Revenue that the tax effect in the present case appears to be below Rs. 20 Lakhs.
In reply, the Ld. DR of the Revenue could not show that the tax effect in this appeal is more than Rs. 20 Lakhs.
Therefore, the CBDT Circular No. 03/2018 dated 11-07-2018 comes into play, wherein, the monetary limit for filing the appeals by the Revenue before the ITAT and various High Courts as well as Apex Court are revised with an object of reducing the tax 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 this 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, I make it clear that the issues raised in the instant appeal are left open to be examined in the appropriate proceedings, if arises, in future. At the same time, I also make it clear that if the appeal falls 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.
Accordingly, in the light of CBDT Circular No. 03/2018 dated 11-07-2018, the present appeal is not maintainable and hence, dismissed.
In the result, the appeal of Revenue is dismissed.
Order pronounced in the open court on 1st day of February, 2019