What did the Tribunal hold?

The Tribunal noted that the tax effect was below the monetary limit of Rs. 20 lakhs as per CBDT instructions. Therefore, the appeal filed by the Revenue was not maintainable.

The Revenue filed an appeal against an order that deleted an addition of Rs. 33 lakhs on account of loans and interest. The assessee pointed out that the tax effect in the appeal was below the prescribed monetary limit for filing appeals.

What were the issues?

The primary issue was whether the Revenue's appeal was maintainable given the tax effect was below the prescribed monetary limit for appeals before the ITAT.

DCIT vs M/S.Amber Estate | ITAT Mumbai 2018

Income Tax Appellate Tribunal, MUMBAI BENCHES “SMC”, MUMBAI

Before: Shri Joginder Singh,

For Respondent: Shri S.K. Bepari-DR, Shri Rahul Hakani

Hearing: 08/10/2018

आदेश / O R D E R

The Revenue is aggrieved by the impugned order dated 22/12/2017 of the Ld. First Appellate Authority, Mumbai, deleting the addition of Rs.33 lakhs on account of loans and interest of Rs.2,18,071/-.

During hearing of this appeal, at the outset, Shri Rahul Hakani, ld. counsel for the assessee, pointed out that the tax effect in the present appeal is Rs.10,00,087/- filed by the Revenue, is below prescribed monetary limit of Rs.20 lakh. The ld. DR, Shri S. K. Bepari, did not controvert the factual matrix.

2.1. I have considered the rival submissions and perused the material available on record. In view of the above, it is noted that the tax effect in the present appeal is below prescribed limit of Rs.20 lakh, vide instruction/Circular No.3 of 2018, issued by CBDT (F No.279/Misc./142/ 2007-ITJ(PT) dated 11/07/2018. As

per the circular, wherein, the Department was advised/directed by the Board not to file appeal in the cases where the tax effect does not exceed the following monetary limit.:-

Sl. Appeals in Income –tax matters Monetary Limit (in Rs.) No. 1. Before ITAT 20,00,000/- 2. U/s 260 A before Hon’ble High 50,00,000/- Court 3. Before Hon’ble Supreme Court 1,00,00,000/-

In view of the above instruction, since, the tax effect is less than Rs.20,00,000/- (not controverted by Ld. DR also), consequently, the appeal of the Revenue is not maintainable, therefore, dismissed.

Finally, the appeal of the Revenue is dismissed.

This Order was pronounced in the open court in the presence of ld. representatives from both sides at the conclusion of the hearing on 08/10/2018.

DCIT CC-6(1), MUMBAI vs. M/S.AMBER ESTATE, MUMBAI

What did the Tribunal hold?

What were the facts?

What were the issues?

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