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Facts
The Revenue filed appeals and the assessee filed cross-objections against the CIT(A)'s orders for Assessment Years 2013-14 & 2016-17 under section 153A of the Act. The assessee argued that the tax effect on the disputed amount in the Revenue's appeals was below the monetary limit of Rs. 60,00,000/-, as per CBDT Circular no. 05/2024, making the appeals not maintainable.
Held
The Tribunal determined that the tax effect on the disputed amount in the Revenue's appeals was indeed below the monetary limit specified by CBDT Circular no. 05/2024. Consequently, the Revenue's appeals were deemed withdrawn and dismissed, and the assessee's cross-objections were dismissed as infructuous, with liberty for the Revenue to revive appeals if covered by exceptions to the circular.
Key Issues
Whether appeals filed by the Revenue are maintainable if the tax effect is below the monetary limit prescribed by CBDT circulars.
Sections Cited
153A
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Income Tax Appellate Tribunal, “H” BENCH, DELHI
Before: MS. MADHUMIT ROY & SHRI BRAJESH KUMAR SINGH
The present appeals filed by the revenue and cross objections filed by the assessee are directed against the order passed by the CIT(A)-30, arising out of the Assessment Order for A.Y. 2013-14 & 2016-17 u/s 153A of the Act.
At the outset, learned counsel appearing for the assessee submitted that the tax effect on the amount disputed by the Revenue in the present appeal is below the monetary limit of Rs.60,00,000/-. Hence, appeal is not maintainable.
Learned Departmental Representative fairly accepted the aforesaid factual position. However, he submitted, liberty may be granted to Revenue to revive the appeal, in case, subsequently it is found that the tax effect on the amount disputed is more than Rs. 60,00,000/- or the appeal is covered by any of the exceptions provided to the tax effect circular.
We have considered the rival submissions and perused the materials on record. After perusing the respective orders of the departmental authorities and the facts mentioned in the memorandum of appeal filed in Form No. 36, we find that the tax effect on the amount disputed by the Revenue in the present appeal is below the monetary limit of Rs.60,00,000/- fixed in CBDT Circular no. 05/2024 dated 15.03.2024 for filing an appeal before the Tribunal. There is nothing on record to suggest that the appeal of Revenue is protected by any of the exceptions to the aforesaid circular. Thus, in our view, the present CO.147/Del/2022 DCIT, Cc-31 Vs. M/s SRC Buildtech Pvt.Ltd. appeal is covered under CBDT Circular no. 05/2024 dated 15.03.2024. Accordingly, the appeal is deemed to have been withdrawn, hence, dismissed. However, liberty is granted to the Revenue to seek revival of the appeal is protected under any of the exceptions provided to the Circular noted above.
In view of the appeals being dismissed due to low tax effect the Cross Objections in respect of the same appeals is found to be erroneous and hence, dismissed as infructous.
Order pronounced in the open Court on 25.11.2024