DCIT, NEW DELHI vs. M/S. CORPERION IDEAL PVT. LTD., NEW DELHI

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ITA 4773/DEL/2012Status: DisposedITAT Delhi13 April 2017AY 2008-095 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal recalled its earlier order, allowing the Revenue's MA. Subsequently, in the main appeal, the Tribunal dismissed the Revenue's appeal as not maintainable because the tax effect was below the revised monetary limit of Rs. 50 lacs set by a new CBDT circular.

What were the facts?

The Revenue filed a Miscellaneous Application (MA) seeking rectification of an earlier order where their appeal was dismissed based on a low tax effect. The tax effect was later admitted to be above Rs. 10 lacs, contradicting the initial dismissal reason.

What were the issues?

Whether the Tribunal's earlier order dismissing the appeal due to low tax effect was a mistake, and if the current appeal is maintainable given revised CBDT monetary limits.

Which sections of the Income-tax Act were involved?

Not Applicable

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCHES “B” : DELHI

Before: SHRI ANIL CHATURVEDI & MS. ASTHA CHANDRA

Hearing: 22.07.2022Pronounced: 08.08.2022

Date of Hearing : 22.07.2022 Date of Pronouncement : 08.08.2022 ORDER PER ANIL CHATURVEDI, A.M. :

The above Miscellaneous Application by the Revenue [in short “M.A.”] arises out of the order dated 17.04.2017 passed by the Tribunal in ITA.No.4773/Del./ 2012 for the A.Y. 2008-09.

2 M.A.No.539/Del./2017 M/s. Corperion Ideal Pvt. Ltd., New Delhi.

2.

The Ld. DR, referring to the contents of the miscellaneous applications, submitted that the tax effect involved in the grounds raised by the Revenue was more than Rs. 10 lacs. The Tribunal, however, has dismissed the appeal filed by the Revenue by relying on the CBDT Circular No.21/2015 dated 10.12.2015 on the ground that the tax effect involved in the appeal filed by the revenue is below Rs.10 lacs. He accordingly submitted that a mistake has crept in the order of the Tribunal which requires rectification.

3.

The Ld. Counsel for the assessees, on the other hand, though conceded that the tax effect involved in the grounds raised by the Revenue is above Rs.10 lacs and, therefore, a mistake has crept in the order of the Tribunal but however submitted that in view of the recent CBDT circular No. 17/2019 dated 08.08.2019 wherein the CBDT has raised the monetary limit to Rs.50 lacs for filing of the appeals by the Revenue before the Tribunal, the appeal of the Revenue is not maintainable and has to be dismissed.

3 M.A.No.539/Del./2017 M/s. Corperion Ideal Pvt. Ltd., New Delhi.

4.

We have gone through the record in the light of the submissions made on either side. We find the tax effect involved in the grounds raised by the Revenue in this appeal is more than Rs.10 lacs. Therefore, a mistake has crept in the order of the Tribunal by dismissing the appeal on account of low tax effect by relying on the CBDT circular No. 21/2015 dated 10.12.2015. We, therefore, recall the order of the Tribunal and the miscellaneous application filed by the Revenue is allowed.

5.

In the result, the miscellaneous application filed by the Revenue is accordingly allowed.

6.

After hearing both the sides, we find the tax effect involved in the grounds raised by the Revenue in this appeal is admittedly below Rs.50 lacs. The CBDT vide circular No. 17/2019 dated 08.08.2019 has raised the monetary limit for filing of the appeals by the Revenue before the Tribunal to Rs.50 lacs. Further the CBDT vide notification dated 20.08.2019 has held that the above circular is applicable

4 M.A.No.539/Del./2017 M/s. Corperion Ideal Pvt. Ltd., New Delhi. even to pending appeals. Since the monetary limit involved in the grounds raised by the Revenue in this appeal is admittedly below Rs.50 lacs, therefore, in view of the CBDT circular and subsequent notification by CBDT (cited supra) the appeal filed by the Revenue is not maintainable. Accordingly, the appeal of the Revenue is dismissed.

7.

In the result, appeal of the Revenue is dismissed.

To sum-up, Miscellaneous Application filed by the Revenue is allowed and the appeal of the Revenue is dismissed.

Order pronounced in the open Court on 08.08.2022.

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