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Facts
The Revenue filed two appeals against orders of the CIT(A) for A.Y. 2014-15 and 2015-16. The tax effect in both appeals was found to be significantly below the monetary threshold specified by the CBDT for filing appeals.
Held
The appeals are not maintainable because the tax effect is below the monetary threshold set by the CBDT, and no exceptions justifying maintainability were demonstrated by the Departmental Representative.
Key Issues
Whether the appeals filed by the Revenue are maintainable before the ITAT when the tax effect is below the prescribed monetary threshold as per CBDT Circulars?
Sections Cited
Section 113 of the Income Tax Act, 1961
AI-generated summary — verify with the full judgment below
IN THE INCOME TAX APPELLATE TRIBUNAL, DIVISION BENCH, JODHPUR HEARING THROUGH: VIRTUAL MODE BEFORE: SHRI. LALIET KUMAR, JM & DR. MITHA LAL MEENA, AM 2023 Assessment Year : 2014-15 The ITO Vs. Balesar Kray Vikray Sahakari Phalodi-342301 Samiti Limited Rajasthan 1, Bus Stand, Balesar, Jodhpur- 342023, Rajasthan PAN NO: AACAB1751C Appellant Respondent ITA No. 383/Jodh/ 2023 Assessment Year : 2015-16 The ITO Vs. Kailash Chandra Garg W 1 1 21/817 Chopasani Housing Jodhpur- 342001 Board, Jodhpur, Rajasthan- Rajasthan 342008 PAN NO: AAQPG4990D Appellant Respondent Assessee by : Ms. Damini Baid, C.S. / LL.B Revenue by : Shri Karni Dan, Addl. CIT (Sr. D.R) Date of Hearing : 21/05/2025 Date of Pronouncement : 02/06/2025 आदेश/Order PER LALIET KUMAR, J.M:
These two appeals have been filed by the Revenue against the separate orders of the Ld. CIT (A), NFAC, for A.Y. 2014-15 and 2015-16, respectively.
At the outset, it was brought to our notice that the tax effect involved in both these appeals is below the monetary threshold specified by the Central Board of Direct Taxes (CBDT) for filing appeals before the Income Tax Appellate Tribunal.
As per the latest CBDT Circular No. 09/2024 dated 17/09/2024, the monetary limit for filing appeals before the ITAT by the Revenue has been revised to Rs. 60,00,000/-. Upon perusal of the records, it is observed that the tax effect in the present appeals is significantly below the said threshold:
In (A.Y. 2014-15), the disputed tax is Rs.1,46,710/-. In ITA No. 383/Jodh/2023 (A.Y. 2015-16), the assessed income is Rs.11,08,963/- and there is no tax demand raised, indicating that even on notional basis, the tax effect is below Rs. 60,00,000/-.
The Ld. Departmental Representative has not placed on record any material to demonstrate that the case falls within any of the exceptions carved out in the Circular, which would justify the maintainability of these appeals despite low tax effect.
In view of the above, we hold that these appeals are not maintainable and are liable to be dismissed on account of low tax effect.
Accordingly, both the appeals filed by the Revenue are dismissed.
In the result, both the appeals of the Revenue are dismissed.