DCIT, NEW DELHI vs. M/S. CREATIVE DYEING & PRINTING MILLS PVT. LTD., NEW DELHI

ORDER

PER DIVA SINGH, JUDICIAL MEMBER

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1. The Ld.CIT(A) has erred in law and on facts in directing the AO to allow the set off of brought forward losses/unabsorbed depreciation without any verification or the satisfaction of the provisions of section 72 and section 79 of the I.T.Act.

2. The appellant crave leave for reserving the right to amend, modify, alter, add or forego any ground(s) of appeal at any time before or during the hearing of this appeal.”

2. It was a common stand of the parties before the Bench that the tax effect in the present appeal is well below Rs.10 lakh. We have considered the material available on record. We find that the appeal has been preferred by the Revenue in violation of Circular No.21/2015 dated 10th December, 2015 of CBDT. By the aforesaid circular the pecuniary limit for filing the appeal before the ITAT has been I.T.A .No.-6508/Del/2013 prescribed beyond Rs.10 lakh. Para 3 of the aforesaid Circular has been made applicable vide para 10 retrospectively. Considering the settled legal precedent that the Board’s instructions or directions issued to the Income Tax Authorities u/s 268A of the Income Tax Act, 1961 are binding on the authorities, we hold that the appeal is non-maintainable.

3. In view of the above discussion, the present appeal preferred by the Revenue in violation of CBDT Circular No.21/2015 (cited supra) is not maintainable and hence, the same is dismissed as such making it clear that since the present appeal has not been disposed of on merits, but due to the above reason, this order will not have any judicial precedence. Accordingly, the appeal of the Revenue is dismissed as non-maintainable.