DCIT 14(1)(1), MUMBAI vs. ASREC (INDIA) LTD, MUMBAI

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ITA 4319/MUM/2015Status: DisposedITAT Mumbai22 March 2017AY 2011-123 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that the appeal was not maintainable as per CBDT Circular No. 21/2015, which mandates that appeals with a tax effect below a certain limit should not be filed or should be withdrawn. The Revenue was granted liberty to seek recall if circumstances changed.

What were the facts?

The Revenue filed an appeal before the ITAT. Both the Revenue and the assessee agreed that the tax effect in the appeal was less than Rs. 10 lacs. This amount falls below the monetary limit specified by the CBDT for filing appeals.

What were the issues?

Whether an appeal filed by the Revenue is maintainable when the tax effect is below the prescribed monetary limit by the CBDT. Applicability of CBDT circulars to pending appeals.

Which sections of the Income-tax Act were involved?

CBDT Circular No. 21/2015

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “A” BENCH, MUMBAI

Before: SHRI D T GARASIA & SHRI RAMIT KOCHAR

आदेश / O R D E R PER Ramit Kochar, Accountant Member :

1.

This appeal filed by the Revenue is decided vide this order as the appeal is disposed of because tax effect in this appeal is less than Rs. 10 lacs as per the CBDT Circular No. 21/2015, F. No. 279/Misc.142/2007-ITJ (Pt) dated 10th December, 2015 issued by Central Board of Direct Taxes, Department of Revenue, Ministry of Finance, Government of India.

ITA 4319/M/2015 2

2.

The learned counsel for the assessee stated that the tax effect in this appeal is less than Rs. 10 lacs. The ld. D.R. also submitted and confirmed that tax effect involved in this appeal is less than Rs. 10 lacs and the CBDT Circular No. 21/2015 is applicable to this appeal and this appeal is not maintainable/not pressed in terms of CBDT circular no 21/2015 dated 10/12/2015. The ld. DR submitted that as per the latest CBDT Circular No. 21/2015, F. No. 279/Misc.142/2007-ITJ (Pt) dated 10th December, 2015 issued by Central Board of Direct Taxes, Department of Revenue, Ministry of Finance, Government of India, no appeal shall be filed by the Revenue in respect of an assessment year or years in which the tax effect is less than the monetary limit specified in para 3 of the circular Para 3 of the Circular No. 21/2015

S No. Appeals in Income tax Monetary Limit matters (in Rs) 1 Before Appellate Tribunal 10,00,000/- 2 Before High Court 20,00,000/- 3 Before Supreme Court 25,00,000/- In the said circular vide para 10, it is stipulated that this instruction will apply retrospectively to pending appeals and appeals to be filed henceforth in High Courts/Tribunals. Pending appeals below the specified tax limits in may be withdrawn/not pressed.

3.

Keeping in view the CBDT Circular No. 21/2015 dated 10th December, 2015 which is applicable from retrospective effect and is also applicable to pending appeals and also in view of DR stating before us that these appeal is now not maintainable/not pressed in view of the above CBDT Circular, we hold that the appeal covered by this order filed by the Revenue involving tax effect less than Rs. 10 lacs is not maintainable. The same is, therefore, dismissed at the threshold. However, the Revenue is at liberty to file an ITA 4319/M/2015 3 application for recall of this appeal if at any stage Revenue wants to agitate the matter in accordance with the provisions/clauses as contained in the afore-stated circular.

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