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Facts
The Revenue filed an appeal against the order of the CIT(A) for Assessment Year 2017-18. There was a delay of 16 days in filing the appeal, which was condoned by the tribunal. The tax effect involved in the appeal was Rs. 20,00,000, which is less than the Rs. 60 lakhs limit set by a recent CBDT circular.
Held
The tribunal noted that the tax effect was below the monetary limit specified in CBDT Circular No. 09 of 2024, which advises against filing appeals below Rs. 60 lakhs. Therefore, the appeal was deemed not maintainable.
Key Issues
Whether the appeal filed by the Revenue is maintainable in light of the tax effect being below the threshold set by CBDT Circular No. 09 of 2024.
Sections Cited
143(3), 147, Income-tax Act, 1961
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Income Tax Appellate Tribunal, ‘A’ BENCH: CHENNAI
Before: SHRI SS VISWANETHRA RAVI & SHRI JAGADISH
आदेश / O R D E R
PER JAGADISH, A.M : Aforesaid appeal filed by the Revenue for Assessment Year (AY) 2017-18 arises out of the order of Learned Commissioner of Income Tax, National Faceless Appeal Centre (NFAC), Delhi [hereinafter “CIT(A)”] dated 15.06.2024 in the matter of assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) r.w.s 147 of the Income-tax Act, 1961 (hereinafter “the Act”).
There is a delay of 16 days in filing the appeal by the Revenue.
The Revenue has filed condonation petition/affidavit stating the reasons for delay in filing the appeal. We have considered the petition of delay in filing the appeal and satisfied that there was sufficient cause for not filing the appeal within the prescribed time limit. Hence, the delay is condoned accordingly.
It was stated before us that the tax effect involved in the above appeal is Rs.20,00,000/- which is less than Rs. 60 lakhs. The CBDT vide Circular No.09 of 2024 dated 17.09.2024 has increased the monetary limit for filing the appeal by the Revenue before the ITAT to Rs. 60 Lakhs. In the said circular, it is stated that in cases where the tax effect in the appeal to be filed before the Appellate Tribunal does not exceed Rs. 60 lakhs appeals should not be filed. Thus, taking note of CBDT Circular No.09 of 2024 dated 17.09.2024 and considering the fact that the tax effect in the instant appeal is less than Rs. 60 lakhs, the present appeal deserves to be dismissed as withdrawn/not maintainable. However, we make it clear that the issues raised in the instant appeal is left open to be examined in the appropriate proceedings, if arises, in future. At the same time, we also make it clear that if the appeal fall in any of the exceptions referred to in the above said CBDT Circular, the Revenue is at liberty to move an application for recalling the order, if so advised. Accordingly, in the light of CBDT circular No. 09 of 2024 dated 17.09.2024, this appeal stands dismissed.
In the result, the appeal filed by the Revenue is dismissed.
Order pronounced on 06th December, 2024.