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Income Tax Appellate Tribunal, “A” BENCH, MUMBAI
IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, MUMBAI BEFORE SRI MAHAVIR SINGH, JM AND SRI N.K. PRADHAN, AM (A.Y:2010-11) Dy. Commissioner of Income Tax, M/s Abhinav Builders, 22(3), 3rd Floor, Tower No.6, C/o Prakash Jhunjhunwala Vashi Railway Station Complex, C.A.5, Jolly Bhawan NO.2,7, Vs. Vashi, Navi Mumbai-400703 New Marine Lines, Churchgate Mumbai-400020 PAN No.AABFA1351P Appellant .. Respondent CO No.53/Mum/2016 (In A.Y: 2010-11) M/s Abhinav Builders, Dy. Commissioner of Income Tax, 22(3), 3rd Floor, Tower No.6, C/o Prakash Jhunjhunwala C.A.5, Jolly Bhawan NO.2,7, Vashi Railway Station Complex, Vs. New Marine Lines, Churchgate Vashi, Navi Mumbai-400703 Mumbai-400020 PAN No.AABFA1351P Appellant .. Respondent Revenue by .. Shri. Morya Pradeep, DR Assessee by .. Shri. Prakash Jhunjhunwala, AR Date of hearing .. 03-01-2017 Date of pronouncement .. 03-01-2017 O R D E R PER MAHAVIR SINGH, JM:
This appeal by the Revenue and Cross Objection by assessee are arising out of the order of CIT(A)-33, Mumbai, in appeal No. CIT(A)-33/IT189/12-13 dated 18-07-2014. The Assessment was framed by ACIT Circle-22(3), Mumbai for the A.Y. 2010-11 vide order dated 31-12-2012 u/s 143(3) of the Income Tax Act, 1961 (hereinafter ‘the Act’).
At the outset, the learned Counsel for the assessee has filed working of tax effect reads as under: - Working of Tax effect on relief allowed in 1st Appeal Tax on assessed income Rs. 20,27,923/- (30.90% on Rs.65,62,858/-) Less: Tax on income as reduced by issue involved in appeal Rs.11,12,556/- (30.90% on 36,00,504/-)(65,62,858-29,62,354=36,00,504) Tax on disputed issue Rs.9,15,367/- (30.90% on Rs.29,62,354) Additions made by Ld AO- Rs.37,02,942 Addition deleted by ld CIT(A) Rs.7,40,588 Disputed issue Rs.29,62,354
During the course of hearing before us, the learned Counsel for the assessee, pointed out that in this case, the net tax demand is Rs.9,15,367/- on which relief is granted by CIT(A) and thus, the tax effect in this appeal is below Rs.10.00 lacs. The learned Counsel for the assessee further submitted that in view of the CBDT Circular No.21/2015, dated 10.12.2015 brought out by the Central Board of Direct Taxes, Department of Revenue, Ministry of Finance, Government of India, the appeal was not maintainable and be dismissed. The learned Sr. DR also agreed to the facts stated by the learned Counsel for the assessee and could not point out whether this case falls under any of the exception provided in the Circular.
We have heard the rival submissions and perused the material on record. We find from the records before us that the tax involved in the disputed issue is below Rs.10 lacs and therefore, in view of the circular No. 21/2015 dated 10th December, 2015 no appeal should be filed by the Revenue before the Tribunal which has tax effect of Rs. 10.00 lacs or less and this circular is also applicable retrospectively to all pending appeals. The relevant extract the said CBDT Circular (Supra) is as under: - “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 para 3 above may be withdrawn/not pressed. Appeals before the Supreme Court will be governed by the instructions on this subject, operative at the time when such appeal was filed.” Considering the above, the appeal filed by the Revenue, is therefore, dismissed. 5. As regards to the Cross Objection of the assessee, learned Counsel for the assessee stated that this is only supportive of the order of CIT(A) and hence, the same can be dismissed. Accordingly, the CO of the assessee is dismissed. 6. In the result, the appeal of Revenue as well as Cross Objection of assessee, both are dismissed. Order pronounced in the open court on 03-01-2017.