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Facts
The Revenue preferred an appeal against the order of the CIT(A) which deleted additions, resulting in a tax effect of Rs. 57,85,771/-. The assessee contended that the tax effect was below the monetary limit for filing an appeal.
Held
The Tribunal found that the tax effect was below the monetary limit prescribed by CBDT Circular No. 05/2024. The appeal was deemed to have been withdrawn and was dismissed accordingly.
Key Issues
Whether the appeal is maintainable when the tax effect is below the monetary limit prescribed by the CBDT circular.
Sections Cited
143(3)
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Income Tax Appellate Tribunal, “C” BENCH, DELHI
Before: SHRI ANUBHAV SHARMA & SHRI KRINWANT SAHAY
This appeal is preferred by the Revenue against the order dated 29.04.2025 of the Commissioner of Income-tax (Appeals)-27, New Delhi (hereinafter referred as Ld. First Appellate Authority or in short Ld. ‘FAA’) in Appeals No. CIT(A), Delhi-27/10096/2021-22 arising out of the appeal before it against the order dated 06.07.2024 passed u/s 143(3) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) by the ACIT, Central Circle-18, Delhi (hereinafter referred to as the Ld. AO).
At the outset, Learned counsel appearing for the assessee submitted that the tax effect on the amount disputed by the Revenue in the present appeals are below the monetary limit of Rs.60,00,000/-. Hence, appeal is not maintainable.
On hearing both the sides we find that as per the grounds raised and tax effect reflected in Form No. 36, the Revenue challenges the order of the Ld. CIT(A) deleting the additions which have tax effect of Rs.57,85,771/- only and the same is below the tax effect which can be agitated before this Tribunal.
Learned Departmental Representative fairly accepted the aforesaid factual position. However, he submitted, liberty may be granted to Revenue to revive the appeal, in case, subsequently it is found that the tax effect on the amount disputed is more than Rs.60,00,000/- or the appeal is covered by any of the exceptions provided to the tax effect circular.
We find that the tax effect on the amount disputed by the Revenue in the present appeal is below the monetary limit of Rs.60,00,000/- fixed in CBDT Circular No. 05/2024 dated 15.03.2024 for filing an appeal before the Tribunal. There is nothing on record to suggest that the appeal of Revenue is protected by any of the exceptions to the aforesaid circular. Thus, in our view, the present appeal is covered under CBDT Circular no. 05/2024 dated 15.03.2024. Accordingly, the appeal is deemed to have been withdrawn, hence, dismissed. However, liberty is granted to the Revenue to seek revival of the appeal if protected under any of the exceptions provided to the Circular noted above.
The appeals of the revenue are dismissed as low tax involved.
Order pronounced in the open Court on 21.11.2025