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Income Tax Appellate Tribunal, IN THE INCOME TAX APPELLATE TRIBUNAL
Before: SHRI PRAMOD KUMAR BEFORE SHRI PRAMOD KUMAR & BEFORE SHRI PRAMOD KUMAR & SHRI K. NARASIMHA CHARY SHRI K. NARASIMHA CHARYSHRI K. NARASIMHA CHARY SHRI K. NARASIMHA CHARY
The appeal by the Revenue and the cross-objection by the assessee for the assessment year 2012-13 are directed against the order of learned CIT(A)-14, New Delhi dated 27th March, 2017.
2 ITA-3430/Del/2017 & CO-160/Del/2017
At the time of hearing before us, we find prima-facie that the appeal of the Revenue is hit by CBDT instruction no.3 of 2018 dated 11.08.2018 whereby the Board has prohibited its subordinate authorities from filing of the appeal before the Tribunal against the order of the CIT(A) where the tax effect by virtue of the relief given by the CIT(A) is less than `20 lakhs. The instructions have been made applicable with retrospective effect, meaning thereby, these instructions are applicable on pending appeals also. In the present case, the tax effect on the quantum disputed by the Revenue does not exceed Rs.20 lakhs. Therefore, the present appeal of the Revenue is hit by the CBDT Circular and hence not maintainable. Further, learned Departmental Representative has not pointed out whether the case of the Revenue falls within the ambit of exceptions provided in the Circular or not. Thus, keeping in view the above CBDT circular and provisions of section 268A of the Income Tax Act, we are of the view that the present appeal of the Revenue deserves to be dismissed. It is accordingly dismissed.
However, it is observed that, in case on re-verification at the end of the Assessing Officer it comes to the notice that the tax effect is more or Revenue’s case falls within the ambit of exceptions provided in the Circular, then the Department will be at liberty to approach the Tribunal for recall of this order. Such application should be filed within the time period prescribed in the Act. In view of the above, the appeal of the Revenue is dismissed due to low tax effect.
Since we have already dismissed the appeal of the Revenue due to low tax effect, the cross-objection of the assessee has become infructuous and is, accordingly, dismissed.
3 ITA-3430/Del/2017 & CO-160/Del/2017
In the result, the appeal of the Revenue as well as the cross- objection of the assessee is dismissed. Decision pronounced in the open Court on 31st July, 2019.