I.T.O., JANJGIR CHAMPA vs. SMT SUMITRA SINGH, JANJGIR-CHAMPA (C.G.)

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ITA 108/BIL/2015Status: DisposedITAT Raipur19 January 2018AY 2005-063 pages
AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that the CBDT Circular No. 21/2015, which increased the monetary limit for filing appeals to the ITAT to Rs. 10 lakhs, is binding on the department. Therefore, the appeal was not maintainable.

What were the facts?

The Revenue filed an appeal against an order of the CIT(A) for AY 2005-2006. The assessee contended that the tax effect in the appeal was below Rs. 10 lakhs, making it non-maintainable as per CBDT Circular No. 21/2015.

What were the issues?

Whether the appeal filed by the Revenue is maintainable given the tax effect below the prescribed monetary limit as per CBDT circular.

Which sections of the Income-tax Act were involved?

Section 40(a)(ia),Section 194C,Section 44AB

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, RAIPUR BENCH, RAIPUR

For Appellant: Shri R.B.Doshi , AR
For Respondent: Shri O.P.Chaudhary, DR, Shri R.B.Doshi , AR
Hearing: 19/01/2018Pronounced: 19/01/2018

Per Shri N.S.Saini, AM: This is an appeal filed by the Revenue against the order of the CIT(A), Bilaspur, dated 14.04.2015 for the assessment year 2005-2006. 2. The Revenue has taken the following grounds of appeal :- 1 Whether the Ld. CIT (A) is justified in deleting the addition made by the AO by deciding the issue that sec. 40 (a)(ia) of the IT Act, 1961 has mention the individual in the list of specified person from 01.06.2007. 2. Whether the Ld. CIT (A) is justified in ignoring the proviso inserted with effect from 01.06.2002 below sub section 2 of section 194C that an individual or Hindu Undivided Family has to deduct tax at source in case total turn-over or gross receipt exceeds the specified limit u/s 44AB. Sec. 40(4)(ia) of the IT Act provides that expenditure on which tax is deductible at source under chapter XVII-B shall not be allowable if the assessee had failed to make such deduction of tax at source.

3.

The appellant craves for leave to raise the grounds of appeal.

3.

At the time of hearing the AR of the assessee filed a computation showing that the tax effect in the present appeal filed by the Revenue is below Rs.10 lakhs. He submitted that in view of the CBDT Circular No.21/2015, dated 10th December, 2015, appeal filed by the Revenue is not maintainable and, hence, liable to be dismissed.

2

4.

On the other hand, ld.DR for the Revenue has not controverted the submissions of ld.AR of the assessee that tax effect in the present appeal of the Revenue was below Rs.10 lakhs. We find that the CBDT in Circular No.21/2015, dated 10th

5.

December, 2015, has stated that, as a measure for reducing litigation, it was increasing the monetary limits for filing of appeals by the department before the ITAT and High Courts and SLP before the Supreme Court. The said limit for not filing appeal to the Tribunal was fixed at Rs.10 lakhs. The CBDT has further stated that the said instruction shall apply retrospectively to pending appeals and that all appeals below the specified tax limits should be withdrawn/not pressed. However, appeals before the Supreme Court are to be governed by the limits operative at the time that the appeal was filed. The said Circular of the CBDT is binding on the officers of Income Tax Department. In view of this, we hold that the present appeal of the Revenue before the Tribunal is not maintainable and, hence, we dismiss the same in limine.

6.

In the result, appeal filed by the Revenue is dismissed. Order pronounced in the Court on Friday, the 19th Day of January, 2018 at Raipur. (PAVAN KUMAR GADALE) (N. S. SAINI) न्याययक सदस्य / JUDICIAL MEMBER ऱेखा सदस्य / ACCOUNTANT MEMBER Raipur; ददन ांक Dated 19/01/2018 प्र.कु.मि/PKM, Senior Private Secretary आदेश की प्रयिलऱपि अग्रेपिि/Copy of the Order forwarded to : अऩीऱ थी / The Appellant- 1. प्रत्यथी / The Respondent- 2. आयकर आयुक्त(अऩीऱ) / The CIT(A), 3. आयकर आयुक्त / CIT 4. 3 विभ गीय प्रतततनधध, आयकर अऩीऱीय अधधकरण, Raipur / DR, ITAT, Raipur 5. ग र्ड प ईऱ / Guard file. 6. सत्य वऩत प्रतत ////

आदेशानुसार/ BY ORDER, (Senior Private Secretary) Income Tax Appellate Tribunal, Raipur

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