DCIT 8(3), MUMBAI vs. SHINGAR P.L TD, MUMBAI

PDF · subscribers
ITA 4264/MUM/2013Status: DisposedITAT Mumbai29 September 2016AY 2008-093 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal dismissed the Revenue's appeal in limine. This was based on the admitted fact that the tax effect was below Rs. 10 Lakhs, and the issue did not fall under any exceptions in the relevant CBDT circular.

What were the facts?

The Revenue filed an appeal against the CIT(A)'s order for AY 2008-09. The appeal challenged the quashing of proceedings under Section 147 and the non-decision on MAT on Book Profit. The assessee argued the tax effect was below the CBDT circular limit.

What were the issues?

Maintainability of the Revenue's appeal due to low tax effect as per CBDT circular. Whether the CIT(A) erred in quashing proceedings under Section 147 and not deciding the MAT on Book Profit issue.

Which sections of the Income-tax Act were involved?

Section 147,Section 115JB

AI-generated summary — verify with the full judgment below

Cases cited in this judgment(1)Show list

Detected automatically from the text. Citations are also linked where they appear in the judgment. The count shows how many other judgments on BharatTax rely on the same authority.

Income Tax Appellate Tribunal, MUMBAI BENCHES “E”, MUMBAI

Before: SHRI B.R.BASKARAN (AM) & SHRI RAM LAL NEGI (JM)

For Respondent: Shri. N.K.Bhuta
Hearing: 29/09/2016Pronounced: 29/09/2016

This appeal has been filed by the revenue against order dated 19/03/2013 passed by the Ld CIT(Appeals)-18, Mumbai for the assessment year 2008-09.

2.

The revenue has challenged the impugned order on following effective grounds:-

1.

“On the facts and in the circumstances of the case and in law, the CIT(A) erred in quashing the proceedings u/s 147 of the Act by relying on the decision of the Hon’ble Supreme Court in CIT vs. Kelvinator of India Ltd., 320 ITR 561, without appreciating that unlike in the case cited supra, in the instant case the issue of computing Book Profit u/s 115JB had not been considered by the A.O. at the time of passing the original assessment order.”

2. "On the facts and in the circumstances of the case and in law, the CIT(A) erred in not deciding the issue of MAT on Book Profit u/s 115JB without appreciating that the assessee was liable for the same".

3.

At the outset, the Ld. Counsel for the assessee submitted that the tax effect in this case is below Rs.10,00,000/- and as per the CBDT Circular No. 21 of 2015, dated 10/12/2015, the present appeal is not maintainable.

4.

The Ld. DR fairly admitted that the tax effect in department’s appeal is below Rs.10 Lakhs, We find that the issue raised in appeal does not fall under any of the exceptions specified in para 8 of the Circular. Since, it has been specifically clarified in the Circular aforesaid that the instruction will apply retrospectively to all the pending appeals; the present appeal filed by the revenue is not maintainable. We, therefore, dismiss the same in limine.

Order pronounced in the open court on 29th September, 2016

More judgments on Section 147

All 49,210 judgments and leading authorities on Section 147 →

Recent GST High Court judgments

Search GST case law →