JOINT COMMISSIONER OF INCOME TAX (IN-SITU) CIRCLE-4(1), KOLKATA, KOLKATA vs. SUPREME PAPER MILLS LIMITED, KOLKATA

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ITA 403/KOL/2024Status: DisposedITAT Kolkata31 January 2024AY 2015-16Bench: Shri Rajesh Kumar (Accountant Member), Shri Sonjoy Sarma (Judicial Member)3 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 held that the appeal filed by the revenue was contrary to the Department's policy decision regarding monetary limits for appeals. Therefore, the appeal was dismissed in limine.

What were the facts?

The revenue filed an appeal before the ITAT against an order of the CIT(A) for AY 2015-16. The assessee pointed out that the tax effect in the appeal was below the revised monetary limit for filing appeals before the Tribunal as per a CBDT circular.

What were the issues?

Whether the revenue's appeal is maintainable before the ITAT given the revised monetary limits prescribed by the CBDT for filing appeals.

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “ C” BENCH: KOLKATA

Before: Shri Rajesh Kumar & Shri Sonjoy Sarma]

ORDER / आदेश Per Rajesh Kumar, AM:

This is the appeal preferred by the revenue against the order of Ld. Commissioner of Income Tax (Appeals)-NFAC, Delhi (hereinafter referred to as the Ld. CIT(A)] dated 16.03.2023 for AY 2015-16. 2. At the outset, the Ld. Counsel for the assessee submitted that the CBDT has issued a Circular No. 9/2024 dated 17.09.2024, whereby the monetary limits for filing

Assessment Year: 2015-16 Supreme Paper Mills Ltd. of appeal by the Department before Income Tax Appellate Tribunal and High Courts and SLP before Supreme Court have been increased as a measure for reducing Litigation. The revised monetary limits laid down in para-2 of this Circular are as follows:

1.

Before Appellate Tribunal Rs. 60,00,000/- 2. Before High Court Rs. 2,00,00,000/- 3. Before Supreme Court Rs. 5,00,00,000/-

3.

In the present case, the tax effect in the revenue’s appeal is less than Rs.60,00,000/-. We note that this appeal had been filed by the revenue on 28.02.2024 and since the tax effect is within the monetary limit for filing appeals before Tribunal and in view of theCircular of CBDT (supra) at the first place, the revenue should not have preferred this appeal. In view of the above, we hold that the appeal filed by the Department, against the impugned order of the Ld. CIT(A), is contrary to the policy decision of the Department and as such the appeal filed by the Department is dismissed in limine.

4.

As a matter of caution, we observe that if the Revenue finds at a later point of time that the tax effect in the appeal is more than Rs.60 lakhs or despite low tax effect, the appeal of the revenue is maintainable, the revenue is at liberty to move before this Tribunal a petition for recalling of this order. In the result, the appeal of the revenue is dismissed.

Order is pronounced in the open court on 31st January, 2025

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