DCIT 24(2), MUMBAI vs. SWASTIC PLASTICS, MUMBAI

PDF · subscribers
ITA 2515/MUM/2011Status: DisposedITAT Mumbai06 January 2016AY 1999-003 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 tax effect of the disputed amount was below the monetary limit prescribed by the CBDT for filing appeals before the ITAT. Therefore, the appeal was not maintainable.

What were the facts?

The Revenue filed an appeal against the CIT(A)'s order deleting an addition of Rs. 15,00,000/-. The addition was made on account of a declaration made at the time of a survey.

What were the issues?

The primary issue was the maintainability of the Revenue's appeal before the ITAT due to the low tax effect, as per CBDT circulars.

Which sections of the Income-tax Act were involved?

Section 143(3)

AI-generated summary — verify with the full judgment below

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

Before: SHRI JASON P. BOAZ (AM) & SHRI RAM LAL NEGI (JM)

For Appellant: Shri. Vivek Ojha
Hearing: 06/01/2016Pronounced: 06/01/2016

The aforesaid appeal has been filed by the Revenue against the impugned order dated 31/01/2011 passed by the CIT(A)-34, Mumbai in respect of the order of assessment passed u/s 143(3) for the assessment year 1999-2000, on the following grounds:-

1) "Whether on the facts and in the circumstances of the case and in law, the Ld.CIT(A) has erred in deleting the addition of Rs.15,00,000/- made by the AO on account of declaration made at the time of Survey without appreciating the fact that the AO could not furnish the remand report as the assessed failed to file reconciliation statements before the AO during the remand proceedings.” 2) The appellant prays that the order of the CIT(A) on the ground be set aside and matter may be decided according to law. The appellant craves leave to amend or alter any ground or add new ground which may be necessary.

2.

At the outset, it is noticed that, the disputed issue is only for Rs. 15,00,000/- and the tax effect on this amount is below the specified monetary limit of Rs. 10 lakhs. As per the latest CBDT Circular No. 21 of 2015, dated 10th December, 2015, new guidelines of monetary limit for filing of appeals by the Department has been issued, whereby the tax effect for filing of appeal before the ITAT has been prescribed at Rs. 10 lakhs. In the said Circular, it has been specifically clarified that the said instruction will apply retrospectively to all the pending appeals. Accordingly, the appeal filed by the revenue is not maintainable and is dismissed in limine.

Recent GST High Court judgments

Search GST case law →