DCIT, CHENNAI vs. AMBATTUR CLOTHING LTD., CHENNAI

This appeal filed by the Revenue is directed against the order of the Commissioner of Income Tax (Appeals)-I, Chennai, dated 28.07.2014 relevant to the assessment year 2006-07.

At the time of hearing, the Ld. AR of the assessee has brought to our notice that the appeal filed by the Revenue is not maintainable on the ground that the appeal is below monetary limit prescribed by the CBDT vide its Instruction No.5/2104 dated 10th July, 2014. As per the calculation sheet filed by the assessee, the tax effect in this case is `3,53,141/- only. This fact was not disputed by the Ld. D.R. The Ld. D.R. only supported the order passed by the A.O.

We have heard both sides and perused the records and gone through the orders of the authorities below. In this case, the appeal was filed by the Department before the Tribunal after the circular issued by the Board, i.e. on 07.11.2014. As per the Board’s Instruction (supra), the monetary limit prescribed to prefer an appeal before ITAT is of `4,00,000/-. In the present appeal, the tax effect is less than the monetary limit prescribed by the CBDT. Hence, we find that this appeal filed by the Revenue is not maintainable. Thus, the appeal of the Revenue is dismissed.

In the result, the appeal filed by the Revenue is dismissed.