What did the Tribunal hold?

The Tribunal dismissed the revenue's appeal. This was based on the CBDT Circular No. 3/2018, which mandates dismissal of appeals with a tax effect below Rs. 20 lacs.

The revenue appealed against the CIT(A)'s deletion of additions made on account of disallowance of depreciation and power expenses. The additions deleted by the CIT(A) had a tax effect below Rs. 20 lacs.

What were the issues?

Whether the appeal filed by the revenue should be dismissed due to low tax effect as per CBDT circulars.

ACIT vs M/S. S.S. Aloe Pvt. Limited | ITAT Jodhpur 2018

Income Tax Appellate Tribunal, JODHPUR BENCH (SMC

Before: SHRI R.C. SHARMA

Hearing: 16/07/2018

PER: R.C. SHARMA, AM

This is an appeal filed by the revenue against the order of

the CIT(A)-2, Jodhpur dated 28/03/2018 for the A.Y. 2013-14 in

the matter of order u/s 143(3) of the Income-tax Act, 1961

[hereinafter referred to as ‘the Act’, for short]. The grounds

raised by the revenue in appeal are reproduced as under:

“1. Whether on the facts and in the circumstances of the case, the Ld. CIT(A)- 2, Jodhpur was justified in deleting addition of Rs. 35,82,233/- made on account of disallowance of depreciation, ignoring the fact that the

2 ITA 158/Jodh/2018 ACIT, Jodhpur Vs. M/s S. S. Aloe Pvt. Ltd, Jodhpur depreciation claimed on plant and machinery were not put to use during the year and factory has not been running from last 6-7 years.

Whether on the facts and in the circumstances of the case, the Ld. CIT(A)- 2, Jodhpur was justified in deleting the addition of Rs. 4,67,596/- made on account of disallowance of power expenses, ignoring the fact that during the assessment proceedings assessee fails to prove that power and fuel expenses actually pertains to M/s S. S. Aloe Pvt. Ltd., Jodhpur

That the appellant reserves its right to add, amend or alter the ground(s) of appeal on or before the date of finally heard.”

I have gone through the orders of authorities below and found that tax

effect in respect of additions deleted by CIT(A) is below Rs. 20 lacs,

accordingly in term of CBDT Circular No. 3/2018 dated 11.07.2018 this

appeal deserves to be dismissed on the ground of low tax effect.

In the result, the appeal of the revenue is dismissed.

Order pronounced in the open court on 18/07/2018.

Sd/- [R.C. SHARMA] Accountant Member Dated : 18/07/2018 *Ganesh Kumar Copy to : 1. The Appellant 2. The Respondent 3. The CIT 4. The CIT(A) 5. The DR 6. Guard File (ITA No. 158/Jodh/2018)

Assistant Registrar Jodhpur Bench

3 ITA 158/Jodh/2018 ACIT, Jodhpur Vs. M/s S. S. Aloe Pvt. Ltd, Jodhpur

ACIT, CIRCLE-3, JODHPUR vs. M/S. S.S. ALOE PVT. LIMITED, JODHPUR

What did the Tribunal hold?

What were the facts?

What were the issues?

Which sections of the Income-tax Act were involved?

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