ASSTT. COMMISSIONER OF INCOME TAX CENTRAL CIRCLE-2(2), NAGPUR vs. M/S R.B. SETH SHREERAM NARSINGDAS, NAGPUR

This is an appeal filed by the Revenue directed against the order of ld. Commissioner of Income Tax (Appeals)-3, Nagpur [‘the CIT(A)’] dated 28.12.2017 for the assessment year 2013-14. The 2 C.O. No.04/NAG/2018 Cross Objection filed by the assessee against the appeal of the Revenue. ITA No.35/NAG/2018 – By Revenue : 2. It is stated before us that the tax effect in the present appeal is less than Rs.50 lakhs and therefore, the Circular No.17/2019 dated 08.08.2019 issued by the Central Board of Direct Taxes (CBDT) in exercise of its power vested under Sec.268A(1) of the IT Act comes into play wherein, the monetary limit for filing the appeal by the Revenue before the ITAT and various High Courts as well as Apex Court are revised with an object of reducing the tax litigation. Vide para 3 of the said circular (supra) it is stated that in cases where the tax effect in the appeals to be filed before the Appellate Tribunal does not exceed Rs.50 lakhs appeals should not be filed. Thus, taking a note of CBDT Circular No.17/2019, dated 08.08.2019 and considering the fact that the tax effect in the instant appeal is less than Rs.50 lakhs, the present appeal deserves to be dismissed as not pressed / not maintainable. However, we make it clear that the issues raised in the instant appeal are left open to be examined in the appropriate proceedings, if arises, in future. At the same time, we also make it clear that if the appeal falls in any of the exceptions referred to in the above said CBDT Circular, the Revenue is at liberty to move an application for recalling the order if so advised.