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Income Tax Appellate Tribunal - Delhi

Dcit, Circle- 11(1), New Delhi vs Hms Real Estate Pvt. Ltd., New Delhi on 7 September, 2018

                      IN THE INCOME TAX APPELLATE TRIBUNAL
                           DELHI BENCHES "C", NEW DELHI

      BEFORE SHRI N.K.SAINI, AM & SMT. BEENA A PILLAI, JM

ITA/ CO No.             Appellant           Respondent            A.Y.      Assessee By

1612/Del/2018           ITO(E), Ward-1(2)  Institute of Road      2014-15   Sh. Lakshya
                        New Delhi.         Traffic Education                Goyal, Adv.
                                           B 128, DDA Sheds,                Sh. Tarun
                                           Okhla     Industrial             Kumar, Adv.
                                           Area
                                           Phase I
                                           New Delhi 110 020
                                           PAN:
                                           AAAT12776D
6906/Del/2017           ACIT, Circle 10(2) Innodata India P       2013-14   None
                        New Delhi          Ltd.
                                           708, Surya Kiran
                                           building
                                           19 KG Marg C.P.
                                           New Delhi 110 001
                                           PAN:AAACI2425G
6797/Del/2017           DCIT, Exemption Haridwar                  2006-07   None
                        Circle             Development
                        Ghaziabad          Authority
                                           Mayapur
                                           Haridwar
                                           Uttarakhand
                                           PAN:AAALH0055Q
813/Del/2018            ACIT, C.C.15       Goldsmith Realtech     2013-14   None
                        New Delhi          P Ltd.
                                           G-22/351, Sector 7
                                           Rohini
                                           New Delhi
                                           PAN:AADCG9357Q
C.O. 83/Del/2018        Goldsmith          ACIT, Central          2013-14   None
(In ITA 813/Del/18)     Realtech P Ltd.    Circle 15
                        New Delhi          New Delhi
1246/Del/2017           ACIT, Circle 50(1) H & H Cooperative      2004-05   None
                        New Delhi          Buying House
                                           F-5/2, Vasant
                                           Vihar
                                           New Delhi 57
                                           PAN:AAAFH5339K
1516/Del/2017           DCIT, Circle 11(1) Innus                  2012-13   None
                        New Delhi          Infrastructure P
                                           Ltd.
                                           M 62 & 63, 1st floor
                                                                        2


                                     Cannaught Place
                                     New Delhi 19
                                     PAN: AACCI1776N
6599/Del/2017   ACIT, Rohtak         Sh. Harish Kumar 2013-14       Sh.    Sohan
                Circle               Ghai                           Petwal, Adv.
                Rohtak               167-R, Model Town
                                     Rohtak
                                     Haryana
                                     PAN:ANKP9888K
3273/Del/2016   DCIT, Circle 2(1)    All Grow Finance & 2011-12     None
                New Delhi            Investment P.Ltd.
                                     202,    1st   Floor,
                                     Okhla     Industrial
                                     Estate
                                     Phase III
                                     New Delhi 110 020
                                     PAN: AAACA4941P

5731/Del/2017   DCIT, Circle 10(1)   GE Healthcare P      2011-12   None
                New Delhi            Ltd. (now known as
                                     Wipro GE
                                     Healthcare P Ltd.)
                                     4, Kadugodi
                                     Industrial Area
                                     Bangalore
                                     PAN:AAECA4311P
4940/Del/2017   ACIT, Central        Gen X Commodities    2014-15   Sh.    Rishab
                Circle 29            P Ltd.                         Jain, CA
                New Delhi            FA-45, Lower
                                     Ground Floor
                                     Shivaji Enclave
                                     New Delhi
                                     PAN:AAACA2303H
6179/Del/2016   ITO(E), Ward 1(2)    Gurudwara Baba       2010-11   None
                New Delhi            Jorawar Singh Ji
                                     Baba Fateh Singh
                                     Ji
                                     D-123, Fateh Nagar
                                     New Delhi 110 018
                                     PAN:AAAAG3770C
1652/Del/2018   ITO(E), Ward 1(2)    Institute of Road    2013-14   Sh. Lakshya
                New Delhi            Traffic Education              Goyal, Adv.
                                     B-128, DDA Sheds,
                                     Okhla Industrial
                                     Area
                                     Phase I
                                     New Delhi 110 020
                                     PAN:AAATI2776D
                                                                         3


3280/Del/2016   JCIT (OSD)           Shivraj Properties    2008-09   None
                C.C. 31              Plot J-1, Block B-1
                New Delhi            Mohan Industrial
                                     Area
                                     Mathura Road
                                     New Delhi 110 044
                                     PAN:AAJCS0741E
2868/Del/2018   DCIT, C.C. 1         Sh. Jeth Mal Mehta    2009-10   Sh. Vaibhav
                Gurgaon              J-398, New                      Bajaj, CA &
                                     Rajinder Nagar                  Sh.    Rajesh
                                     Indian Overseas                 Jain, CA
                                     Bank
                                     Central Delhi
                                     New Delhi
                                     PAN:AETPM7817A

4186/Del/2018   DCIT, Circle 11(2)   Hitachi Metglas       2014-15   Sh. Atul
                New Delhi            (India) P Ltd.                  Gaur, C.A.
                                     1C, Vandana
                                     building
                                     11, Tolstoy Marg,
                                     C.P.
                                     New Delhi 110 001

                                     PAN: AABCH9302G
4190/Del/2018   DCIT, Circle 11(1)   HMS Real Estate P     2014-15   None
                New Delhi            Ltd.
                                     1 AD, Vandhana
                                     building
                                     11, Tolstoy Marg
                                     New Delhi 110 001
                                     PAN: AACCH0745G

4188/Del/2018   DCIT, Circle 11(1)   Hero Future           2013-14   Sh. Lakshya
                New Delhi            Energies P Ltd.                 Goyal, Adv.
                                     202, 3rd floor                  and
                                     Okhla Industrial                Sh. Tarun
                                     Estate                          Kumar, Adv.
                                     Phase 3
                                     New Delhi
                                     PAN:AADCH0559F
13/Del/2017     ACIT, Central        Sh. Gautam Gupta      2012-13   None
                Circle 13            C-4/43
                New Delhi            Safdarjung
                                     Development Area
                                     New Delhi
                                     PAN:AAGPG1963J
                                                                          4


1670/Del/2017   DCIT, Circle 1       Havells India Ltd.     2011-12   Sh. Rajesh
                LTU                  1, Raj Narain Marg               Jain, CA &
                NBCC Plaza           Civil Lines                      Sh. Akshat
                Pushp Vihar          Delhi 110 054                    Jain, CA
                New Delhi            PAN: AAACH0351
44/Del/2017     ACIT, Circle 62(1)   Gupta Bros (India)     2012-13   Sh. V Raj
                New Delhi            232, Jor Bagh                    Kumar, Adv.
                                     New Delhi 110 003
                                     PAN:AAAFG4325Q
484/Del/2017    ACIT, Central        Grand Venezia          2010-11   None
                Circle 2             Commercial Towers
                New Delhi            P Ltd.
                                     28, Raja Garden
                                     New Delhi 110 015
                                     PAN:AADCG5999A
485/Del/2017    ACIT, Central        Grand Venezia          2011-12   None
                Circle 2             Commercial Towers
                New Delhi            P Ltd.
                                     28, Raja Garden
                                     New Delhi 110 015
                                     PAN:AADCG5999A
5698/Del/2016   ACIT, Circle 12(1)   Infotel Technologies   2012-13   None
                New Delhi            P Ltd.
                                     D-7, Dhawandeep
                                     Apartments
                                     6, Jantar Mantar
                                     road
                                     New Delhi 110 001
                                     PAN:AACCD8086E

6057/Del/2016   ACIT, Central        Godavari Vanijya P 2008-09       None
                Circle 4             Ltd.
                New Delhi            A-43, Phase II
                                     Noida Extension
                                     Noida 201 305
                                     PAN:AACCG4016H
297/Del/2018    DCIT, Circle 12(1)   Infotel Technologies 2014-15     None
                New Delhi            P Ltd.
                                     D-7, Dhwandeep
                                     Apartments
                                     6, Jantar Mantar
                                     road
                                     New Delhi 110 001
                                     PAN:AACCD8086E

396/Del/2018    DCIT, Circle 11(1)   Haldia Coke and        2012-13   None
                New Delhi            Chemicals P Ltd.
                                     1st Floor
                                     Sigappi Achi
                                                                                  5


                                               building
                                               Egmore
                                               Chennai 600 008
                                               PAN:AABCH5389P
207/Del/2018           ITO(E), Ward 1(2)       India Islamic       2013-14   None
                       New Delhi               Cultural Centre
                                               87-88, Lodhi Estate
                                               New Delhi 110 003
                                               PAN:AAATI2770F
3252/Del/2016          ITO(TDS)(Internati      Independent News    2016-17   None
                       onal Taxation)          Service P Ltd.
                       Ward 2(1)(1)            B 39, Okhla
                       New Delhi               Industrial area
                                               Phase I
                                               New Delhi 110 020
                                               PAN: AAAC13024R

                     Revenue by: Sh. A.K. Sharma, Sr. D.R.
                          Date of Hearing : 07/09/2018
                          Date of pronouncement: 07/09/2018

                                        ORDER
     PER BEENA A PILLAI, JM:

These appeals by De partment against diffe rent assessee's and a Cross obje ction by assessee are heard togethe r. These appeals have been filed against orders passed by respective Ld.CIT(A), in relation to different assessment years.

2. Ld. Sr.DR appeared on behalf of Revenue. In some appeals, assessees has recorded appearance through their Attorneys, while in others, assessees remained unrepresented.

3. We have heard the parties. It is found that pursuant to mandate of section 268A, CBDT has issued Circular No. 03 of 2018, dated 11th July, 2018 with retrospective effect, revising monetary limit to Rs.20,00,000/- for not filing appeals before the Tribunal. It is further found that as tax effect inv olved in instant appeals is less than Rs.2 0,00,0 00/-, the y are not maintainable. The Ld.Sr.D.R. , althoug h supported orde rs of Ld.AO, coul d no t controvert the fact that t ax effect involved in these appeals is le ss than Rs.20, 00,000 /-.

6

4. On Going thro ugh above referred CBDT Circu lar, it is clear that it is applicable to all pending appeals with retrospective effect, and there is clear-cut direction to Department to either withdraw, or not press such appeals filed before the Tribunal, wherein tax effect is less than Rs.20,00,000/-. We are, therefore, of the view that Revenue should have either not filed instant appeals, or withdraw the same, as tax effect in these appeals are admittedly less than Rs. 20,00,000/-.

5. The Ld.CIT.DR brought to our notice letter dated 20.08.2018 by Director (ITJ), CBDT, New Delhi addressed to All Principal CCITs in respect of para no. 10 of Circular dated 11.7.2018, enumerating certain exceptional instances where appeals filed by revenue should be contested, notwithstanding low tax effect. For the sake of convenience the same is reproduced as under:

"10. Adverse judgments relating to the following issues should be contested on merits notwithstanding that the tax effect entitled is less than the monetary limits specified in paragraph 3 above or there is no tax effect:
(a) where the constitutional validity of the provisions of an Act or Rule is under challenge, or
(b) where Board's order, Notification, Instruction or Circular has been held to be illegal or ultra vires, or
(c) where revenue audit objection in the case has been accepted by the Department, or
(d) where addition relates to undisclosed foreign income/undisclosed foreign assets (including financial assets)/undisclosed foreign bank account.
(e) where addition is based on information received from external sources in the nature of law enforcement agencies such as CBI/ED/DRI/SFIO/Directorate General of GST Intelligence (DGGI).
(f) cases where prosecution has been filed by the Department and is pending in the court."

Ld.CIT DR, however, could not place any material on record to demonstrate that any of the appeals listed before us stands covered by amended para 10, vide letter dated 20.08.2018 by Director (ITJ), CBDT, New Delhi addressed to All Principal CCITs.

5.1. Under these circumstances, we dismiss all present appeals filed by Revenue with liberty to Department to prefer Miscellaneous Applications, if it is found that either tax effect is more than Rs.20,00,000/-, or appeal gets covered by revised para 10 of Circular dated 11.7.2018, vide letter dated 7 20.08.2018 of Director (ITJ), CBDT, New Delhi addressed to All Principal CCITs.

6. Accordingly, appeals of the Revenue stand dismissed.

7. So far as Cross Objection : C.O. No. 83/Del/2018 (In ITA 813/Del/18) for Assessment Year 2013-14 filed by assessee is concerned, since appeal filed by Revenue are dismissed, the C.O. filed by assessee becomes infructuous and is dismissed as such.

8. In the result, all appeals by Revenue as well as C.O. by assessee stands dismissed.

The order pronounced in the open court on 07/09/2018.

             Sd/-                              Sd/-
  (N.K.SAINI)                              (BEENA A PILLAI)
Accountant Member                           Judicial Member

Dated: 07th September, 2018.

  ·    Gmv


Copy   of the Order forwarded to:
1.     Appellant
2.     Respondent
3.     CIT
4.     CIT(A)
5.     DR
6.     Guard File
                                                   By Order




                                                  Asst. Registrar
                                         ITAT, Delhi Benches, New Delhi
                                                     8


                                         Date
1.    Draft dictated on dragon         07/09/18
2.    Draft placed before author
                                       07/09/18
3.    Draft proposed & placed before the
      second member
4.    Draft discussed/approved by
      Second Member.
5.    Approved Draft comes to the
      Sr.PS/PS
6.    Kept for pronouncement on          07/09/18
7.    Order uploaded on
8.    File sent to the Bench Clerk
9.    Date on which file goes to the AR
10.   Date on which file goes to the
      Head Clerk.
11.   Date of dispatch of Order.