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Income Tax Appellate Tribunal - Delhi

Pc Jewellers Ltd., New Delhi vs Acit, Circle- 19(2), New Delhi on 24 August, 2018

                IN THE INCOME TAX APPELLATE TRIBUNAL
                    DELHI BENCHES "I-2", NEW DELHI

      BEFORE SHRI R.K.PANDA, AM & SMT. BEENA A PILLAI, JM

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

1908/Del/2018       ACIT,                M/s Penguin            2014-15   None
                    Circle 19(2),        Buildtech (P) Ltd.
                    New Delhi.           6th Floor, Golf View
                                         Corporate Tower
                                         Tower A
                                         Golf Course Road
                                         Sector 42
                                         Gurgaon 122 002
                                         Haryana
                                         AADCP6631N
3329/Del/2017       DCIT, Circle 17(1)   M/s Mohan              2012-13   None
                    New Delhi            Clothing
                                         Co.Pvt.Ltd.
                                         76, Udyog Vihar 1
                                         Gurgaon 122 016
                                         AAACM1374L
3453/Del/2017       ITO, Ward 17(2)      M/s Mount              2012-13   None
                    New Delhi            Apartment P.Ltd.
                                         C-55, II Floor
                                         Preet Vihar
                                         New Delhi 92
                                         AANFM2900Q
4598/Del/2017       ITO, Ward 47(1)      Manish Bansal          2005-06   None
                    New Delhi


5359/Del/2017       ACIT, Circle 18(1)   Smt. Neena Grover 2013-14        None
                    New Delhi            56/42, West
                                         Punjabi Bagh
                                         New Delhi 26
                                         AAQPG3559E
5479/Del/2017       DCIT, Circle 16(1)   Mantec              2013-14      None
                    New Delhi            Consultants P.Ltd.
                                         805, Vishal
                                         Bhawan
                                         95, Nehru Place
                                         New Delhi 19
                                         AAACM1496R
5836/Del/2017       ACIT, Circle 45(1)   Sh. Rajiv Kumar     2014-15      Ms.Rinky
                    New Delhi            Kataria                          Sharma, AR
                                         T 8, Rajouri Garden
                                             New Delhi 27

1644/Del/2018          ACIT, Circle 19(2)   Petal Managements      2014-15   None
                       New Delhi            Services P.Ltd.
                                            Flat No.7451,
                                            Pocket D7
                                            Vasant Kunj
                                            New Delhi 70
                                            AAECP0353N

1645/Del/2018          ACIT, Circle 19(2)   Petnet Radio           2013-14   None
                       New Delhi            Pharmaceutical
                                            Solutions P Ltd.
                                            54/D-9,
                                            Kisshangarh
                                            Village
                                            New Delhi 7
                                            AACCD2596F
1646/Del/2018          ACIT, Circle 19(2)   PC Jewellers Ltd.      2011-12    Sh.
                       New Delhi            C-54, Preet Vihar                 Marudhar
                                            Delhi 92                          Aggarwal,
                                            AADCP5443Q                        Adv.
C.O.No.99/Del/18       PC Jewellers Ltd.    ACIT, Circle 19(2)     2011-12   Sh. Marudhar
(In ITA 1646/Del/18)   C-54, Preet Vihar    New Delhi                        Aggarwal,
                       Delhi 92                                              Adv.
                       AADCP5443Q

1641/Del/2018          ACIT, Circle 20(2)   Quippo Valuers &       2014-15       None
                       New Delhi            Auctioneers P Ltd.
                                            D-2, 5th floor
                                            Southern Park
                                            Saket Place
                                            Delhi 17
                                            AABCH5726J
3570/Del/2016          ACIT, Central        Sh. Bhupinder          2004-05   Sh. Lalit
                       Circle 18            Singh Kochar                     Mohan, C.A.
                       New Delhi            5, Kasturba Gandhi
                                            Marg
                                            New Delhi 1
                                            AAIPK4653K
2913/Del/2017          ACIT, Circle 28(1)   Sh. Deepak Dhar        2011-12   Sh.
                       New Delhi            Gupta                            S.S.Kalra,
                                            A 145, New Friends               C.A.
                                            Colony
                                            New Delhi 48
                                            ACNPG1164G
647/Del/2017           ACIT, Circle 76(1)   Trading Engineers      2012-13       None
                       New Delhi            (International) Ltd.
                                            UM House
                                            Plot No.35P
                                           Sector 44
                                           Gurgaon 122 002
                                           AAACT3870G
3483/Del/2016         DCIT, Circle 16(2)   Sh. Ramesh Chand     2006-07   Sh. Somil
                      New Delhi            Roorkee                        Aggarwal,
                                                                          Adv.
                                                                          Sh. Lakshya
                                                                          Goyal, Adv.
                                                                          Sh. Saurash
                                                                          Goyal, CA
C.O.283//Del/2016     Sh. Ramesh           DCIT, Circle 16(2)   2006-07        - Do -
In ITA 3483/Del/16)   Chand                New Delhi
                      S/o Sh. Prakash
                      Agarwal
                      12/1, Main
                      bazaar
                      (New Mandir)
                      Bhagwanpur
                      Roorkee
                      AUAPC2368R
2185/Del/18 &         DCIT, Circle 3       Pay U Payments       2013-14
2186/Del/2018         Gurgaon              4th Floor, Pearl     &
                                           Tower                2014-15
                                           Plot no.51, Sector
                                           32
                                           Gurgaon 122 001
                                           Haryana
                                           AAJCS9091D
3304/Del/2017         ACIT, C.C.26         Sh. Bal Kishan       2005-06      None
                      New Delhi            Saraf
                                           1290, Katra Dhulia
                                           Chandni Chowk
                                           Delhi 6
                                           AAHPS3659Q
3303/Del/2017         ACIT, C.C.26         Sh. Bal Kishan       2003-04      None
                      New Delhi            Saraf
                                           1290, Katra Dhulia
                                           Chandni Chowk
                                           Delhi 6
                                           AAHPS3659Q
6294/Del/2016         ACIT, Circle 28(1)   Sh. Ashish Abrol     2013-14   Sh.KP Garg,
                      Delhi                Prop. M/s Janex                C.A.
                                           X-2, Okhla
                                           Industrial area
                                           Phase II
                                           New Delhi 110 020
                                           AAEPA6509L
6686/Del/2016         ACIT, Central        Sh. Sanjay Singhal   2014-15      None
                       Circle 19          83, Sunder Nagar
                      New Delhi          New Delhi
                                         ABMPS1773M
4738/Del/2017         ITO(E), Trust      Aryawart Welfare     2014-15      None
                      Ward 1(1)          Society
                      New Delhi          Sector C
                                         Ryan International
                                         School
                                         Pocket 8
                                         Vasant Kunj
                                         New Delhi 110 037
                                         AAATA4965G

1548/Del/2018                            Philip Koshy         2012-13       None
1542/Del/2018         ACIT, Central      Rathi Bars Limited   2015-16   Sh.Ved Jain,
                      Circle 16          A 24/7, Mohan Co-              Adv.
                      New Delhi          Op. Indl. Estate               Sh. Pranjal
                                         Mathura Road                   Srivastava,
                                         N.Delhi 44                     Adv.
                                         AAACR0737N
2398/Del/2017         ITO, Ward 15(1)    Lambodar Finvest     2012-13      None
                      New Delhi 2        P Ltd.
                                         Om Tower,
                                         M.I.Road
                                         Church Road
                                         Jaipur

                                         AAACL2355C
2904/Del/2018         DCIT, Circle 1     Lakhani Footwear P 2013-14        None
                      Faridabad          Ltd.
                                         Plot No.130
                                         Sector 24
                                         Faridabad
                                         Haryana
                                         AAACL3112H
770/Del/2017          ACIT               Sh. Rahul Mishra   2006-07        None
                      Circle 30(1)       B-23, Chirag
                      New Delhi          Enclave
                                         New Delhi 44
                                         AAFPM6245A
C.O.85/Del/2017       Sh. Rahul Mishra   ACIT               2006-07          None
(In ITA 770/Del/17)   B-23, Chirag       Circle 30(1)
                      Enclave            New Delhi
                      New Delhi 44
                      AAFPM6245A
2782/Del/2016         ACIT, Central      Sh. Arun Kumar       2011-12      None
                      Circle 13          B 61, Main Market
                      New Delhi 55       Madipur Colony
                                         New Delhi 63
                                        AHBPK6487D
2760/Del/2016       ITO, Ward 3        Sh. Rajesh Ruhil     2010-11        None
                    Aayakar bhawan     VPO-Rohad
                    Rohtak             Bahadurgarh
                                       Dt.Jhajjar
                                       Haryana
                                       ANCPR9819D


                     Revenue by: Sh. H.K.Chaudhary, CIT, D.R.

                             Date of Hearing : 23.08.2018

                             Date of pronouncement: 24/08/2018

                                   ORDER

PER BENCH:

These appeals by Department are against different assessee's and Cross objections/Appeals by some assessee's are heard together. These appeals have been filed against orders passed by respective Ld.CIT(A), in relation to different assessment years.

2. Ld. CIT.DR appeared on behalf of Revenue. In some appeals, assessees hasrecorded appearance through their representatives, while in others, assessees remained unrepresented.

3. We have heard the parties. It is found that purs uant to mandate of sectio n 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. Since tax effect involved in instant appeals is less than Rs.20,00,000/-, therefore they are not maintainable. The Ld.CIT.D.R., altho ugh supported orders of Ld.AO, could no t controvert the fact that tax effect involved in these appeals is less than Rs.20,00,000/-.

4. On Going thro ugh above referred CBDT Circular, it is clear that it is applicable to all pending appeals with retrospective effect, and there is a clear-cut direction to the 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 all the above appeals are not maintainable, 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 20.08.2018 of Director (ITJ), CBDT, New Delhi addressed to All Principal CCITs.

Accordingly, appeals of the Revenue stand dismissed.

6. So far as cross objection/cross appeal filed by assessee in some appeals filed by revenue are concerned, we hold as under:

· In respect of CO No.99/del/2018 filed by assessee in ITA No. 1646/del/2018 is concerned Ld.AR did not pressed the grounds raised therein. Accordingly CO No.99/del/2018 stands dismissed as not pressed.
· In respect of CO No. 85/del/2017 filed by assessee in ITA No. 770/del/2017 and CO No. 283/del/2016 filed by assessee in ITA No. 3483/del/2016 are in support of the order passed by Ld. CIT (A) therein respectively. Since vide para 5-5.1 hereinabove, appeals filed by revenue is dismissed, CO number 85/del/2017 and CO No. 283/del/2016 becomes infructuous.

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

The order pronounced in the open court on 24.08.2018.

              Sd/-                                      Sd/-

(R.K.PAN DA)                                   (BEENA PILLAI)
ACCOUNTANT MEMBER                             JUDICIAL MEMBER
Dated: 24/08/2018

Manga
Copy forwarded to:

1.   Appellant
2.   Respondent
3.   CIT
4.   CIT(Appeals)
5.   DR: ITAT




                                          ASSISTANT REGISTRAR