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Income Tax Appellate Tribunal - Delhi

Ans Constructions Pvt. Ltd., New Delhi vs Department Of Income Tax on 9 February, 2016

       INCOME TAX APPELLATE TRIBUNAL
         DELHI BENCH "I-2": NEW DELHI
   BEFORE SHRI I.C.SUDHIR, JUDICIAL MEMBER
                     AND
SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER
                   ITA Nos. 6052/Del/2015
                 (Assessment Year: 2011-12)
DCIT,                                 ANS Construction Pvt. Ltd.,
Circle-2(2),                          ANS House, 144/2, Ground
Room NO..392,                  Vs.    Floor, Mathura Road, Ashram,
C.R. Building, I.P. Estate,           New Delhi
New Delhi                             PAN:AADCA4574D
(Appellant)                           (Respondent)



                   ITA Nos. 6217/Del/2015
                 (Assessment Year: 2007-08)
DCIT,                                 SAM Portfolio Pvt. Ltd.,
Central Circle-18,                    5/5761, Dev Nagar, Karol Bagh,
New Delhi                      Vs.    Near Yes Bank ATM,
                                      New Delhi
                                      PAN:AAHCS6810N
(Appellant)                           (Respondent)

                   ITA Nos. 5711/Del/2015
                 (Assessment Year: 2011-12)
DCIT,                                 Dev Priya Industries Ltd,
Circle-7(1), Room No.403,             4, Shankar Vihar,
C.R.Building, I.P. Estate,     Vs.    Vikas Marg,
New Delhi                             New Delhi
                                      PAN:AAACD4171A
(Appellant)                           (Respondent)

                   ITA Nos. 5814/Del/2015
                 (Assessment Year: 2007-08)
       ITO,                   Satyavir Singh Yadav,
       Ward-2,                S/o. Sh. Rameshwar Yadav,
       Narnaul         Vs.    H.NO.51, Near Tula Ram Chowk,
                              Mohindergarh
                              PAN:AHSPY1296K
       (Appellant)            (Respondent)


                   ITA Nos. 5872/Del/2015
                 (Assessment Year: 2011-12)
 ITO,                                 Kapur Germs Pvt. Ltd.,
 Ward-14(2),                          B-45/47,
 Room No.210,                   Vs.   Connaught Place,
 C.R.Building, I.P. Estate,           New Delhi
 New Delhi                            PAN:AACCK8256B
 (Appellant)                          (Respondent)
                         Page 2 of 4


                ITA Nos. 5762/Del/2015
              (Assessment Year: 2011-12)
DCIT,                                 Tejpal Singh,
Circle-16(1), Room                    53-B-78,
No.312, C.R.Building,          Vs.    Punjabi Bagh West,
I.P.Estate, New Delhi                 New Delhi
(Appellant)                           (Respondent)

                ITA Nos. 5871/Del/2015
              (Assessment Year: 2011-12)
ITO,                                  Karma Holdings Ltd.,
Ward-14(1),                           (Formerly SRF Polymers Ltd.),
Room No.210,                  Vs.     C-8, Commercial Complex,
C.R.Building, I.P.Estate,             Safdarjung Development Area,
New Delhi                             New Delhi
                                      PAN:AAFCS9521A
(Appellant)                           (Respondent)


                ITA Nos. 5882/Del/2015
              (Assessment Year: 2011-12)
ACIT,                                 Tarang Krishna,
Circle-61(1),                         D-842, New Friends Colony,
Room NO.2005, 20th            Vs.     New Delhi
Floor, Block E-2, Dr.                 PAN:ANMPK5494P
Shyama Prasad
Mukherjee Civic Centre,
J.L.N. Marg, New Delhi
(Appellant)                           (Respondent)


                ITA Nos. 5883/Del/2015
              (Assessment Year: 2011-12)
ACIT,                                 Avinash Kulkarni,
Circle-61(1),                         A-4/25, Paschim Vihar,
Room NO.2005, 20th            Vs.     New Delhi
Floor, Block E-2, Dr.                 PAN:AAAPK4264A
Shyama Prasad
Mukherjee Civic Centre,
J.L.N. Marg, New Delhi
(Appellant)                           (Respondent)

                ITA Nos. 5869/Del/2015
              (Assessment Year: 2011-12)
ITO, Ward-41(2),                      Dharam Pal,
Room NO.1710,                         C-29, New Multan Nagar,
E-2, Block, Civil Centre,     Vs.     New Delhi,
New Delhi                             PAN:AFXPP9705M
(Appellant)                           (Respondent)

        Assessee by   : Sh. Sanjay Kumar
        Respondent by : Smt. Monika Ghai, Adv,
                                        Page 3 of 4


                   Date of Hearing            08.02.2016
                   Date of pronouncement      09.02.2016

                                      ORDER

PER BENCH, A. M.

1. These are the appeals filed by the Department are directed against the different orders of ld CIT(A).

2. At the outset of the hearing itself, the ld. AR brought to our attention that CBDT vide Circular No.21/2015 dated 10th December, 2015 has decided that the revenue would not prefer an appeal before the Tribunal if the tax effect is less than Rs.10 lakhs. He has also filed the computation to show that the tax effect in this case is below Rs.10 lakhs. Therefore, he pleaded that the appeal of the revenue be dismissed as per the instruction of the CBDT and also submitted that the cross objection preferred by the assessee is not pressed.

3. Ld. DR was fair enough to admit the aforesaid factual position.

4. We have heard both the sides on the issue and perused the material. I find that the CBDT vide circular dated 10.12.2015 has revised the monetary limit for filing the appeal by the department before Income Tax Appellate Tribunal, Hon'ble High Courts and Hon'ble Supreme Court. The relevant para of the aforesaid circular is reproduced as under :-

"3. Henceforth, appeals/SLPs shall not be filed in cases where the tax effect does not exceed the monetary limits given hereunder :-
Sl.No. Appeals in Income-tax matters Monetary Limit(in Rs.)
1. Before Appellate Tribunal 10,00,000
2. Before High Court 20,00,000
3. Before Supreme Court 25,00,000 It is clarified that an appeal should not be filed merely because the tax effect in a case exceeds the monetary limits prescribed above. Filing of appeal in such cases is to be decided on merits of the case."

5. We find that the tax effect involves in the appeal of the Revenue is below Rs.10 lakhs. There is no dispute that the Board's instructions or directions issued to the Income-tax authorities are binding on those authorities, therefore, the Department should have withdrawn/not pressed the present appeal in view of the aforesaid instruction sicne the tax effect in the instant appeal is less than the amount of Rs.10 lakhs.

Page 4 of 4

5.1 In view of the above, Circular No.21 dated 10.12.2015 will apply to all pending appeals. Therefore the precedent, it is held that the appeal is not maintainable in the instant case as the tax effect is less than Rs.10 lakhs. Accordingly, it is held that appeal filed by the revenue is not maintainable. Since the appeal of the revenue is not maintainable on account of low tax effect, therefore, the cross objection of the assessee becomes infractuous and accordingly dismissed.

6. In the result, appeals filed by the department is dismissed.

Order pronounced in the open court on 09.02.2016.

                -Sd/-                                               -Sd/-
            (I.C.SUDHIR)                                      (PRASHANT MAHARISHI)
          JUDICIAL MEMBER                                    ACCOUNTANT MEMBER

 Dated: 09/02/2016
A K Keot

Copy forwarded to

     1.   Applicant
     2.   Respondent
     3.   CIT
     4.   CIT (A)
     5.   DR:ITAT
                                                                 ASSISTANT REGISTRAR
                                                                   ITAT, New Delhi