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Income Tax Appellate Tribunal - Mumbai

The Joint Commissioner Of Income Tax ... vs M/S.Em G Em Engineering And Consultants ... on 10 May, 2019

IN THE INCOME-TAX APPELLATE TRIBUNAL "E" BENCH MUMBAI
        BEFORE SHRI G.S. PANNU, VICE-PRESIDENT AND
            SHRI PAWAN SINGH, JUDICIAL MEMBER
   M.A. No. 85/Mum/2019 in ITA No. 6022/Mum/2017 (A.Y 2009-10)
    JCIT(OSD)-15(1)(1),                M/s EM GEM Engineering and
    Room No. 470, 4th Floor,           Consultants Pvt. Ltd., 33-204,
    Aayakar Bhavan, M.K. Road,     Vs. Sai Chambers, Sector-11,
    Mumbai-400020.                     CBD Belapur,
                                       Mumbai-400614.
                                       PAN: AAACE02992
                   Appellant             Respondent

         Appellant by                : Shri Manjunath Karkihalli (DR)
         Respondent by               : Shri P.P. Jayaraman (AR)
         Date of Hearing             : 10.05.2019
         Date of Pronouncement       : 10.05.2019
    ORDER UNDER SECTION 254(2)OF INCOME TAX ACT
PER PAWAN SINGH, J.M.

1. This Miscellaneous Application (MA) is filed by the revenue for rectification of the alleged mistake in the order dated 10.08.2018 passed in ITA No. 6022/Mum/2017 for Assessment Year (AY) 2009-10. In the application, the applicant/revenue pleaded that although the tax effect involved in this appeal is below the revised monetary limit of Rs. 20,00,000/- as prescribed in CBDT Circular No. 3/2018 dated 11.07.2018, yet as this case falls within exception provided in para-10e of the Circular. It is contended that para-10e of the said Circular clearly specifies that the cases should be contest on merit inspite the fact that tax effect is less than the monetary limit in the cases where addition is based on the information received from external sources in the nature of law enforcing agency. In this case, the addition was made on the basis of information received from external sources. The applicant/revenue pleaded MA 85/Mum/ 2019-M/s EM GEM Engineering and Consultants Pvt. Ltd. that the order dated 10.08.2018 require rectification by recalling the order, which is mistake apparent on record.

2. The ld. DR for the revenue made his submission on similar lines.

3. We have considered the submission of ld. DR for the revenue and have gone through the Circular No. 3/2018 dated 11.07.2018. We have also perused the contents of CBDT Circular dated 20th August 2018 wherein para-10 of Circular No. 3/2018 dated 11.07.2018 was amended thereby inserting clause

(a) to (f) in para-10. Para-4 of the Circular clearly specified "4. The said modification shall come into effect from the date of issue of this letter". After considering the submission of ld. DR for the revenue, we are of the considered view that the modification in clause 10 was inserted in Circular No.3/2018 dated 11.07.2018 w.e.f. 20th August 2018. However, before the modification was inserted viz. clause (a) to (f) in para-10 of Circular No. 3/2018, the Tribunal, while acting on Circular has already dismissed the appeal of the revenue. Therefore, in our considered view, the amended/modified para-10 (a) to (e) is not applicable on the order passed by Tribunal before 20th August 2018.

4. In the result, MA filed by the revenue is dismissed.

Order pronounced in the open court on 10.05.2019.

             Sd/-                                                   Sd/-
       G.S. PANNU                                               PAWAN SINGH
     VICE-PRESIDENT                                           JUDICIAL MEMBER
  Mumbai, Date: 10.05.2019
  SK
  Copy of the Order forwarded to :
                                      2

MA 85/Mum/ 2019-M/s EM GEM Engineering and Consultants Pvt. Ltd.

1. Assessee

2. Respondent

3. The concerned CIT(A)

4. The concerned CIT

5. DR "E" Bench, ITAT, Mumbai

6. Guard File BY ORDER, Dy./Asst. Registrar ITAT, Mumbai 3