Sahara India Financial Corpn. Ltd., 1-Kapoorthala Complex, Aliganj, Lucknow. Vs. The Addl. Commissioner of Income Tax, Central Range-I, New Delhi.
November, 07th 2019
Referred Sections: Section 272A(l)(c) of the Income Tax Act. Section 273B of the Income Tax Act Section 131 of the Income Tax Act
IN THE INCOME TAX APPELLATE TRIBUNAL
(DELHI BENCH: `A': NEW DELHI)
BEFORE H.S. SIDHU, JUDICIAL MEMBER
SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER
ITA No:- 5298/Del/2016
(Assessment Year: 2010-11)
Dy. Commissioner of M/s Asis Moulds India Pvt.
Income Tax, Circle-3(2), Vs Ltd., 33, Udyog Vihar, Ecotech
New Delhi II, Greater Noida-201306 (UP)
Appellant by Sh. Sanjay Kapoor, Sr. DR
Respondent by Sh. Sidhartha Kanwar, Adv
PER ANADEE NATH MISSHRA, AM
[A]. This appeal has been filed by Revenue against the order
dated 05.07.2016 passed by Learned Commissioner of Income
Tax(Appeals)-I, New Delhi [in short, "Ld.CIT(A)"] pertaining to
assessment year 2010-11. In this appeal, the tax effect is less than
the monetary limit fixed by the Central Board of Direct Taxes (in
short "CBDT") in its Circular No.17/2009 dated 08.08.2019. The
Revenue has raised following grounds of appeal:-
(1) The Ld. CIT(A) erred in law and on facts in directing the AO to
restrict the disallowance of indirect expenses to 25% without any
basis as against 50% disallowed by the AO.
(2) The Ld. CIT(A) erred in law and on facts in deleting addition of Rs.
ITA No: - 5298/Del/2016
30,45,988/- on account of unconfirmed creditors and Rs.
47,30,277/- on account of unconfirmed advance from customers
despite the fact that the assessee has not furnished any details
before the AO.
[B]. At the outset, it was brought to the notice by learned counsel
for the Assessee, at the time of hearing that tax effect in this appeal
is below Rs. 50,00,000./-. Vide recent CBDT Circular No.17/2019
dated 08.08.2019 read with earlier CBDT Circular No. 3 of 2018,
dated 11.07.2018, minimum threshold limit of tax effect of filing of
appeals by Revenue in Income Tax Appellate Tribunal ("ITAT", for
short) has been enhanced to Rs. 50,00,000/-. In a subsequent
clarification issued by CBDT vide F.No. 279/Misc/M-93/2018-ITJ,
dated 20/08/2019, it has been clarified by CBDT that the aforesaid
revised monetary limit is also applicable to all pending appeals in
ITAT. Therefore, in view of the foregoing, we are of the view that this
appeal filed by Revenue is not maintainable. The learned
Departmental Representative also did not press the appeal.
Accordingly, this appeal is dismissed being not pressed, and also
not maintainable, having regard to aforesaid CBDT Circular No.
17/2019 dated 08.08.2019 read with aforesaid CBDT Circular No.
3 of 2018 in the light of aforesaid clarification dated 20/08/2019.
[C]. Before leaving, we clarify that Revenue will be at liberty to
approach Income Tax Appellate Tribunal U/s 254(2) of Income
Tax Act, 1961 seeking recall of this order and, for restoration
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ITA No: - 5298/Del/2016
of the appeal if it is found that this appeal of Revenue is
not covered by aforesaid CBDT Circulars dated 08.08.2019
[D]. In the result, the appeal by Revenue is dismissed. Our
decision was orally pronounced in the Open Court after conclusion
of hearing on the date of hearing. Now, this written order is
pronounced in Open Court on 07.11.2019.
(H.S. SIDHU) (ANADEE NATH MISSHRA)
JUDICIAL MEMBER ACCOUNTANT MEMBER
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