Ito Dehradun v. Shri Harish Chandra Batra Dehradun

In The Income Tax Appellate Tribunal Delhi Bench C New Delhi Before Sh N K Saini Am And Sh K N Chary Jm It A No 188 Del 2015 Asstt Year 2010 11 Income Tax Officer Ward 1 3 Dehradun 248001 Vs Harish Chandra Batra 158 14 Officers Enclave Kochhar Colony Rajpur Road Dehradun 248001 Appellant Respondent Co No 281 Del 2015 Asstt Year 2010 11 Harish Chandra Batra 158 14 Officers Enclave Kochhar Colony Rajpur Road Dehradun 248001 Vs Income Tax Officer Ward 1 3 Dehradun 248001 Appellant Respondent Pan No A Japb 6071 D Assessee By Sh Kapil Goyal Adv Revenue By Sh Arun Kumar Yadav Sr Dr Date Of Hearing 18 12 201 7 Date Of Pronounce Ment 18 12 201 7 Order Per N K Saini Am The A Ppeal Filed By The Department And Cross O Bjection By The Ass Essee Are Directed Against The Order Dated 10 10 2014 Of Ld Cit A I Dehradun 2 During The Course Of Hearing The Learned Counsel For The Assessee At The Very Outset Stated That The Tax Effect In Ita No 188 De L 201 5 Co No 281 Del 201 5 Harish Chandra Batra 2 This Appeal Is Less Than Rs 10 00 000 Therefore The Department Ought Not To Have Filed This Appeal In View Of The Circular Issued By The Cbdt And The Provisions Contained In Section 268 A Of The Income Tax Act 1961 Hereinafter To Be Referred As The Act 3 On The Other Hand The Ld D R Although Supp Orted The Order Of The Assessing Officer But Could Not Controvert This Fact That Tax Effect In This Appeal Is Less Than Rs 10 00 000 4 After Considering The Submissions Of Both The Parties And The Material Available On Record It Is Noticed That Sect Ion 268 A Has Been Inserted By The Finance Act 2008 With Retrospective Effect From 01 04 99 The Said Section 268 Of The Act Provides That The Board May Issue Instruction Or Directions To The Other Income Tax Authorities Fixing Monetary Limits For Not Fili Ng The Appeals Before The Appellate Tribunal Or The Courts Said Instructions Directions Are Binding On The Income Tax Authorities 5 It Is Noticed That The Cbdt Has Issued Circular No 21 Of 2015 Dated 10 12 2015 Vide Which It Has Revised The Monetary L Imit To Rs 10 00 000 For Not Filing The Appeal Ita No 188 De L 201 5 Co No 281 Del 201 5 Harish Chandra Batra 3 Before The Tribunal The Relevant Portion Of The Said Circular Reads As Under 3 Henceforth Appeals Slps Shall Not Be Filed In Cases Where The Tax Effect Does Not Exceed The Mone Tary Limits Given Hereunder S No Appeals In Income Tax Matter 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 Merel Y 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 9 The Monetary Limits Specified In Para 3 Above Shall Not Apply To Writ Matters And Direct Tax Matters Other Than Income Tax Filing Of Appeals In Other Direct Tax Matters Shall Continue To Be Governed By Relevant Provisions Of Statute Rules Further Filing Of Appeal In Cases Of Income Tax Where The Tax Effect Is Not Quantifiable Or Not Involved Such As The Case Of Registration Of Trusts Or Institutions Under Section 12 A Of The It Act 1961 Shall Not Be Governed By The Limits Specified In Para 3 Above And Decision To File Appeal In Such Cases May Be Taken On Merits Of A Particu Lar Case Ita No 188 De L 201 5 Co No 281 Del 201 5 Harish Chandra Batra 4 10 This Instruction Will Apply Retrospectively To Pending Appeals And Appeals To Be Filed Henceforth In High Courts Tribunals Pending Appeals Below The Specified Tax Limits In Para 3 Above May Be Withdrawn Not Pressed Appeals Before The Supr Eme Court Will Be Governed By The Instructions On This Subject Operative At The Time When Such Appeal Was Filed 6 From Clause 10 Of The Above Said Circular It Is Clear That These Instructions Are Applicable To The Pending Appeals Also And As Per Clau Se 3 There Is Clear Cut Instruction To The Department To Withdraw Or Not To Press The Appeals Filed Before The Itat Wherein Tax Effect Is Less Than Rs 10 00 000 These Instructions Are Operative Retrospectively To The Pending Appeals 7 Keeping In Vie W The Cbdt Circular No 21 Of 2015 Dated 10 12 2015 And Also The Provisions Of Section 268 A Of Income Tax Act 1961 We Are Of The View That The Revenue Should Not Have Filed The Instant Appeal Before The Tribunal 8 As Regards To The Cross Objection Fi L Ed By The Assessee Is Concerned S Ince We Have Already Dismissed The Appeal Of The Revenue As Aforesaid On Account Of Low Tax Effect Therefore The Cross Objection Filed By The Assessee Has Become Infructuous And Dismissed Ita No 188 De L 201 5 Co No 281 Del 201 5 Harish Chandra Batra 5 9 In The Result The Appeal Of The Department And Cross Objection Of The Assessee Are Dismissed Order Pron Ounced In The Court On 18 12 2017 S D Sd K N Chary N K Saini Judicial Member Accountant Memb Er Dated 18 12 2017 Subodh Copy Forwarded To 1 Appellant 2 Respondent 3 Cit 4 Cit Appeals 5 Dr Itat Assistant Registrar