ITO, BHARATPUR v. M/S ASHA STON E COMPANY, BHARATPUR

ITA 770/JPR/2011 | 2005-2006
Pronouncement Date: 27-11-2014 | Result: Dismissed

Appeal Details

RSA Number 77023114 RSA 2011
Assessee PAN AAKFA8814G
Bench Jaipur
Appeal Number ITA 770/JPR/2011
Duration Of Justice 3 year(s) 2 month(s) 28 day(s)
Appellant ITO, BHARATPUR
Respondent M/S ASHA STON E COMPANY, BHARATPUR
Appeal Type Income Tax Appeal
Pronouncement Date 27-11-2014
Appeal Filed By Department
Order Result Dismissed
Bench Allotted A
Tribunal Order Date 27-11-2014
Assessment Year 2005-2006
Appeal Filed On 30-08-2011
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCH : JAIPUR BEFORE SHRI SHAILENDRA KUMAR YADAV JUDICIAL MEMBER AND SHRI B.C. MEENA ACCOUNTANT MEMBER ITA NO.770/JP/2011 (ASSESSMENT YEAR :2005-06) ITO WARD 2 VS. M/S. ASHA STONE COMPANY BHARATPUR. VILLAGE NANGLA MUKARABPUR KAMAN DISTT. BHARATPUR. (PAN : AAKFA8814G) (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE REVENUE : SHRI RAJESH OJHA ADDL.CIT DATE OF HEARING : 27.11.2014 DATE OF PRONOUNACEMENT : 27.11.2014 O R D E R PER B.C. MEENA ACCOUNTANT MEMBER : THE ASSESSEE HAS FILED THIS APPEAL AGAINST THE ORD ER OF CIT (APPEALS) ALWAR DATED 14.06.2011 FOR THE ASSESSMENT YEAR 2005-06. 2. THE ASSESSEE IS A PARTNERSHIP FIRM. THE ASSESSE E FILED RETURN OF INCOME ON 11.10.2005 DECLARING INCOME OF RS.7 940/-. THE AO ASSESSED THE INCOME AT RS.9 71 010/-. THE ASSESSMENT YEAR IN THE APPEAL I S 2005-06. THE TAX EFFECT ON THE 2 ITA NO.8/JP/2012 DELETED ADDITION IS LESS THAN THE THRESHOLD LIMIT I.E. RS.4 LACS. THE APPEAL HAS BEEN FILED ON 03.01.2012. 3. WE FIND THAT THE TAX EFFECT IN THIS CASE IS L ESS THAN RS.4 LACS. AS PER THE RECENT CBDT INSTRUCTION NO.5/2014 DATED 10.07.2014 THE REVENUE IS NOT PERMITTED TO FILE APPEAL BEFORE THE TRIBUNAL IF THE TAX EF FECT IS LESS THAN RS.4.00 LAKH. WE FIND SUPPORT FROM THE DECISION OF HONBLE SUPREME COURT DATED 25.03.2011 IN ITA NOS. 3 TO 5/2010. LD. DR FOR THE REVENUE SUBMITTED THAT INSTRUCTION NO. 5/2014 IS NOT APPLICABLE FOR THE APPEALS FILED PRIOR TO ISSUE OF THE SAID INSTRUCTIONS. IT IS ALSO SUBMITTED THAT THE FULL BENCH OF PUNJAB & HARYANA HIGH COURT IN THE CASE OF CIT VS. VIRENDRA CONSTRUCTION CO. 239 CTR 1 HELD THAT REVISED MONETARY LIMITS ARE NOT APPLICABLE TO THE PENDING APPEALS AND IT IS IN FAVOUR OF THE REVENUE. 4. WE HAVE HEARD BOTH THE SIDES AND GONE THROUGH TH E MATERIAL AVAILABLE ON RECORD. INSTRUCTION NO.5/2014 DATED 10.07.2014 H AS REVISED THE MONETARY LIMIT FOR FILING THE APPEAL BY THE DEPARTMENT BEFORE INCOM E-TAX APPELLATE TRIBUNAL HONBLE HIGH COURTS AND HONBLE SUPREME COURT. MONETARY LIMIT FOR FILING THE APPEAL BEFORE THE TRIBUNAL IS RS.4.00 LAKH; BEFORE HONBLE HIGH COURT RS. 10.00 LAKH AND BEFORE HONBLE SUPREME COURT RS. 25.00 LAKH. HO NBLE SUPREME COURT IN THE ORDER DATED 25.03.2011 REFERRED TO ABOVE HAS HELD AS U NDER:- IT IS STATED THAT THE TAX IMPACT IN THE PRESENT CASES IS LESS THAN RS. 10.00 LACS. THE DEPARTMENT HAS RECENTLY ISSUED AN INSTRUCTION BEARING NO. 3/2011 DATED 09.02.2011 WHICH IS IDENTICAL TO ITS EARLIER INSTRUCTION BEARING NO. 5/2008 DATED 15.05.2008 EXCEPT THAT IN SO FAR AS THE HIGH COURT IS CONCERNED T HE MONETARY LIMIT IN RESPECT OF APPEALS WHERE THE QUESTIONS OF LAW R AISED NEED NOT TO BE ANSWERED HAS BEEN RAISED FROM RS. 4.00 LAC S TO RS. 10.00 LACS. THE DIVISION BENCH OF THIS COURT IN ITA NO. 89/1999 DECIDED ON 28.01.2011 HAS ALREADY HELD THAT THE INSTRUCTION BEARING NO. 5/2008 DATED 15.05.2008 WOULD APPLY EVEN TO THE OLD 3 ITA NO.8/JP/2012 PENDING REFERENCES AND APPEALS. THIS PRINCIPLE WOULD THUS NATURALLY EQUALLY APPLY TO THE INSTANT INSTRUCTIO N BEARING NO.3/2011 DATED 09.02.2011 AS WELL. THE TAX EFFECT BEING LESS THAN RS. 10.00 LACS THE QUESTION OF LAW DOES NOT REQUIRE TO BE ANSWERED. THE APPEALS ARE DISPOSED OF ACCORDINGLY. 4.1 HONBLE DELHI HIGH COURT IN THE CASE OF CIT VS. DELHI RACE CLUB LTD. IN ITA NO. 128/2008 DATED 03.03.2011 HAS HELD AS UND ER:- THE TAX EFFECT INVOLVED IN THE PRESENT APPEAL IS RS. 4 65 860/-. AS PER THE RECENT GUIDELINES OF THE CBDT APPEAL I N THOSE CASES WHERE THE TAX EFFECT IS LESS THAN RS. 10.00 LAC S ARE NOT TO BE ENTERTAINED. THIS COURT IN THE CASE OF CIT DELHI-III VS. M/S P .S. JAIN & CO. BEING ITA NO. 179/1991 DECIDED ON 2 ND AUGUST 2010 HAS TAKEN A VIEW THAT SUCH CIRCULAR WOULD ALSO APPLY TO PENDIN G CASES. 4.2 IN VIEW OF THE ABOVE INSTRUCTION NO. 5/2014 DATED 10.07.2014 WILL APPLY TO ALL PENDING APPEALS. RESPECTFULLY FOLLOWING THE PRECEDENT IT IS HELD THAT THE APPEAL IS NOT MAINTAINABLE IN THE INSTANT CASE AS THE TAX EFFECT IS LESS THAN RS.4 LACS. ACCORDINGLY IT IS HELD THAT APPEAL FILED BY THE REVENUE IS NOT MAINTAINABLE. 5. IN THE RESULT APPEAL FILED BY THE DEPARTMENT IS DISMISSED WITHOUT GOING INTO THE MERITS. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 27 TH DAY OF NOVEMBER 2014. SD/- SD/- (SHAILENDRA KUMAR YADAV) (B.C. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER JAIPUR DATED : THE 27 TH DAY OF NOVEMBER 2014. 4 ITA NO.8/JP/2012 COPY FORWARDED TO: 1. ACIT CIRCLE 2 ALWAR. 2. M/S. SUPREME TECHNOFEBS PVT. LTD. 3.CIT 4.CIT(A) 5.DR ITAT GUARD FILE (ITA NO.8/JP/2012) AR ITAT NEW DELHI.