I.T.O. 5(1)(1) MUMBAI vs LATA ACHARYA MUMBAI

आयकर अपीऱीय अधिकरण, म ुंबई न्यायपीठ “ए” म ुंबई IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, MUMBAI BEFORE S/SHRI B.R.BASKARAN, AM AND AMARJIT SINGH, JM आमकय अऩीर सं./I.T.A.

No.7314/Mum/2013 (ननधधायण वषा / Assessment Year:2009-10) Asstt.

Commissioner of Income Tax 16(1), 2nd floor, Matru Mandir, Tardeo Road, Mumbai-400007 बनाम/ Vs.

Shri Ashok D Gulati, 2nd Trade House, Kamla Mills, Senapati Bapat Road, Lower Parel, Mumbai-400013 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) स्थधमी रेखध सं./जीआइआय सं./PAN. :ACAPG8995L आमकय अऩीर सं./I.T.A.

No.4501/Mum/2014 (ननधधायण वषा / Assessment Year:2005-06) Income Tax Officer, Ward 3(1), Kalyan, 2nd floor, Rani Mansion, Murbad Road, Kalyan (W)-421301 बनाम/ Vs.

Smt.Krishna Ramesh Khandelwal, Poonam R N 50, MIDC, Residential Zone, Opp Venkatesh Patrol Pump, Shil road, Dombivali(E). (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) स्थधमी रेखध सं./जीआइआय सं./PAN. :AAMPK4736B आमकय अऩीर सं./I.T.A.

No.4499/Mum/2014 (ननधधायण वषा / Assessment Year:2007-08) Income Tax Officer, TDS-1(1), Room No.804, K G Mittal Hospital Bldg, Charni Road, Mumbai-400002 बनाम/ Vs.

M/s Alliance Media and Entertainment Pvt Ltd., B-1306, Ankur Relief Road, Goregaon (West), Mumbai-400062 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) स्थधमी रेखध सं./जीआइआय सं./PAN. :AAFCA3199A ITA No.7314/Mum/2013 and other six cases 2 आमकय अऩीर सं./I.T.A.

No.5782/Mum/2011 (ननधधायण वषा / Assessment Year:2006-07) Income Tax Officer 5(1)(1), Room No.570, Aayakar Bhavan, M K Road, Mumbai-400020 बनाम/ Vs.

Mrs.Lata Acharya, Ram Krishna Chambers, Office No.502/503, Opp.

Ghanasingh Jewellers Linking road, Khar (W), Mumbai-400052 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) आमकय अऩीर सं./I.T.A.

No.5779/Mum/2011 (ननधधायण वषा / Assessment Year:2008-09) Income Tax Officer 5(1)(1), Room No.570, Aayakar Bhavan, M K Road, Mumbai-400020 बनाम/ Vs.

Mrs.Lata Acharya, Ram Krishna Chambers, Office No.502/503, Opp. /503, Opp.

Ghanasingh Jewellers Linking road, Khar (W), Mumbai-400052 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) स्थधमी रेखध सं./जीआइआय सं./PAN. :ADFPA6464Q आमकय अऩीर सं./I.T.A.

No.218/Mum/2014 (ननधधायण वषा / Assessment Year:2008-09) Income Tax Officer (International Taxation), 2(1),Room No.14, Ground Floor, Schinia House, Ballard Estate, Mumbai-400038 बनाम/ Vs.

Shri Amarjeet Baryan Singh, 93, 9th floor, Kalpataru Harmony, Sion-Killa Road, Near Telephone Exchange, Sion(E), Mumbai-400022 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) ITA No.7314/Mum/2013 and other six cases 3 Cross-Objection No.187/M/2015 Arising out of I.T.A.

No.218/Mum/2014 (ननधधायण वषा / Assessment Year:2008-09) Shri Amarjeet Baryan Singh, 93, 9th floor, Kalpataru Harmony, Sion-Killa Road, Near Telephone Exchange, Sion(E), Mumbai-400022 बनाम/ Vs.

Income Tax Officer (International Taxation), 2(1),Room No.14, Ground Floor, Schinia House, Ballard Estate, Mumbai-400038 (अऩीरधथी /Appellant) .. (प्रत्मथी / Respondent) स्थधमी रेखध सं./जीआइआय सं./PAN. :AEXPS4468K अऩीरधथी ओय से / Revenue by Shri Manoj Kumar प्रत्मथी की ओय से/Assessee by ITA No.7314/M/2013 –Shri Nishit Gandhi ITA No.4501/M/2014-Shri Rahul R Sarda ITA No.4499/M/2014-Shri N Jayendra ITAs No.5782/M/2011-Shri K.T..Lakshminarayanan 5779/M/2011-. –do- ITA No.218/M/2014- -Shri Bhupendra Shah CO No.187/M/2015 - -do- सुनवधई की तधयीख / Date of Hearing : 5.1.2016 घोषणध की तधयीख /Date of Pronouncement: 5.1.2016 आदेश / O R D E R Per Bench: All these appeals filed at the instance of the Revenue are directed against the separate orders passed by learned CIT(A) in their respective hands.

2.

At the time of hearing, it was noticed that the tax effect involved in all these appeals on the disputed issues is less than Rs.10.00 lacs.

For the sake of convenience, we tabulate below the relevant details:- ITA No.7314/Mum/2013 and other six cases 4 S.No.

Name of assessee Amount in dispute(for quantum appeal) in Rs. al) in Rs.

Amount of penalty 1 Shri Ashok D Gulati, u/s 271(1)( c ) Rs.7,86,411 2 Smt.Krishna Ramesh Khandelwal u/s 271D Rs.5,00,000 3 M/s Alliance Media and Entertainment Pvt Ltd., U/s 201 & 201(1A) Rs.4,82,795/- 4 Mrs.Lata Acharya, AY 2006-07 Rs.20,45,974/- 5 Mrs.Lata Acharya, AY 2008-09 Rs.19,04,002/- 6 Shri Amarjeet Baryan Singh, (ITA 218/M/2014) Rs.22,00,000/- 7 Shri Amarjeet Baryan Singh, (Cross objection by assessee) 3.

We notice that the revenue is contesting the decision of Ld CIT(A) in granting relief to the extent stated above and hence the tax effect involved on the above said disputed amounts works out to less than Rs.10 lakhs in each of the cases referred above.

Recently the CBDT has issued a circular No.21/2015 dated 10.12.2015 prescribing new monetary limits for preferring appeals against the orders passed by Ld CIT(A) before the Tribunal.

The relevant portion of the circular cited above reads as under: “F No 279/Misc.

142/2007-ITJ (Pt) Government of India Ministry of Finance Department of Revenue Central Board Direct Taxes Circular No.

21/2015 ITA No.7314/Mum/2013 and other six cases 5 New Delhi the 10th December, 2015 Sub :Revision of monetary limits for filing of appeals by the Department before Income Tax Appellate Tribunal and High Courts and SLP before Supreme Court - measures for reducing litigation – Reg Reference is invited to Board's instruction No 5/2014 dated 10.07.2014 wherein monetary limits and other conditions for filing departmental appeals (in Income-tax matters) before Appellate Tribunal and High Courts and SLP before the Supreme Court were specified.

In supersession of the above instruction, it has been decided by the Board that departmental appeals may be filed on merits before Appellate Tribunal and High Courts and SLP before the Supreme Court keeping in view the monetary limits and conditions specified below.

3. below.

3.

Henceforth, appeals/ SLPs shall not be filed in cases where the tax effect does not exceed the monetary limits given hereunder: S 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.

4.

For this purpose, "tax effect" means the difference between the tax on the total income assessed and the tax that would have been chargeable had such total income been reduced by the amount of income in respect of the issues against which appeal is intended to be filed (hereinafter referred to as "disputed issues").

However the tax will not include any interest thereon, except where chargeability of interest itself is in dispute.

In case the chargeability of interest is the issue under dispute, the amount of interest shall be the tax effect.

In cases where returned loss is reduced or assessed as income, the tax effect would include notional tax on disputed additions.

In case of penalty orders, the tax effect will mean quantum of penalty deleted or reduced in the order to be appealed against.

5. ……….

6……… ITA No.7314/Mum/2013 and other six cases 6 7. …… 8. …….

9. …..

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 Supreme Court will be governed by the instructions on this subject, operative at the time when such appeal was filed.” 11. …..” It can be noticed that the CBDT has further clarified that this new circular/instruction shall apply retrospectively, i.e., even to the pending appeals. g appeals.

It is also stated that the quantum of penalty deleted or reduced shall be considered for determining the monetary limits.

It is well settled proposition that the circulars issued by the CBDT are binding on the Income Tax Authorities.

For this proposition, one may gainfully refer to the decisions rendered by the Hon’ble Supreme Court in the case of Azadi Bachao Andolan (2003)(177 Taxation 775) and Pradip J Mehta Vs.

CIT (2008)(300 ITR 231).

Hence, the latest circular issued by the CBDT (referred supra) is binding on the income tax authorities.

Accordingly, we find merit in the submissions of Ld A.R that this appeal of the revenue is not maintainable, since tax effect involved in this appeal is less than Rs.10 lakhs.

Accordingly, we dismiss the appeal filed by the revenue.

5.

In the case of Shri Amarjeet Baryan Singh, the assessee has also filed cross objection.

Since the appeal of the revenue is dismissed, the CO is also dismissed.

ITA No.7314/Mum/2013 and other six cases 7 5.

In the result, all the appeals of the revenue are dismissed and the CO filed by Shri Amarjeet Baryan Singh is also dismissed.

Pronounced accordingly on 5th January, 2016. घोषणध खुरे न्मधमधरम भें ददनधंकः 5th January, 2016 को की गई । Sd sd (AMARJIT SINGH) ( B.R.

BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER भुंफई Mumbai: 5th January, 2016. व.नन.स./ SRL , Sr.

PS आदेश की प्रतिलऱपप अग्रेपिि/Copy of the Order forwarded to : 1. अऩीरधथी / The Appellant 2. प्रत्मथी / The Respondent.

3. आमकय आमुक्त(अऩीर) / The CIT(A)- concerned 4. आमकय आमुक्त / CIT concerned 5. ववबधगीम प्रनतननधध, आमकय अऩीरीम अधधकयण, भुंफई / DR, ITAT, Mumbai concerned 6. गधर्ा पधईर / Guard file. आदेशधनुसधय/ BY ORDER, True copy सहधमक ऩंजीकधय (Asstt.

Registrar) आमकय अऩीरीम अधधकयण, भुंफई /ITAT, Mumbai