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Judgment
PER SHRI ANUBHAV SHARMA, JUDICIAL MEMBER :
This appeal is preferred by the revenue against the order dated 10.09.2025 of the Ld. Commissioner of Income Tax (Appeal)-29, New Delhi (hereinafter referred as Ld. First Appellate Authority or in short Ld. ‘FAA’) in Appeal No. CIT(A), Delhi-7/10439/2019-20arising out of the assessment order dated 26.11.2019 u/s 143(3) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) passed by DCIT, Circle – 21(1),New Delhi for AY: 2017-18.
The CBDT vide Circular No.09/2024 dated 17.09.2024 has revised the monetary limit for filing the appeals before the Tribunal to Rs.60 Lacs and the said Circular would be applicable to all pending appeals. In such circumstances, the present appeal filed by the Revenue in case of low tax effect is not maintainable.
At the time of hearing ld. Counsel for the assesse submitted that in this case the tax effect involves Rs. Nil. We find that though in appeal of department the tax effect is shown to be Rs. 4,44,35,271/- however, the issue was taxation of surrendered income u/s 69B read with section 115BBE of the Act, for which ld. CIT(A) has relied judicial decisions where in it is held that provisions of section 115BBE is not applicable in case income is on account of alleged suppression of business and added as business income. Revenue challenges this benfit extended by ld. CIT(A).
We find that coordinate bench in case of DCIT Versus Hazoorilal & Sons Jewelers Pvt. Ltd. vide ITA No. 3487/Del/@023 order dated 24.02.2025 has held that if relying provisions of Section 115BBE of the Act, which are not applicable, for impugned addition, and accordingly tax effect is calculated in appeal of revenue, then tax effect has to be considered to be less then monetary limit prescribed to file appeal before Tribunal, then appeal is not maintainable.
We clarify here that the Revenue shall be at liberty to approach the Tribunal for re-institution of appeal, if the requisite material is brought to show that the appeal is protected by the exceptions prescribed in para-3.1 and 3.2 of the Circular dated 17.09.2024, or otherwise for valid reasons.
In light of the aforesaid by applying the CBDT Circular dated 17.09.2024, the captioned appeal of the Revenue is dismissed as not maintainable.
In the final result, the appeal of the Revenue stands dismissed.
