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Judgment
PER ANUBHAV SHARMA, JM:
This appeal is preferred by the revenue against the order dated 30.07.2025 of the Ld. National Faceless Appeal Centre (NFAC) Delhi (hereinafter referred as Ld. First Appellate Authority or in short Ld. ‘FAA’) in DIN & Order No: ITBA/NFAC/S/250/2025-26/1079068560(1) arising out of the assessment order dated 20.12.2019 u/s 143(3) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) passed by the ITO, Ward 59(5) New Delhi, for AY: 2017-18.
On hearing both sides we find that the appeal of the department has been filed challenging the order of ld. CIT(A) wherein addition of Rs.97,30,792/- on account of unexplained income u/s 69A of the Act have been deleted. We find from the contention of ld. Counsel that the issue involved is that AO has invoked provision of Section 115BBE for AY: 2017-18 and it is now settled that the provision of Section 115BBE are not applicable for AY 2017-18, reliance is placed on SMILE Microfinance Ltd. v. ACIT in WP (MD) No. 2078 of 2020 & 1742 of 2020 order dated 19.11.2024 of Hon’ble Madras High Court where in it is held that Section 115BBE’s, 60% rate applies only from AY 2018-19 onwards, as the provision was inserted with effect from 01.04.2017, applicable to AY 2018-19 and later and in the eventuality the computation of tax would come to Rs.30,00,000/- instead of Rs.75,17,037/- as mentioned by ld. AO in the Form 36.
Considering the aforesaid we are of the considered view that appeal filed is not maintainable as the same falls in low tax effect limit provided by the Circular of CBDT No. 09/2024 dated 17.09.2024.
Accordingly, the appeal is dismissed.