The Commissioner of Income Tax, Attavar and The Asst. Commissioner of Income Tax, Investigation Circle vs Sri Thimmaraya Shetty

N. Kumar, J.—This appeal is preferred by the Revenue, challenging the order passed by the Tribunal. The net tax effect, which is the subject matter of this appeal, the net tax effect in this appeal is Rs. 6,05,880/- which is less than Rs. 10 lakhs.

In view of the judgment of this Court in the case of Commissioner of Income Tax & Another vs. Ranka and Ranka reported in 2012 (72) DTR (Kar.) 270, wherein it was held that notwithstanding Clause 11 of CBDT Instruction No. 3 of 2011 dated 9th February 2011, expressly providing that the instructions will apply to appeals filed on or after 9th February 2011 and appeals filed earlier will be governed by contemporaneous instructions, the application of said instructions needs to be extended to appeals pending as on 9th February 2011. In other words, the said instruction was held to be retrospective. In view of the said instructions, this appeal preferred by the Revenue where the tax effect is less than Rs. 10 lakhs, is not maintainable. However, it is submitted that the Revenue has preferred an appeal against the order of this Court before the Apex Court. Hence, in the event of the Apex Court reversing the said judgment, liberty is reserved to the Revenue to seek for revival of this appeal.

The appeal is dismissed.