Iapl/10/2022 Of The Pr. Commissioner Of Income Tax And Another v. M/S Mehdipur Balaji Impex Pvt. Ltd

Court No. - 3 Case :- INCOME TAX APPEAL No. - 10 of 2022 Appellant :- The Pr. Commissioner Of Income Tax And AnotherRespondent :- M/S Mehdipur Balaji Impex Pvt. Ltd.Counsel for Appellant :- Gaurav Mahajan,Ashish BansalCounsel for Respondent :- Ashish Bansal Hon'ble Surya Prakash Kesarwani,J.Hon'ble Jayant Banerji,J. Heard Sri Gaurav Mahajan, learned counsel for the Income TaxDepartment/ appellants and Sri Ashish Bansal, learned counselfor the respondent - assessee. From perusal of the assessment order of the respondent -assessee, it appears that certain unsecured loan shown byassessee from certain persons was disbelieved by the AssessingOfficer and invoking the provisions of Section 68 and Section69 of the Income Tax Act, 1961 such unsecured loan was addedin the income of the assessee. Thus, the controversy involved inthe matter of the respondent - assessee was with regard toapplication of Section 68 and Section 69 of the Income Tax Act,1961 in respect of the alleged unsecured loan. Neither it waslong-term capital gain nor short-term capital loss nor such wasthe case of the Income Tax Department. Therefore, submissionof the learned counsel for the appellant that this appeal isentertain-able even if quantum involved is below the monetarylimit fixed by the Board for filing appeal, vide CircularNo.23/2019 dated 06.09.2019 and office memorandum dated16.09.2019. By the aforesaid Circular No.23/2019 read withoffice memorandum dated 19.09.2019, an exception has beencarved out that if the matter involves claim for bogus long-termcapital gain / short-term capital loss through penny stocks, thenappeal may be filed by the Department before the High Courteven if the quantum involved in the appeal is below themonetary limit fixed by the Board for filing appeal by theIncome Tax Department. We find that controversy of long-term capital gain/ short-termcapital loss through penny stocks is not involved in the presentappeal. Admittedly, the quantum involved in the appeal, isbelow the monetary limit fixed by the Board. Therefore, theappeal is not entertain-able. Consequently, the appeal isdismissed. Order Date :- 16.2.2022 T.S.