Itta/155/2019 Of The Pr. Comissioner Of Income Tax v. M/S Nagothu Balashowraiah

THE HONOURABLE SRI JUSTICE M. SEETHARAMA MURTI AND THE HONOURABLE MS. JUSTICE J.UMA DEVI I.T.T.A No.155 of 2019 JUDGMENT: (Per Hon’ble Sri Justice M.SeetharamaMurti) This is an appeal filed under Section 260A of the Income Tax Act, 1961 (for short, “the Act”) against the order, dated 25.04.2018, passed in I.T.A.No.224/Vizag/2017 by the Income Tax Appellate Tribunal, Visakhapatnam Bench, Visakhapatnam, for the assessment year 2013-14. We have heard the submissions of Ms. M. Kiranmayee, learned standing counsel for Income Tax Department, appearing for the appellant and of Sri G.V.N. Hari, learned counsel, appearing for the sole respondent. We have perused the material record. Though it is stated in the grounds of appeal that certain substantial questions of law are involved, it is not in dispute that as per Circular No.3 of 2018, dated 11.07.2018, of the Central Board of Direct Taxes, an appeal shall not be filed in cases, where the tax effect does not exceed the monetary limit of Rs.50,00,000/- in the event, the appeal is to be instituted before a High Court. Hence, this appeal is filed having regard to the terms of the said Circular. Be that as it may. Circularno.17/2019 [F.No.279/Misc.142/2007-ITJ(Pt.)], dated 08.08.2019, was issued enhancing the monetary limits for filing appeals by the department before the Income Tax Appellate Tribunal and High Courts and SLPs/appeals before the Supreme Court. By the said Circular, Circular no.3/2018 is amended. As per the revised monetary limit, an appeal shall not be filedin cases where the tax effect does not exceed monetary limit of Rs.1.00 Crore, in the event the appeal is to be instituted before the High Court. Further, DCIT (OSD) (ITJ-I), CBDT made it clear in his letter, dated 20.08.2019, addressed to all Principal Chief Commissioners of Income Tax that the revised monetary limits mentioned in the Circular 17/19 are applicable to all pending SLPs/appeals/cross objections/references and that all such matters within the revised limits shall be withdrawn. In that view of the matter, this appeal is liable for dismissal as admittedly, the tax effect does not exceed the revised monetary limit of Rs.1.00 Crore and as the subject matter of this appeal does not fall within the exceptions carved out in the Circular/s for being contested on merits notwithstanding that the tax effect entailed is less than revised monetary limit in the Circular no.17/19. Accordingly, we find that in view of the contents of the aforementioned Circular no.17/19, dated 08.08.2019, the appeal is liable for dismissal at the stage of admission. In the result, the appeal is dismissed. No order as to costs. As a sequel, pending miscellaneous petitions, if any, shall stand closed. No order as to costs. _________________________ M. SEETHARAMA MURTI, J 11.09.2019. Vjl _______________ J.UMA DEVI, J Vjl THE HONOURABLE SRI JUSTICE M. SEETHARAMA MURTI AND THE HONOURABLE MS. JUSTICE J.UMA DEVI I.T.T.A No.155 of 2019 Date:11.09.2019