IN INCOME TAX APPELLATE TRIBUNAL KOLKATA B BENCH, KOLKATA [Before Shri P.M. Jagtap, Hon ble Vice President-KZ & Sri S.S. Viswanethra Ravi, Hon ble Judicial Member] I.T.A. No. 1421/Kol/2018 Assessment Year: 2010-11 Asstt. Commissioner of Income Tax, Circle-28, Kolkata .......Appellant Vs. M/s. Shimpho Exports ..... Respondent 2,B.B. Sengupta Road Behala Kolkata- 700034 [PAN: AAMFS 0504 K] Appearances by: Shri Robin Choudhury, Addl. CIT, Sr. D/R, appearing on behalf of Revenue None, appeared on behalf of assessee. Date of concluding hearing : August 28th, 2019 Date of pronouncing order : August 28th, 2019 ORDER Per P.M. Jagtap, VP-KZ :- Admittedly tax effect in this revenue appeal, is less than Rs.50,00,000/-. In Circular No. 17/2019, dt. 08/08/2019 vide F. No. 279/ Misc. 142/2007-ITJ(Pt.), CBDT has modified Circular No. 3 of 2018 dt. 11/07/2018. Further, CBDT in its circular F. No. 279/Misc./M-93/2018-ITJ, dt. 20/08/2019, has clarified that revised monetary limits, so mentioned in Circular No. 17/2019 is applicable to all pending appeals. As per these circulars all revenue appeals filed before ITAT, having tax effect of less than Rs.50,00,000/- have to treated as withdrawn. 2. Ahmedabad Bench of ITAT in case of ITO vs. Dinesh Madhavlal Patel in ITA No. 1398/Ahd/2004, Assessment Year 1998-99, order dt. 14/08/2019, while disposing off appeal along with 627 others appeals, held as follows:- 5. Having considered rival submissions and having perused material on record, we do not have slightest of hesitation in holding that concession extended by CBDT not only applies to appeals to be filed in future but it is also equally applicable to appeals pending for disposal as on now. Our line of reasoning is this. circular dated 8th August 2019 is not standalone circular. It is to be read in conjunction with CBDT circular no 3 of 2018 (and subsequent amendment thereto), and all it does is to replace paragraph nos. 3 and 5 of said circular. This is evident from following extracts from circular dated 8th August 2019: 2. As step towards further management of litigation. it has been decided by Board that monetary limits for filing of appeals in income-tax cases be enhanced further through amendment in Para 3 of Circular mentioned above and accordingly. table for monetary limits specified in Para 3 of Circular shall read as follows: S.No. Appeals/SLPs in Income-tax matters Monetary Limit (Rs.) 1 Before Appellate Tribunal 50,00,000 2 I.T.A. No. 1421/Kol/2018 Assessment Year: 2010-11 M/s. Shimpho Exports 2 Before High Court 1,00,00,000 3 Before Supreme Court 2,00,00,000 3. Further, with view to provide parity in filing of appeals iin n scenarios where separate order is passed by higher appellate authorities for each assessment year vis vis-a-vis vis where composite order for more than one assessment years is passed. para 5 of circular is substituted by following para: 5. Assessing Officer shall calculate tax effect separately for every assessment year in respect of disputed issues in case of every assessee. If in case of assessee, disputed issues arise in more than one assessment year, appeal can be filed in respect of such assessment year or years in which tax effect in respect of disputed issues exceeds monetary limit specified in para 3. No appeal shall be filed in respect of assessment year or years in which tax effect iss less than monetary limit specified in para 3. Further, even in case of composite order of any High Court or appellate authority which involves more than one assessment year and common issues in more than one assessment year no appeal shall be filfiled ed in respect of assessment year or years in which tax effect is less than monetary limit specified in para 3. In case where composite order/ judgement involves more than one assessee, each assessee shall be dealt with separately 4. said d modifications shall come into effect from date of issue of this Circular. 6. Clearly, all other portions of circular no. 3 of 2018 (supra) have remained intact. portion which has remained intact includes paragraph 13 of aforesaid circula circular which is as follows: 13. This Circular will apply to SLPs/ appeals/ cross objections/references to be filed henceforth in SC/HCs/Tribunal and it shall also apply retrospectively to pending SLPs/ appeals/ cross objections/references. Pending appeals belo beloww specified tax limits in pare 3 above may be withdrawn/ not pressed. 7. In view of above discussions, we hereby hold that relaxation in monetary limits for departmental appeals, vide CBDT circular dated 8th August 2019 (supra) shall be applic applicable to pending appeals in addition to appeals to be filed henceforth. 8. Learned Commissioner (DR) then submits liberty may kindly be given to point out, upon necessary further verifications, and to seek recall dismissal of appeals and restor restoration of appeals in cases (i) in which it can be demonstrated that appeals are covered by exceptions, and (ii) which are inadvertently included in this bunch of appeals, wherein tax effect, in terms of CBDT circular (supra), exceeds Rs 50,00,000. None opposes this prayer; we accept same. We make it clear that appellants shall be at liberty to point out cases which are wrongly included in appeals so summarily dismissed, either owing to wrong computation of tax effect oorr owning to such cases being covered by permissible exceptions- or for any other reason, and we will take appropriate remedial steps in this regard. 9. In light of above discussions, all appeals stand dismissed as withdrawn. As appeals filed by Revenue are found to be non non-maintainable maintainable and as all related cross- cross objections of assessee arise only as result of those appeals and merely support order of CIT(A), cross objections filed by assessee are also dismissed as infructuous. Ordered, accordingly. 3 I.T.A. No. 1421/Kol/2018 Assessment Year: 2010-11 M/s. Shimpho Exports 3. Respectfully following same and while giving liberty to parties as per Para 8 of order of Ahme Ahmedabad dabad Bench of ITAT (supra), we dismiss this appeal of revenue as withdrawn. 4. In result, appeal of revenues is dismissed. Kolkata, 28th day of August, 2019. Sd/- Sd/- [S.S. Viswanethra Ravi] [P.M. P.M. Jagtap] Jagtap Judicial Member Vice President Dated : 28.08.2019 {SC SPS} Copy opy of order forwarded to: 1. M/s. Shimpho Exports 2,B.B. Sengupta Road Behala Kolkata- 700 034 2. Asstt. Commissioner of Income Tax, Circle Circle-28, Kolkata 3. CIT(A)- 4. CIT- , 5. CIT(DR), Kolkata Benches, Kolkata. True copy By order Assistant Registrar ITAT, Kolkata Benches Asst. Commissioner of Income-tax, Circle- 28, Kolkata v. Shimpho Export