TMI Blog2018 (8) TMI 1545X X X X Extracts X X X X X X X X Extracts X X X X ..... ect is less than ₹ 20,00,000/-. These instructions are operative retrospectively to the pending appeals. Keeping in view the CBDT Circular No. 3 of 2018 dated 11. 07. 2018, we are of the view that the Revenue should not have filed the instant appeal before the Tribunal. - ITA No.422/Del/2016 And CO Nos. 123 And 124/Del/2016 - - - Dated:- 23-8-2018 - Sh. N. K. Saini, AM And Ms S. Kamble, JM For The Assessee : Shri S.B. Gupta, CA For The Revenue : Ms Rachna Singh, CIT DR ORDER Per N . K . Saini, AM: The appeal by the department for the Asstt. Year 2007-08 and Cross Objections by the assessee for the Asstt. Years 2006-07 2007-08 are against the separate orders each dated 30. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e ambit of 10(a) as these issues have been decided by the Courts without appreciating the clear and unambiguous provisions of the Act and on most issues the Revenue is in appeal against the said judgments. The case of Kabul Chawla decided by the Delhi High Court is a case in point. 4. We have considered the submissions of both the parties. In our opinion, the amended circular is not applicable to the facts of the present case rather it is covered by the original circular No. 3/18 dated 11. 07. 2018, vide which the CBDT has revised the monetary limit to ₹ 20,00,000/- for not filing the appeal before the Tribunal, the said circular reads as under: Subject: Revision of monetary limits for filing of appeals by the Department ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n merits of the case . 4 . For this purpose, tax effect means the difference between the tax on the total income assessed and the tax that would have been chargeable had such total income been reduced by the amount of income in respect of the issues against which appeal is intended to be filed (hereinafter referred to as disputed issues) . Further, tax effect shall be tax including applicable surcharge and cess . However, the tax will not include any interest thereon, except where chargeability of interest itself is in dispute . In case the chargeability of interest is the issue under dispute, the amount of interest shall be the tax effect . In cases where returned loss is reduced or assessed as income, the tax ef ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... income is computed under the provisions of section 115JB or section 115JC, for the purposes of determination of tax effect , tax on the total income assessed shall be computed as per the following formula- ( A - B) + (C - D) where, A = the total income assessed as per the provisions other than the provisions contained in section 115JB or section 115JC (herein called general provisions); B = the total income that would have been chargeable had the total income assessed as per the general provisions been reduced by the amount of the disputed issues under general provisions; C = the total income assessed as per the provisions contained in section 115JB or section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... claimed relief from the Tribunal or the Court only on the ground that the Department has implicitly accepted the decision of the Tribunal or Court in the case of the assessee for any other assessment year or in the case of any other assessee for the same or any other assessment year, by not filing an appeal on the same disputed issues . The Departmental representatives/counsels must make every effort to bring to the notice of the Tribunal or the Court that the appeal in such cases was not filed or not admitted only for the reason of the tax effect being less than the specified monetary limit and, therefore, no inference should be drawn that the decisions rendered therein were acceptable to the Department . Accordingly, they should im ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rs other than Income tax . Filing of appeals in other Direct tax matters shall continue to be governed by relevant provisions of statute and rules . Further, in cases where the tax effect is not quantifiable or not involved, such as the case of registration of trusts or institutions under section 12A/ 12AA of the IT Act, 1961 etc . , filing of appeal shall not be governed by the limits specified in para 3 above and decision to file appeals in such cases may be taken on merits of a particular case . 12 . It is clarified that the monetary limit of Rs . 20 lakhs for filing appeals before the ITAT would apply equally to cross objections under section 253(4) of the Act . Cross objections below this monetary limit, alread ..... X X X X Extracts X X X X X X X X Extracts X X X X
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