TMI Blog2019 (9) TMI 904X X X X Extracts X X X X X X X X Extracts X X X X ..... ed therein fall in the category of exceptions prescribed by the CBDT in the Circular or subsequently. - ITA/CO No. 53/Bang/2018, 55/Bang/2018, 57/Bang/2018, 266/Bang/2019, 280/Bang/2017, 908/Bang/2018, 911/Bang/2018, 912/Bang/2018, 1098/Bang/2019, 1099/Bang/2019, 1128/Bang/20169, 1230/Bang/2019, 1241/Bang/2013, 1311/Bang/2019 - - - Dated:- 16-9-2019 - ITA/CO No. 1314/Bang/2016, 1406/Bang/2019, 1551/Bang/2019 And 2067/Bang/2016 Shri B.R Baskaran, Accountant Member And Smt. Beena Pillai, Judicial Member For the Appellants : Dr. Shankar Prasad K , Addl. CIT For the Respondents : Ms/S/Shri Narendra Sharma, Advocate, Prashanth G.S, C.A, V Chandrashekar, Advocate, Rakesh C.R, C.A, Kashinath, Advocate ORDER PER BENCH: These are appeals by the revenue and are directed against the respective orders of the CIT(Appeals). All these appeals call into question correctness of the relief granted to the taxpayers by the Commissioners of Income Tax (Appeals) and, most importantly, the tax effect involved in all these appeals does not exceed ₹ 50,00,000/- in each of these appeals. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 377; 50,00,000 or less. What it means, in plain words, is that when a Commissioner (Appeals) gives the taxpayer tax relief of upto ₹ 50 lakhs in an appeal in an assessment year, the matter ends there and the relief so granted by the Commissioner (Appeals) cannot be challenged before this Tribunal, that when this Tribunal gives the taxpayer relief of upto ₹ 1 crore in an appeal in an assessment year, the matter ends there and the relief so granted by the Tribunal cannot be challenged before the Hon ble High Court, and that when Hon ble High Court gives relief of upto ₹ 2 crore to the taxpayer in an appeal in an assessment year, that relief cannot be challenged before Hon ble Supreme Court. These monetary threshold limits for filing of appeals by the income tax authorities do not take into account interest and other corollaries of the tax demands being confirmed such as penalties, except when a penalty itself is subject matter of litigation, and prosecutions. The enhancement of these monetary limits is at an unprecedented scale. The monetary limit for appeals before this Tribunal, which was ₹ 3,00,000 till 10th July 2014, has been in effect enhanced to almost ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not to read the circular in a manner so as to nullify the underlying approach and object of reducing litigation. Shri Soparkar, learned Senior Advocate, submits that all that the present circular does is to modify the monetary limits and nothing more, and, therefore, it cannot be treated to follow any other approach other than the approach followed in the old circular. The old circular, beyond any dispute or controversy, categorically applied to the pending appeals as on the date of issuance of circular. Shri Tushar Hemani, learned Senior Advocate, points out that the circular dated 8th August 2019 only gives further relief not only in terms of the monetary limits but also in terms of the manner in which the application of circular to orders dealing with more than one year is to made. Shri S N Divetia, learned counsel for the assessee, submits that unlike in the cases of earlier CBDT circulars, which used to be in supersession of earlier circulars on the issues, the circular dated 8th August 2019 only modifies the earlier circular which, inter alia, provided for its retrospective application. Our attention is invited to some judicial precedents in support of the contention that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... igh Court 1,00,00,000 3Before Supreme Court2,00,00,000 3. Further, with a view to provide parity in filing of appeals in scenarios where separate order is passed by higher appellate authorities for each assessment year vis-a-vis where composite order for more than one assessment years is passed. Para 5 of the circular is substituted by the following para: 5. The Assessing Officer shall calculate the tax effect separately for every assessment year in respect of the disputed issues in the case of every assessee. If in the case of an ass essee, the disputed issues arise in more than one assessment year, appeal can be filed in respect of such assessment year or years in which the tax effect in respect of the disputed issues exceeds the monetary limit specified in para 3. No appeal shall be filed in respect of an assessment year or years in which the tax effect is less than the monetary limit specified in para 3. Further, even in the 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 filed in r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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