Alpha X-Ray Technologies (I) P.Ltd, ... vs Department Of Income Tax

आयकर अपील य अ धकरण, मंब ु ई IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES 'A' MUMBAI सव ी आय.पी. बंसल, या यक सद य एवं डी. क णाकर राव,ु लेखा सद य

BEFORE SHRI I.P. BANSAL, JUDICIAL MEMBER AND

SHRI D.KARUNAKARA RAO, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.5091/MUM/2013 नधा रण वष /Assessment Year 2009-10 The DCI T 10(1), बनाम/ M/s. Alpha X-Ray Room No.455,4 t h Floor, Technologies (I) Pvt. Ltd., Vs. Aaykar Bhavan, MK Road, 24, Godwill Premises, Mumbai 400020 178, Swastik Estate, CST Road, Kalina, Mumbai 400098 थायी ले खा सं . /जीआइआर सं . /PAN/GIR No. : AAACA 3823E (अपीलाथ /Appellant) .. ( यथ / Respondent)

Appellant by Shri Jeevanlal Lavidiya Respondent by None सनु वाई क" तार$ख / Da te o f Hearing : 10/06/2015 घोषणा क" तार$ख /Date of Pronouncement : 10/06/2015

आदे श / O R D E R

PER I.P.BANSAL,J.M:

This is an appeal filed by the Revenue and it is directed against the order passed Ld. CIT(A)-21, Mumbai for the assessment year 2009-10. Grounds of appeal read as under:

1. "On the facts and in the circumstances of the case and in law the Ld. CIT(A) erred in deleting the addition of Rs. 8,45,000/- representing commission expenses ignoring the fact that commission payments pertain to A.Y. 2008- 09 and it was held in assessment order for A.,Y. 2008-09 that the assessee would not be entitled to claim deduction in any subsequent year."

2. "On the facts and in the circumstances of the case and in law the Ld. CIT(A) erred in deleting addition of Rs. 2,00,000/- representing the prior period expenditure without appreciating the fact the sale of equipment was made in

2 आयकर अपील सं. / ITA No.5091/MUM/2013 नधा रण वष /Assessment Year 2009-10

earlier year and expenditure thereof should have been allowed in that year as per established principles of accountancy"

2. It is seen from the grounds of appeal that the deletion of addition contested by the Revenue is only a sum of Rs.10,45,000/-, on which tax effect is less than Rs.4.00 lacs. Vide CBDT Instruction No.5/2014 F.No.279/MISC.142/2007-ITJ(PT)] dated 10/07/2014, the tax effect limit for filing the appeal before the Tribunal by the Revenue was enhanced from Rs.3.00 lacs to Rs.4.00 lacs.

4. We have considered the submissions of Ld. DR. However, according to following decisions of Hon'ble Jurisdictional High Court, such notifications issued under section 268A would be applicable even to the appeals filed before issue of the notification if the limit is enhanced:

1. In the case of CIT vs. Smt. Vijaya Kavekar (2013 30 taxmann.com 412) it was held as under:

Section 260A, read with Section 268A, of the Income-tax Act, 1961 - High Court - Appeals to - Tax effect - Whether Instruction No. 3 of 2011, dated 9- 2-2011, specifying monetary limit of Rs. 10 lakhs for maintainability of appeal before High Court is applicable on pending appeals as well - Held, yes - Whether, therefore, where tax effect in revenue's appeals was less than Rs. 10 lakhs which was filed even prior to issue of Instruction dated 9-2-2011, same was to be dismissed being non-maintainable - Held, yes [In favour of assessee]

2. In the case of CIT vs. Madhukar Imandar (2009 185 Taxman 101] it was held as under:

Section 268A, read with section 119, of the Income-tax Act, 1961 - Appeal or application for reference - Filing of, by income-tax authority - Whether circular/Income-tax Instruction No. 5 of 2008, dated 15-5-2008 issued by CBDT directing income-tax authorities not to file appeals if tax effect is less than Rs. 4 lakhs would be applicable to cases pending before High Court as on 15-5-2008 either for admission or for final disposal, even though said appeals and/or petitions were filed before High Court prior to 15-5- 2008 - Held, yes

3 आयकर अपील सं. / ITA No.5091/MUM/2013 नधा रण वष /Assessment Year 2009-10

5. In this view of the situation, we dismiss the appeal filed by the Revenue on account of low tax effect as per aforementioned instruction issued by CBDT.

Order pronounced in the open court on 10/06/2015 आदे श क" घोषणा खल ु े यायालय म* +दनांकः 10/06/2015 को क" गई ।

Sd/- Sd/- (डी. क णाकर रावु / D.KARUNAKARA RAO) (आय.पी. बंसल / I.P. BANSAL) लेखा सद य / ACCOUNTANT MEMBER या यक सद य / JUDICIAL MEMBER मुंबई Mumbai; +दनांक Dated 10/06/2015 आदे श क त ल प अ!े षत/Copy of the Order forwarded to : 1. अपीलाथ / The Appellant 2. यथ / The Respondent. 3. आयकर आय/ ु त(अपील) / The CIT(A)- 4. आयकर आयु/त / CIT

5. 0वभागीय त न2ध, आयकर अपील$य अ2धकरण, मुंबई / DR, ITAT, Mumbai

6. गाड फाईल / Guard file.

आदे शानुसार/ BY ORDER, स या0पत त //True Copy// उप/सहायक पंजीकार (Dy./Asstt. Registrar) आयकर अपील य अ धकरण, मुंबई / ITAT, Mumbai व. न.स./Vm, Sr. PS