Appeal Dismissed: Revenue Dept vs. CIT(A) under IT Act 1961

The Appellate Tribunal ITAT Amritsar dismissed the Revenue Department's appeal against an order by the Ld. CIT(A) under section 250(6) of the Income Tax Act, 1961. The appeal was rejected as the tax effect did not exceed 50 lacs, in compliance with CBDT Circular No.17/2019, which limits appeals below the specified threshold. The Tribunal allowed the Revenue Department to seek a recall if falling within exceptions in Circular No.03/2018 or if the tax effect surpassed 50 lacs. Ultimately, the appeal was withdrawn in line with the Circular's provisions.

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Issues: Jurisdiction of Appellate Tribunal based on tax effect under CBDT Circular No.17/2019.

In this judgment by the Appellate Tribunal ITAT Amritsar, the Revenue Department appealed against an order by the Ld. CIT(A) under section 250(6) of the Income Tax Act, 1961. The appeal was contested on the grounds that the tax effect involved did not exceed 50 lacs, rendering it not maintainable as per the CBDT Circular No.17/2019. The Circular precludes the Revenue Department from filing appeals before the appellate tribunal when the tax effect is below the specified limit. The Tribunal observed the tax effect was within the limit, leading to the dismissal of the appeal. However, the Revenue Department was granted liberty to seek a recall of the order if the appeal fell within exceptions specified in Circular No.03/2018 or if the tax effect exceeded 50 lacs. Ultimately, the appeal was dismissed as withdrawn, in accordance with the Circular's provisions. The judgment was pronounced in open court on 22/08/2019.

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