Property investment addition deleted on remand; departmental appeal then failed under the low tax effect limit.

The disputed addition for investment in property was deleted in appellate proceedings after the assessee produced material and the Assessing Officer, in remand, accepted that the investment was made through the NRE account with the source explained. On that basis, the Department had no surviving grievance on the principal issue. As the remaining grounds then fell below the prescribed monetary limit for departmental appeals, the Revenue's appeal was not maintainable overall.

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Issues: Whether the Revenue's appeal was maintainable when the disputed addition concerning investment in property had been deleted by the first appellate authority on the basis of the Assessing Officer's remand report, and whether the remaining grounds survived in view of the low tax effect.

Analysis: The addition relating to property investment was deleted after the assessee produced material in appellate proceedings and the Assessing Officer, in remand, accepted that the investment was made through the NRE account and treated the source as explained. In such a situation, the Department had no surviving grievance on that issue. Once that ground was held to be not maintainable, the tax effect on the remaining grounds fell below the monetary limit prescribed for departmental appeals before the Tribunal.

Conclusion: The appeal was not maintainable on the principal issue, and the remaining grounds were barred by the low tax effect limit; the decision was in favour of the Revenue only to the extent of the legal objection raised, but the appeal failed overall.

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