TaxTMI 
TaxTMI 
2021 (1) TMI 613
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....through investigation Wing Kolkata. 2. Whether on the facts and in the circumstances of the case, The Ld. CIT(A) was justified in deleting the additions of Rs. 90,00,000/- + interest of Rs. 1,18,330/- inspite of specific findings of the Assessing Officer in the assessment order. 3. The appellant craves leave to add to or deduct from or otherwise amend the above grounds of appeal." 2. The facts giving rise to the present appeal are that the case of the assessee was reopened for assessment, on the ground that the assessee had obtained bogus share application money of premium. Therefore, the assessment was reopened, the assessing officer was farmed the assessment u/s. 147 r.w.s. 143(3) of the Income Tax Act 1961 (hereinafter referred as the Act) while framing the assessment, assessing officer noticed that perusing the details of "Loan and Advances" it was found that the assessee company had taken 'Loan and Advances' from three companies namely M/s. Purvi finvest Ltd., M/s. East West Finvest Ltd. and M/s. Trimurti Finvest Ltd. and has charged interest thereon. The assessing officer did not accept the explanation of the assessee and made addition of Rs. 90,0....
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.... light of the Circular No. 17/2019 dated 8th August, 2019 as issued by the Hon'ble CBDT wherein monetary limit of tax effect for filing of appeals by the Department before the Hon'ble Income Tax Appellate Tribunal was enhanced to Rs. 50,00,000/- from the erstwhile monetary limit of Rs. 20,00,000/-1.2.2] The Hon'ble CBDT in Para 4 of the Circular No. 3/2018 dated 11th July, 2018 defined the term 'tax effect' as 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. The Circular also specifically mentioned that 'tax effect' shall be tax including applicable surcharge and cess but will not include any interest thereon. 1.2.3] The 'tax effect' involved in the present appeal as filed by the Department is computed hereunder for your ready reference: S. No. Particulars Amount [in Rs.] 1.1 Amount of assessed in the assessment order passed income under section 147 r.w.s.143(3) of the Act 1,14,65,710&n....
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....of the circular issued by CBDT. 7. We have heard rival submissions and materials placed before us and gone through the orders of lower authorities. The contentions of the assessee are that case does not fall in the exception clause. He brought to our notice, Circular No. 23 of 2019 dated 06.09.2019 and Office Memorandum dated 16.09.2019, for the sake of clarity both the Circular and Office Memorandum are reproduced as under; Circular No. 23 of 2019 : F, No. 279/Misc./M-93/2018-ITJ (Pt.) Government of India Ministry of Finance Department of Revenue Central Board Direct Taxes Judicial Section New Delhi, 6th September 2019 Subject: -Exception to monetary limits for filing appeals specified in any Circular issued under Section 268A of the Income-tax Act, 1961-reg Reference is invited to the Circulars issued from time to time by Central Board of Direct Taxes (the Board) under section 268A of the Income-tax Act, 1961 (the Act), for laying down monetary limits and other conditions for filing of departmental appeals before Income Tax Appellate Tribunal (ITAT), High Courts and SLPs/appeals before Supreme Court. 2. Several references have be....
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.... Taxes New Delhi, Dated: 16th September, 2019 OFFICE MEMORANDUM Subject: -Special Order of Board exempting cases involving bogus Long Term Capital Gains(LTCG)/Short Term Capital Loss (STCL) through penny stocks from monetary limits specified in any Circular issued under Section 268A of the Income-tax Act, 1961-reg The undersigned is directed to refer to Circular No. 23 of 2019 dated 6th September, 2019 and to say that by virtue of powers of the Central Board of Direct Taxes u/s. 268A of Income-tax Act, 1961, the monetary limits fixed for filing appeals before ITAT/HC and SLPs/appeals before Supreme Court shall not apply in case of assesses claiming bogus LTCG/STCL through penny stocks and appeals/SLPs in such cases shall be filed on merits. Sd/- (Abh hek Gautam) DCIT(OSD)(ITJ-1), CBDT, New Delhi. Copy to: 1. The Chairman, Members and all other officers in CBDT of the rank of Under Secretary and above. 2. All Principal Chief Commissioners of Income-tax and Director Generals of Income-tax. 3. ADG (PR, PP & OL), Mayur Bhawan, New Delhi for printing in the quarterly Tax Bulletin and for circ....