2023 (1) TMI 1403 - AT - Income Tax

Rectification u/s 154 - Maintainability of the appeal filed by the Revenue before ITAT - low tax effect - Revenue's Misc. Application seeking recall of an order was dismissed by the Appellate Tribunal 2021 (4) TMI 1383 - ITAT AHMEDABAD wherein the appeal of the Revenue was dismissed on account of low tax effect - as argued appeal of the Revenue fell under the Exceptions to the applicability of the said CBDT Circular mentioned therein and exception, as per the application, is that the case related to where Revenue audit objection had been accepted by the Department HELD THAT - DR fairly agreed with the fact that revenue audit objection was in respect of assessment framed under section 147 of the Act and not that u/s 154 of the Act, in which proceedings the present appeal lays. Since admittedly the proceedings, in relation to which the Revenue has preferred appeal against the appellate order before us, is not in lieu of audit objection being accepted by the Department, the Revenue s case does not fall in the Exception provided in clause 10(c) of the CBDT Circular no.23 of 2019 requiring withdrawal of the appeal of the Department where tax effect fall below the threshold limit. In view of the same, the MA filed by the Revenue merits no consideration, and is dismissed accordingly. Misc. Application of the Revenue is dismissed.

Summary

The Revenue's Misc. Application seeking recall of an order was dismissed by the Appellate Tribunal ITAT AHMEDABAD. The appeal was initially dismissed due to low tax effect under CBDT Circular No.17/2019, but it was found that the Revenue's case did not fall under the exceptions in the Circular. The Revenue's appeal did not relate to an audit objection accepted by the Department, so the application was dismissed.