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Issues Involved:
1. Deletion of additions by the CIT(A) 2. Clubbing of HUF income with individual income 3. Admissibility of Revenue's appeals based on monetary limits 4. Cross-objections by the assessee Issue-wise Detailed Analysis: 1. Deletion of Additions by the CIT(A): The Revenue challenged the deletion of various additions by the CIT(A). The CIT(A) had reduced an addition of Rs. 25,000 under 'income from other sources' by Rs. 20,800 for the assessment year 1998-99. The Assessing Officer had initially made this addition during the assessment proceedings. The CIT(A)'s finding on this count was contested by the Revenue. 2. Clubbing of HUF Income with Individual Income: The Assessing Officer proposed to club the income of Dev Raj Agarwal, HUF with the individual income of the assessee, who is engaged in trading hardware under the proprietary concern "M/s. Raj Hardware". The assessee's explanation against this proposal was rejected by the Assessing Officer. However, on appeal, the CIT(A) held that the HUF's income was separately taxable and could not be clubbed with the individual income of the assessee. This deletion of addition by the CIT(A) was also challenged by the Revenue. 3. Admissibility of Revenue's Appeals Based on Monetary Limits: A preliminary objection was raised by the assessee regarding the admissibility of the Revenue's appeals, arguing that the tax effect involved was below the monetary limit prescribed by the Central Board of Direct Taxes (CBDT) for filing appeals before the Tribunal. The Tribunal considered various instructions and circulars issued by the CBDT, including Instruction No. 1979 dated 27-3-2000, which set revised monetary limits for filing appeals. The Tribunal noted that the specific expression "tax effect" was used in the latest instruction, and appeals should not be filed if the tax effect was below Rs. 1,00,000 for appeals before the Appellate Tribunal. The Tribunal referenced several judicial decisions, including those from the Hon'ble Bombay High Court and the Supreme Court, which supported the binding nature of CBDT's instructions on tax officials. Consequently, the Tribunal concluded that the appeals filed by the Revenue, where the tax effect was less than the prescribed limit, were not maintainable and dismissed all the appeals directed by the Revenue. 4. Cross-objections by the Assessee: The assessee had filed cross-objections. However, during the hearing, the learned Counsel for the assessee conceded that if the Revenue's appeals were dismissed, the cross-objections would not be pressed. Following the dismissal of the Revenue's appeals, the Tribunal dismissed all the cross-objections raised by the assessee. Conclusion: The Tribunal dismissed all the appeals filed by the Revenue due to non-maintainability based on the monetary limits prescribed by the CBDT. Consequently, the Tribunal did not delve into the merits of the additions or reliefs. Following this, the cross-objections filed by the assessee were also dismissed.
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