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TMI Blog2007 (7) TMI 433X X X X Extracts X X X X X X X X Extracts X X X X ..... dhary Transport Company, the income has been computed at Rs. 3,58,788. 2. As a preliminary ground, learned AR contended that the tax effect in the appeals filed by the revenue are below Rs. 2,00,000, as per Circular No. F. 279/Misc.64/05-IT dated 24-10-2005, the revenue should not have come in the appeal before the Tribunal, where the tax effect is less than Rs. 2,00,000. We found that in both the cases, appeals have been filed by the department in January 2007, which is after the date of the Circular i.e., 24-10-2005. Learned DR also furnished copy of various Tribunal s orders wherein on the ground of tax effect the appeals of the revenue were dismissed. Copies of Tribunal s orders in case of ITA Nos. 5143 to 5145/Del/03, order dated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 961, both the appeals deserves to be dismissed. 5. As per our considered view the instructions for not filing the appeals with regard to the quantum of revenue effect being less than particular amount have not been issued by the Central Board of Direct Taxes in a light hearted manner. These are issued after a great deal of deliberation and discussion where every aspect of the matter, more particularly the question of loss of revenue is examined in depth. Every officer is enjoined with the duty to advance the policies laid down by the Central Board of Direct Taxes and see that these are not defeated. The instructions are also aimed at reducing arrears of appeals in courts and Tribunals. The Central Board of Direct Taxes, in the Circular ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 279/126/98-ITJ,dated 27-3-2000, revised the monetary limits. It was held that in case of matters not covered by the exceptions like: ( i ) where revenue audit objection in the case has been accepted by the Department, ( ii ) where the Board s order, notification, instruction or circular is the subject matter of an adverse order, ( iii ) where prosecution proceedings are contemplated against the assessee, and ( iv ) where the constitutional validity of the provisions of the Act are under challenge, the appeals filed by the department should be dismissed. It was observed by ITAT Special Bench in the case of ITO v. Bir Engg. Works [2005] that with a view to reduce the pendency of appeals in the Tribunal, High Court and Supreme Court and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ass of income or class of cases. These instructions could be in the form of guidelines, principles or procedure to be followed by the Income-tax authorities in the work relating to assessment, collection of revenue or the initiation of proceedings for the imposition of penalties. Here also the Board may, if it is of the opinion that it is necessary in the public interest to do so, publish and circulate such instructions. Therefore, it is not in all cases that instructions/circulars issued by the Board under section 119(2) are published by the Board. Thus, the only difference between sub-section (1) and sub-section (2) of section 119 is that while sub-section (2) is more specific with reference to particular class of income or class of cases ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the same approach is not adopted with respect to the old referred cases even if the tax effect is less than Rs. 2 lakhs. In our view, there is no logic behind this approach. This court can very well take judicial notice of the fact that by passage of time money value has gone down, the cost of litigation expenses has gone up, the assessees on the file of the Departments have increased; consequently, the burden on the department also increased to a tremendous extent. The corridors of the superior courts are choked with huge pendency of cases. In this view of the matter, the Board has rightly taken a decision not to file references if the tax effect is less than Rs. 2 lakhs. The same policy for old matters needs to be adopted by the Departm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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