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TMI Blog2022 (3) TMI 1562X X X X Extracts X X X X X X X X Extracts X X X X ..... this case, we find that the order has been passed by the Tribunal on 26.9.2019 and the CBDT issued special circular on 6.9.2019, special circular dated 16.9.2019 i.e. before passing the order of the Tribunal. Therefore, it cannot be alleged that special circular has not been considered by the Tribunal, which is not a mistake apparent on record to recall the order for fresh consideration. In view of above, we dismiss the M.A. application filed by the revenue. X X X X Extracts X X X X X X X X Extracts X X X X ..... ided the similar issue. Hence, this issue is covered in favour of the assessee. 5. We have considered the rival submissions and perused the miscellaneous petition filed by the revenue. There is no dispute to the fact that the appeal of the revenue was dismissed due to tax effect, which fact, is not controverted by the revenue. However, in view of CBDT Circular dated 6.9.2019, special circular dated 16.9.2019, the ld Sr D.R. contended that where the penny stock is involved, the matter should be decided on merits and not on due to low tax effect. For this preposition, ld A.R. referred to the decision of ITAT Ahmedabad in MA No. 334/Ahd/2019 (supra), wherein, similar issue has been decided, by observing as under: as under: "7. We have dul ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o 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 (TTAT). High Courts and. SLPs/appeals before Supreme Court. 2. Several references have been received by the Board that in large number of cases where organised tax-evasion scam is noticed through bogus Long-Term Capital Gain (LTCG)/Short Term Capital Loss (STCL) on penny stocks and department is unable to pursue the cases in h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 19 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 ITA T/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." 6. On reading of the aforesaid circular no. 23 of 2019 so issued by the CBDT, we find that the CBDT has decided that notwithstanding monetary limits for not filing/pursuing appeals in terms of any circular already issued under section 268A of the Act specifying the monetary limits, the appeals by the Revenue can still be filed on merits in cases involving organized tax evasion activity. How ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nscious of the fact that CBDT low tax effect circulars issued from time to time wherein the tax effect have been progressively increased by the -Revenue with a view to minimize the litigation has been read by the Courts and the Tribunal, and even the CBDT has also clarified latter, that these CBDT Circulars shall apply not just to future appeals but also to pending appeals and therefore, where the appeal has already been filed'by the Revenue and is pending, such appeal has been held to be covered by a subsequent low tax effect circular and dismissed on account of low tax effect. However, in the instant case, the issue is regarding carving out an exception from such low tax effect limits and that too, not just by a general order but by w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such Circular and the special order so passed by the CBDT is not a mistake apparent from record which can be rectified within the narrow compass of section 254(2) of the Act." 9. Since there is no disparity on facts, therefore, respectfully following the decision of Coordinate Bench(supra), we do not find any merit in these miscellaneous applications filed by the Revenue. 10. In the result, all the Miscellaneous Applications filed by the Revenue are dismissed." 3. We find that verbatim applications have been filed in the present three cases. The stand of the Revenue is that after circular no. 17/2019, the Department has issued circular no. 23/2019 dated 6.9.2019. According to the new circular certain classes of cases have been carved ..... X X X X Extracts X X X X X X X X Extracts X X X X
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