THE INCOME TAX OFFICER vs. SMT. SARLA GUPTA

PDF · subscribers
TAXC/147/2018HC ChhattisgarhCGHC01033819201830 April 2019Author: HON'BLE THE ACTING CHIEF JUSTICE,HON'BLE SHRI JUSTICE PARTH PRATEEM SAHU1 pages
AI SummaryDismissed

What did the High Court hold?

The High Court held that in view of the CBDT circular dated 11-7-2018, which mandates that departmental appeals shall not be filed where the tax effect does not exceed Rs. 50,00,000/- for appeals before the High Court, the present appeal, with a tax effect of Rs. 16,07,665/-, is dismissed. The reasoning is that the tax effect is below the prescribed monetary limit. The Court explicitly stated that the question of law raised in the appeal shall remain open for decision in an appropriate case. No specific operative directions like remand or deletion were issued, as the appeal was dismissed on a procedural ground.

What were the facts?

The Income Tax Officer, Jagdalpur, filed an Income Tax Appeal before the High Court of Chhattisgarh, Bilaspur, challenging an order. The tax effect assessed by the Department in this appeal was approximately Rs. 16,07,665/-. The Central Board of Direct Taxes (CBDT) issued a circular on July 11, 2018, setting monetary limits for filing departmental appeals. For appeals before the High Court, the monetary limit was set at Rs. 50,00,000/-. This circular was made effective retrospectively.

What were the issues?

1. Whether the present Income Tax Appeal, with a tax effect of Rs. 16,07,665/-, is maintainable before the High Court in light of the CBDT circular dated 11-7-2018 setting a monetary limit of Rs. 50,00,000/- for High Court appeals? Assessee's Contention: The judgment does not record any specific contentions made by the assessee. The appeal was dismissed based on the CBDT circular. Revenue's Contention: The revenue, as the petitioner, filed the appeal. The judgment does not record specific arguments made by the revenue, but the appeal was dismissed due to the tax effect being below the prescribed monetary limit as per the CBDT circular.

AI-generated summary — verify with the full judgment below

NAFR HIGH COURT OF CHHATTISGARH, BILASPUR TAXC No. 147 of 2018 • The Income Tax Officer, Aaykar Bhawan, Behind Jhankar Talkies, Civil Lines, Jagdalpur, District – Bastar Chhattisgarh. ---- Petitioner Versus • Smt. Sarala Gupta, W/o Mukesh Gupta, Prop. M/s. Electronic Traders, Vadhera Complex, Jagdalpur, District - Bastar Chhattisgarh ---- Respondent For Petitioner Shri Amit Choudhari, Ms Naushina Ali & Shri Ajay Kumrani, Advocates Hon'ble Shri Prashant Kumar Mishra, Ag.CJ Hon'ble Shri Parth Prateem Sahu, J. Order on Board By Prashant Kumar Mishra, Ag. CJ 01/05/2019

1.

In the present Income Tax Appeal the tax effect assessed by the Department is at about Rs.16,07,665/-. The Central Board Direct Taxes (CBDT) has issued a circular on 11-7-2018 deciding that the Department Appeals may be filed on merits before the Income Tax Appellate Tribunal, High Courts and SLPs/Appeals before the Supreme Court keeping in view the monetary limits stating further that henceforth appeals/SLPs shall not be filed in cases where the tax effect does not exceed the monetary limits provided in para 3 of the circular. For appeals before the High Court the monetary limit is Rs.50,00,000/-. The circular dated 11-7-2018 has been made effective retrospective vide para 13 thereof.

2.

In view of the CBDT circular, since in the present appeal the tax effect is below the monetary limit, the same is dismissed. However, the question of law raised in the appeal shall remain open for decision in an appropriate case. (Prashant Kumar Mishra)

(Parth Prateem Sahu) Acting Chief Justice Judge Chandra

Recent GST High Court judgments

Search GST case law →