COMMISSIONER OF INCOME TAX-II vs. MEDICAL TECHNOLOGIES PVT LTD

PDF · subscribers

TAXAP/149/2012HC GujaratGJHC24042783201227 January 2020Bench: HONOURABLE MR. JUSTICE J.B.PARDIWALA,HONOURABLE MR. JUSTICE BHARGAV D. KARIA2 pages

AI SummaryWithdrawn

What did the High Court hold?

The High Court held that the tax appeal was not pressed by the Revenue in view of the low tax effect, as per Circular No. 17/2019. The Court noted the new policy reflected in the circular, which sets monetary limits for appeals. Specifically, appeals before the High Court have a monetary limit of Rs. 1,00,00,000. Consequently, the appeal was disposed of accordingly. The Court reserved liberty for the Revenue to revive the tax appeal in case of any difficulty. The ratio is that appeals with a low tax effect, falling below the prescribed monetary limits in relevant circulars, are not to be pressed, leading to their disposal.

What were the facts?

This is a tax appeal filed by the Commissioner of Income Tax-II (Revenue) against Medical Technologies Pvt Ltd (Assessee). The appeal was notified for an appropriate order due to a low tax effect. The appeal is being disposed of in light of Circular No. 17/2019, dated August 8, 2019, issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board of Direct Taxes. This circular outlines new monetary limits for filing appeals. The appeal was not pressed by the Revenue.

What were the issues?

1. Whether the appeal should be dismissed due to low tax effect, as per Circular No. 17/2019? (Question of law) Assessee's Contention: The assessee's representative did not make any specific arguments as the appeal was not pressed by the Revenue. However, the context implies the assessee would benefit from the dismissal based on the circular. Revenue's Contention: The Revenue did not press the appeal in view of the low tax effect, citing Circular No. 17/2019. The circular establishes monetary limits for appeals before various authorities, with appeals before the High Court having a limit of Rs. 1,00,00,000.

AI-generated summary — verify with the full judgment below

C/TAXAP/149/2012 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 149 of 2012 ========================================================== COMMISSIONER OF INCOME TAX-II Versus MEDICAL TECHNOLOGIES PVT LTD ========================================================== Appearance: MRS MAUNA M BHATT(174) for the Appellant(s) No. 1 MR B S SOPARKAR(6851) for the Opponent(s) No. 1 ========================================================== CORAM: HONOURABLE MR.JUSTICE J.B.PARDIWALA and HONOURABLE MR. JUSTICE BHARGAV D. KARIA

Date : 27/01/2020

ORAL ORDER (PER : HONOURABLE MR.JUSTICE J.B.PARDIWALA) 1. The Registry has notified the appeal for the purpose of passing an appropriate order. The captioned appeal has been notified because of the low tax effect. The appeal is to be disposed of keeping in mind the Circular No.17/2019, dated 8th August, 2019 issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board Direct Taxes, New Delhi. 2. This tax appeal is not pressed in view of the low tax effect having regard to the Circular No.17/2019, dated 8th August, 2019 issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board Direct Taxes, New Delhi. 3. According to the new policy as reflected from the Circular referred to above, the table for monetary limits is as follows: Page 1 of 2

C/TAXAP/149/2012 ORDER Sr. No. Appeals/SLPs in Incometax matters Monetary Limit (Rs.) 1 Before Appellate Tribunal 50,00,000 2 Before High Court 1,00,00,000 3 Before Supreme Court 2,00,00,000 4. In view of the aforesaid, the appeal is disposed of accordingly. In case of any difficulty, we reserve the liberty for the Revenue to revive the tax appeal. (J. B. PARDIWALA, J) (BHARGAV D. KARIA, J) aruna Page 2 of 2

Recent GST High Court judgments

Search GST case law →