COMMISSIONER OF INCOME TAX (TDS), vs. HONEY SHIP BREAKING PVT. LTD.,

PDF · subscribers

TAXAP/267/2018HC GujaratGJHC24011259201827 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 of Gujarat at Ahmedabad disposed of the tax appeal. The Court noted that the appeal was not pressed by the appellant (Revenue) in view of the low tax effect, aligning with Circular No. 17/2019. This circular sets monetary limits for appeals before various authorities, with appeals before the High Court having a monetary limit of Rs. 1,00,00,000. Since the tax effect was below this threshold, the appeal was disposed of accordingly. The Court reserved the liberty for the Revenue to revive the tax appeal in case of any difficulty. No specific finding was made on the merits of the original dispute.

What were the facts?

The appeal was filed by the Commissioner of Income Tax (TDS) against Honey Ship Breaking Pvt. Ltd. The appeal was notified for an appropriate order due to low tax effect. The High Court of Gujarat at Ahmedabad was considering the appeal. The judgment references Circular No. 17/2019, dated 8th August, 2019, issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board of Direct Taxes, which sets monetary limits for appeals. The appeal was not pressed by the appellant in light of this circular and the monetary limits prescribed therein.

What were the issues?

1. Whether the appeal should be dismissed due to low tax effect, as per Circular No. 17/2019? Assessee's Contention: The assessee did not explicitly argue, but the appeal was not pressed by the appellant (Revenue) in view of the low tax effect and the prevailing circular. Revenue's Contention: The Revenue did not press the appeal, citing Circular No. 17/2019, which establishes monetary limits for filing appeals. The appeal's tax effect was below the prescribed limit for High Court appeals (Rs. 1,00,00,000).

AI-generated summary — verify with the full judgment below

C/TAXAP/267/2018 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 267 of 2018 ========================================================== COMMISSIONER OF INCOME TAX (TDS), Versus HONEY SHIP BREAKING PVT. LTD., ========================================================== Appearance: MRS MAUNA M BHATT(174) for the Appellant(s) No. 1 MS VAIBHAVI K PARIKH(3238) 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/267/2018 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) KUMAR ALOK Page 2 of 2

Recent GST High Court judgments

Search GST case law →