COMMISSIONER OF INCOME TAX (TDS) vs. SAIJYOTI DYEING AND PRINTING MILLS PVT LTD.

PDF · subscribers

TAXAP/435/2018HC GujaratGJHC24024594201827 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 decided to dispose of the tax appeal in view of the low tax effect, as per Circular No. 17/2019. The court noted the policy reflected in the circular, which sets monetary limits for appeals. For appeals before the High Court, the limit is Rs. 1,00,00,000. Since the appeal was not pressed by the appellant (Revenue) due to the low tax effect, the court disposed of the appeal accordingly. The court also reserved liberty for the Revenue to revive the tax appeal in case of any difficulty. No specific finding on the merits of the original tax dispute was made as the appeal was withdrawn on procedural grounds.

What were the facts?

The appeal, C/TAXAP/435/2018, was filed by the Commissioner of Income Tax (TDS) against Saijyoti Dyeing and Printing Mills Pvt Ltd. The appeal was listed for an order due to a low tax effect. The appeal was to be disposed of in accordance with Circular No. 17/2019, dated 8th August 2019, issued by the Central Board of Direct Taxes. This circular outlines monetary limits for filing appeals before various authorities, including the High Court, where the limit is Rs. 1,00,00,000.

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 and fact, turning on the interpretation and application of Circular No. 17/2019). Assessee's Contention: The appeal is not pressed in view of the low tax effect, citing Circular No. 17/2019. Revenue's Contention: The judgment does not record any specific contention from the revenue regarding the merits of the appeal. The revenue's action of filing the appeal implies a dispute, but their argument on the specific issue is not detailed.

AI-generated summary — verify with the full judgment below

C/TAXAP/435/2018 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 435 of 2018 ========================================================== COMMISSIONER OF INCOME TAX (TDS) Versus SAIJYOTI DYEING AND PRINTING MILLS PVT LTD. ========================================================== Appearance: MRS MAUNA M BHATT(174) for the Appellant(s) No. 1 RULE SERVED(64) 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/435/2018 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 →