PR. COMMISSIONER OF INCOME-TAX, AHMEDABAD-3 vs. M/S PASL WINDTECH PVT. LTD.

PDF · subscribers

TAXAP/809/2016HC GujaratGJHC24051984201627 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 disposed of the Tax Appeal. The Court noted that the appeal was not pressed by the Revenue in light of Circular No. 17/2019, dated August 8, 2019. This circular outlines monetary limits for appeals, with a limit of Rs. 1,00,00,000 for appeals before the High Court. Since the tax effect was low, the Revenue chose not to pursue the appeal. The Court disposed of the appeal accordingly, reserving liberty for the Revenue to revive the appeal in case of any difficulty. No specific finding on the merits of the original dispute was made as the appeal was not pressed.

What were the facts?

The Principal Commissioner of Income-tax, Ahmedabad-3, filed a Tax Appeal before the High Court of Gujarat at Ahmedabad. The appeal was against an order passed by an authority, though the specific authority and assessment year(s) are not detailed. The appeal was listed for an appropriate order due to low tax effect. The Revenue, represented by Mrs. Mauna M. Bhatt, did not press the appeal. The decision to not press the appeal was based on 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, New Delhi, which sets monetary limits for filing appeals.

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, concerning the applicability of the circular). Assessee's Contention: The assessee (M/s Pasl Windtech Pvt. Ltd.) is not a party to the arguments presented, but the appeal is not pressed by the Revenue. Revenue's Contention: The Revenue, through its counsel, 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, including the High Court, which is Rs. 1,00,00,000. The appeal was not pressed because the tax effect was below this threshold.

AI-generated summary — verify with the full judgment below

C/TAXAP/809/2016 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 809 of 2016 ========================================================== PR. COMMISSIONER OF INCOME-TAX, AHMEDABAD-3 Versus M/S PASL WINDTECH 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/809/2016 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) GIRISH Page 2 of 2

Recent GST High Court judgments

Search GST case law →