COMMISSIONER OF INCOME TAX-II vs. MADHUSUDAN INDUSTRIES LTD

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TAXAP/956/2010HC GujaratGJHC24046136201007 January 2022Bench: HONOURABLE MR. JUSTICE J.B.PARDIWALA,HONOURABLE MS. JUSTICE NISHA M. THAKORE2 pages
AI SummaryWithdrawn

What did the High Court hold?

The Tribunal noted that the appeal was listed for passing an appropriate order due to its low tax effect, in accordance with Circular No. 17/2019. The Revenue stated that the appeal was not pressed in view of the low tax effect, referencing the aforementioned circular. The circular establishes monetary limits for appeals before various authorities, including High Courts. Consequently, the High Court disposed of the appeal accordingly. Liberty was granted to the Revenue to revive the tax appeal in case of any difficulty. No specific finding on the merits of the original dispute was made.

What were the facts?

This matter concerns a Tax Appeal filed by the Commissioner of Income Tax-II against Madhusudan Industries Ltd. The appeal was listed for an order due to its low tax effect. The appeal was not pressed by the Revenue in light of Circular No. 17/2019, dated 8th August 2019, issued by the Central Board of Direct Taxes. This circular outlines monetary limits for filing appeals. The appeal was disposed of based on this policy, with liberty reserved for the Revenue to revive it if any difficulty arose.

What were the issues?

1. Whether the appeal should be dismissed due to low tax effect, as per Circular No. 17/2019? The Revenue argued that the appeal is not pressed in view of the low tax effect, citing Circular No. 17/2019. The Assessee's contentions are not recorded in the judgment.

AI-generated summary — verify with the full judgment below

C/TAXAP/956/2010 ORDER DATED: 07/01/2022 IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 956 of 2010 ========================================================== COMMISSIONER OF INCOME TAX-II Versus MADHUSUDAN INDUSTRIES LTD ========================================================== Appearance: MR MANISH R. BHATT, SENIOR ADVOCATE FOR M R BHATT & CO. (5953) for the Appellant(s) No. 1 RULE SERVED(64) for the Opponent(s) No. 1 ========================================================== CORAM: HONOURABLE MR. JUSTICE J.B.PARDIWALA and HONOURABLE MS. JUSTICE NISHA M. THAKORE

Date : 07/01/2022

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 8 th 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 8 th 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 Page 1 of 2

C/TAXAP/956/2010 ORDER DATED: 07/01/2022 referred to above, the table for monetary limits is as follows:- Sr. No. Appeals/SLPs in Income-tax 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) (NISHA M. THAKORE,J) A. B. VAGHELA Page 2 of 2

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