COMMISSIONER OF INCOME TAX vs. M/S J B BROTHERS

PDF · subscribers

TAXAP/998/2011HC GujaratGJHC24045279201127 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 filed by the Revenue was not pressed and was to be disposed of in view of the low tax effect, as per Circular No. 17/2019 dated 8th August 2019. The Court noted the revised monetary limits for appeals, including that appeals before the High Court should have a monetary limit of Rs. 1,00,00,000. Since the appeal was not pressed by the Revenue in light of this circular, the Court disposed of the appeal accordingly. The Court also 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 Commissioner of Income Tax (Revenue) filed a Tax Appeal before the High Court of Gujarat at Ahmedabad against an order concerning M/s J B Brothers (Assessee). The appeal was notified for an appropriate order due to low tax effect. The Revenue indicated that the appeal was not being pressed in light of Circular No. 17/2019 dated 8th August 2019, issued by the Central Board of Direct Taxes. This circular revised the monetary limits for filing appeals. The judgment notes the monetary limits for appeals before the Appellate Tribunal (Rs. 50,00,000), High Court (Rs. 1,00,00,000), and Supreme Court (Rs. 2,00,00,000). The appeal was disposed of based on this circular, with liberty reserved for the Revenue to revive it in case of difficulty.

What were the issues?

1. Whether the Tax Appeal filed by the Revenue is to be dismissed due to low tax effect, in light of Circular No. 17/2019 dated 8th August 2019? (Question of law) Assessee's Contention: The assessee did not make any specific arguments as the appeal was not pressed by the Revenue. Revenue's Contention: The Revenue argued that the appeal should be disposed of in view of the low tax effect, citing Circular No. 17/2019 dated 8th August 2019. The circular sets revised monetary limits for filing appeals, and the appeal in question falls below the threshold for High Court appeals (Rs. 1,00,00,000). The Revenue stated that the appeal was not pressed on this ground.

AI-generated summary — verify with the full judgment below

C/TAXAP/998/2011 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 998 of 2011 ========================================================== COMMISSIONER OF INCOME TAX Versus M/S J B BROTHERS ========================================================== 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/998/2011 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

Latest GST High Court judgments

Search GST case law →