COMMISSIONER OF INCOME TAX vs. SAHARA INDIA INTERNATIONAL CORPORATION LTD

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ITA/1148/2010HC DelhiDLHC01041310201007 January 2025Bench: HON'BLE THE ACTING CHIEF JUSTICE,HON'BLE MR. JUSTICE TUSHAR RAO GEDELA1 pages
AI SummaryDismissed

What did the High Court hold?

The Delhi High Court held that the appeal filed by the Revenue is dismissed on account of low tax effect. The Court noted the submission by the Revenue's counsel that the tax effect involved in the appeal was below the threshold limit of ₹2,00,00,000/- as stipulated in the Circular dated 17.09.2024 and was not covered by any exceptions. The reasoning is based on the administrative instructions provided by the circular, which sets monetary limits for filing appeals by the Revenue. The ratio decidendi is that appeals with a tax effect below the prescribed threshold, without falling under any exceptions, are not to be pursued. No specific issue from the ITAT order was decided on merits.

What were the facts?

The Revenue, represented by the Commissioner of Income Tax, filed an appeal before the Delhi High Court challenging an order dated 31.07.2009 passed by the Income Tax Appellate Tribunal (ITAT) in M.A.No. 55/Del/2009, which arose from ITA No.2717/Del/2005. The appeal pertained to the assessment year 2000-01 and involved Sahara India International Corporation Ltd. as the respondent. The Revenue's counsel stated that the tax effect in the appeal was below the threshold limit of ₹2,00,00,000/- as per a Circular dated 17.09.2024 and did not fall under any exceptions.

What were the issues?

1. Whether the appeal filed by the Revenue is maintainable given the tax effect involved. The Revenue argued that the tax effect in the present appeal is below the threshold limit of ₹2,00,00,000/- stipulated in the Circular dated 17.09.2024 and is not covered by any exceptions. Therefore, the appeal should be dismissed on this ground. The Respondent (Sahara India International Corporation Ltd.) was not represented, and no arguments were recorded on their behalf.

AI-generated summary — verify with the full judgment below

$~Regular-134 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 1148/2010

COMMISSIONER OF INCOME TAX

.....Appellant

Through: Mr Srishti Sharma, Advocate.

versus

SAHARA INDIA INTERNATIONAL CORPORATION LTD.

.....Respondent

Through: None.

CORAM:

HON'BLE THE ACTING CHIEF JUSTICE

HON'BLE MR. JUSTICE TUSHAR RAO GEDELA

O R D E R %

07.01.2025

1.

The Revenue has filed the present appeal impugning the order dated 31.07.2009 passed by the learned Income Tax Appellate Tribunal in M.A.No. 55/Del/2009 in ITA No.2717/Del/2005 for the assessment year 2000-01. 2. At the outset, the learned counsel appearing for the Revenue states that the tax effect involved in the present appeal is below the threshold limit of ₹2,00,00,000/- as stipulated in the Circular dated 17.09.2024 and is not covered by any exceptions as set out in the circular. 3. Accordingly, the present appeal is dismissed on account of low tax effect.

VIBHU BAKHRU, ACJ

TUSHAR RAO GEDELA, J JANUARY 07, 2025/ tr

This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 24/01/2025 at 12:39:01

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