CIT vs. DALMIA RESORTS INTERNATIONAL

ITA/952/2011HC DelhiDLHC01101688201109 December 2019Bench: CASES PERTAINING TO SPL.DIVISION BENCHES1 pages

AI SummaryDismissed

What did the High Court hold?

The High Court of Delhi, in light of the circular dated 08.08.2019 issued by the Ministry of Finance, Department of Revenue, Central Board of Direct Taxes (Judicial Section), Government of India, which sets the monetary limit for the Department to pursue matters before the High Court at Rs. 1,00,00,000/-, disposed of the present appeal. The Court noted that the income tax demand of Rs. 34,41,459/- as mentioned in the order of CIT (A) dated 01.02.2010, and the tax effect in the present appeal, were below the permissible tax effect limit. Therefore, the appeal was disposed of on this administrative ground, without delving into the merits of the case. The ratio decidendi is that appeals with a tax effect below the prescribed monetary limit, as per CBDT circulars, are to be disposed of by the High Court.

What were the facts?

The appeal was filed by the Commissioner of Income Tax (CIT) against the order of the CIT (Appeals) dated 01.02.2010. The income tax demand in dispute, as per the CIT (Appeals) order, was Rs. 34,41,459/-. The appeal was filed before the High Court of Delhi. The assessment years are not specified in the provided text. The procedural history leading to the High Court's decision involves a letter dated 20.11.2019 issued by the ACIT, Judicial-2, New Delhi.

What were the issues?

The primary issue before the High Court was whether the appeal filed by the Revenue should be entertained, considering a subsequent circular issued by the Ministry of Finance. The Revenue, through Mr. Sunil Agarwal, Senior Standing Counsel, relied on the circular dated 08.08.2019 issued by the Ministry of Finance, Department of Revenue, Central Board of Direct Taxes (Judicial Section), Government of India. This circular fixes the monetary limit for pursuing matters before the High Court at Rs. 1,00,00,000/-. The Revenue acknowledged that the tax effect in the present appeal was below this permissible limit. The judgment does not record any specific arguments from the assessee's side.

AI-generated summary — verify with the full judgment below

$~74 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 952/2011 CIT ..... Appellant Through: Mr. Sunil Agarwal, Senior Standing Counsel with Ms. Priya Sarkar, Advocate. versus DALMIA RESORTS INTERNATIONAL ..... Respondent Through: CORAM: HON'BLE MR. JUSTICE VIPIN SANGHI HON’BLE MS. JUSTICE REKHA PALLI O R D E R % 09.12.2019 In the light of the circular dated 08.08.2019 issued by the Ministry of Finance, Department of Revenue, Central Board of Direct Taxes (Judicial Section), Government of India, which fixes the monetary limit in respect of tax effect, inter alia, before the High Court in which the Department could pursue the matter as Rs. 1,00,00,000/-; the income tax demand of Rs. 34,41,459/- as mentioned in the order of CIT (A) dated 01.02.2010, as also the letter dated 20.11.2019 issued by ACIT, Judicial-2, New Delhi, the tax effect in the present appeal being below the permissible tax effect limit, the present appeal is disposed of. VIPIN SANGHI, J REKHA PALLI, J DECEMBER 09, 2019/nk

Latest GST High Court judgments

Search GST case law →