Principal Commissioner Of Income Tax vs. M/S Bhomiyaji Land And Finance Co.

ITA/131/2018HC Madhya Pradesh15 February 2019Bench: HON'BLE SHRI JUSTICE S.C.SHARMA1 pages

For Petitioner: Veena Mandlik

AI SummaryDismissed

What did the High Court hold?

The High Court held that the appeals filed by the Principal Commissioner of Income Tax (Revenue) were to be dismissed. This decision was based on Government of India Circular No. 3/2018 dated 11th July, 2018. The circular mandates that appeals shall not be filed before the High Court if the tax effect does not exceed Rs. 50,00,000/-. The Court noted that the present appeals, along with other connected appeals, were being disposed of in light of this circular. The reasoning is that the Revenue itself brought this circular to the Court's attention, and the appeals were consequently dismissed without delving into the merits of the ITAT's order. The operative direction was the dismissal of the appeals.

What were the facts?

These appeals by the Principal Commissioner of Income Tax (Revenue) are against the order dated 31/01/2018 passed by the Income Tax Appellate Tribunal (ITAT), Indore. The ITAT's order dealt with the assessee's appeal (ITA No.263/Ind/2013) and the Revenue's appeal (ITA No.411/Ind/2013). The appeals before the High Court were heard analogously due to similar controversies. The Court was informed of Government of India Circular No. 3/2018 dated 11th July, 2018, which stipulates that appeals shall not be filed before the High Court if the tax effect does not exceed Rs. 50,00,000/-. Consequently, the present appeals were dismissed in light of this circular.

What were the issues?

1. Whether the present appeals filed by the Revenue are maintainable before the High Court in light of Government of India Circular No. 3/2018 dated 11th July, 2018, which prescribes monetary limits for filing appeals. Assessee's Contention: The judgment does not record any specific contentions from the assessee regarding the maintainability of the appeal. The dismissal is based on the Revenue's own submission regarding the circular. Revenue's Contention: The Revenue brought to the notice of the Court Government of India Circular No. 3/2018 dated 11th July, 2018. This circular states that appeals shall not be filed before the High Court where the tax effect does not exceed the monetary limits of Rs. 50,00,000/-. Based on this circular, the Revenue implicitly conceded that the present appeal might not meet the threshold, leading to its dismissal.

AI-generated summary — verify with the full judgment below

HIGH COURT OF MADHYA PRADESH, BENCH AT INDORE HIGH COURT OF MADHYA PRADESH, BENCH AT INDORE I. T. A. No.128/2018 (Principal Commissioner of Income Tax Vs. M/s. Bhomiyaji Land & Finance Co.) I. T. A. No.129/2018 (Principal Commissioner of Income Tax Vs. M/s. Bhomiyaji Land & Finance Co.) I. T. A. No.131/2018 (Principal Commissioner of Income Tax Vs. M/s. Bhomiyaji Land & Finance Co.) - 1 - Indore, dated 15/02/2019 Ms. Veena Mandlik, learned counsel for the appellant(s). Regard being had to the similitude in the controversy involved in the present cases, the Income Tax Appeals were analogously heard and by a common order, they are being disposed of by this Court. Facts of Income Tax Appeal No.128/2018 are narrated hereunder. The present appeal is arising out of order dated 31/01/2018 passed by Income Tax Appellate Tribunal, Indore in ITA No.263/Ind/2013 (Assesse's Appeal) and ITA No.411/Ind/2013 (Revenue's Appeal). It has been brought to the notice of this Court that Government of India has issued a Circular i.e. Circular No.3/2018 dated 11th July, 2018. In paragraph No.3 of the aforesaid Circular it has held that the appeals shall not be filed before the High Court, where the tax effect does not exceed the monetary limits of Rs.50,00,000/- and therefore, in light of Circular No.3/2018 dated 11th July, 2018, the present appeal along with other connected appeals stand dismissed. Certified copy as per rules. (S. C. SHARMA) J U D G E (VIRENDER SINGH) J U D G E Tej Digitally signed by Tej Prakash Vyas Date: 2019.02.20 17:05:17 +05'30'

Recent GST High Court judgments

Search GST case law →