C.I.T.-1,JODHPUR vs. M/S BOTHRA INTERNATIONAL

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ITA/142/2011HC RajasthanRJHC01029985200824 January 20184 pages
AI SummaryDismissed

What did the High Court hold?

The High Court held that the appeals should be dismissed as not pressed. The reasoning was based on CBDT Circular No. 21/2015 dated 10.12.2015, which stipulated that appeals shall not be filed where the tax effect does not exceed specified monetary limits, and that pending appeals below these limits may be withdrawn or not pressed. Since the tax effect in the instant appeals was less than Rs. 20 lac, and the circular applied retrospectively to pending appeals, the Revenue did not press the appeals. The court clarified that substantial questions of law raised, if any, were left open for examination in future appropriate proceedings. The Revenue was granted liberty to move an application for recalling the order if the appeal fell under any of the exceptions mentioned in the circular.

What were the facts?

The Income Tax Appellate Tribunal (ITAT) passed an order. The Commissioner of Income Tax-I, Jodhpur (Revenue) filed appeals before the High Court against this order. The assessee is M/s Bothra International. The tax effect in these appeals was stated to be less than Rs. 20 lac. The Revenue's appeals were filed prior to the issuance of CBDT Circular No. 21/2015 dated 10.12.2015, which revised monetary limits for filing appeals. The High Court noted that the appeals were pending and the tax effect was below the revised limits.

What were the issues?

1. Whether the appeals filed by the Revenue should be dismissed as not pressed, considering the tax effect is less than Rs. 20 lac and the applicability of CBDT Circular No. 21/2015 dated 10.12.2015? (Question of law) Assessee's Contention: The judgment does not record any specific contentions from the assessee. The entire decision hinges on the applicability of the CBDT Circular. Revenue's Contention: The Revenue did not press the appeals. The judgment notes that the tax effect is less than Rs. 20 lac, which is below the revised monetary limits for filing appeals before the High Court as per CBDT Circular No. 21/2015. The Revenue implicitly accepted the applicability of the circular to pending appeals.

Which sections of the Income-tax Act were involved?

Section 268A(1)

AI-generated summary — verify with the full judgment below

HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR D.B. Income Tax Appeal No. 142 / 2011 Commissioner of Income Tax-I, Jodhpur Versus M/S Bothra International, E-230, MIA Basni, 2nd Phase, Jodhpur Connected With Commissioner ur Versus M/S a International, E-230, MIA ---Respondent For AppelIant(s) : For Respondent(s) : RA SINGH BHATI 24/01/2018 ""\ -% Instant appeals aF@"dBe&Fd9atm~Smrder of the Income Tax fq\'-f4v#q qL9Q Appellate Tribunal and indisputably the tax effect as brought to our notice, is less than Rs.20 lac. A Circular No.21/2015 has been issued by the Central Board of Direct Taxes dated 10.12.2015 in exercise of its power u/sec. 268A (I) of the Income-tax Act 1961 in supersession of the Boards instruction No.5/2014 dt.10.7.2014 regularising the (Uploaded on 18/07/2024 at 03:20:28 PM) (Downloaded on 28/10/2026 at 12:20:35 AM) r

T '

(2 of 4) J [ITA-142/2011] monetary limits for filing the appeal by the Revenue before the Tribunal, High Courts and Apex Court with an object for reducing litigation. Relevant para nos.3, 8, 9 and 10 reads ad infra :- '

3.

Henceforth, appealsjSLPs shall not be filed in cases where the tax effect does not exceed the monetary limits given hereunder :- 1(- It is clarified t uld not be filed merely because the limits prescr I in such cases is to be decide 4. xxx 5. xxx 6. xxx 7, xxx

8.

Adverse ju the following issues h? should be conte tax effect e monetary limits specified in para (a) Where t of an Act or Rul (b) Where Circular has been h (c) Where Rev in the case has been accepted by the Department, or (d) Where the addition relates to undisclosed foreign assetslban k accounts.

9.

The monetary limits specified in para 3 above shall not apply to writ matters and direct tax matters other than Income tax. Filing of appeals in other Direct tax matters shall continue to be governed by relevant provisions of statute & rules. Further, filing of appeal in cases of Income Tax, where the tax effect is not quantifiable or not involved, such as the case of (Uploaded on 18/07/2024 at 03:20:28 PM) (Downloaded on 28/10/2026 at 12:20:35 AM) registration of trusts or institutions under section 12 A of the I T Act, 1961, shall not be governed by the limits specified in para 3 above and decision to file appeal in such cases may be taken on merits of a particular case.

10.

This instruction will apply retrospectively to pending appeals and appeals to be filed henceforth in High Courts/Tribunals. Pending appeals below the specified tax limits in para 3 above may be withdrawnlnot pressed. Appeals before the Supreme Court will be governed by the instructions on this t the limits specified in para certain exceptions specified i at the same time para nos.9 . and 10 of the Circul envisages that the present instruction to all the pending appeals and a enceforth in High Courts/TribunaIs, su bj ere the tax effect even if is less than Rs.20 lac, Taking note of t 0/12/2015 and the tax effect which indisput s less than Rs.20 lac, much less than what r filing appeals before the High Courts, deserves 30-be-disassed as not pressed. "> ..%~$b*$q qqa However, it is made clear that the substantial questions of law raised in the instant appeal, if any, are left open to be examined in an appropriate proceeding, if arises in future. At the same time we consider it appropriate to observe that if the appeal falls in any of the exceptions as referred to in the Circular dt. 10/12/2015, the (Uploaded on 18/07/2024 at 03:20:28 PM) (Downloaded on 28/10/2026 at 12:20:35 AM) Revenue will be at liberty to move an application for recalling of the order if so advised. Accordingly, in the light of the CBDT Circular dated 10.12.2015 the appeals stand dismissed as not pressed. (DR. PUSHPENDRA SINGH BHAT1)J. (K. S. JHAVER1)J. Powered by TCPDF (www.tcpdf.org) (Uploaded on 18/07/2024 at 03:20:28 PM) (Downloaded on 28/10/2026 at 12:20:35 AM)

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