THE PRINCIPAL COMMISSIONER OF INCOME TAX (CENTRAL) vs. SHRI SATYA DEV ARYA

ITA/22/2024HC RajasthanRJHC02086722202307 January 2025Bench: INDERJEET SINGH,VINOD KUMAR BHARWANI1 pages

AI SummaryWithdrawn

What did the High Court hold?

The Tribunal granted the appellant's request to withdraw the appeal. The reasoning was based on the tax effect being below Rupees Two Crores, which, according to the Circular of the Central Board of Direct Taxes dated 17.09.2024, permitted withdrawal. The Tribunal dismissed the appeal as withdrawn. The substantial question of law formulated in the appeal was kept open. The Department was granted liberty to move an application for revival if the matter was not covered under the circular. The principle established is that appeals with a tax effect below a certain threshold, as defined by CBDT circulars, can be withdrawn by the revenue.

What were the facts?

The appeal was filed by the Principal Commissioner of Income Tax (Central), Rajasthan, against Shri Satya Dev Arya, Proprietor M/s. Arya Showroom. The appeal concerns assessment year(s) not specified in the judgment. The order or action under challenge is the appeal itself, filed before the High Court. The procedural history is that the appellant's counsel sought permission to withdraw the appeal due to the tax effect being below Rupees Two Crores, in accordance with a CBDT Circular dated 17.09.2024. The amount in dispute is not explicitly stated, other than it being below Rupees Two Crores.

What were the issues?

1. Whether the appeal can be withdrawn by the appellant in light of the CBDT Circular dated 17.09.2024, given the tax effect being below Rupees Two Crores? The appellant argued that in view of the tax effect being below Rupees Two Crores, and in accordance with the CBDT Circular dated 17.09.2024, permission to withdraw the present income tax appeal should be granted. The respondent's contentions are not recorded in the judgment. The issue turns on the applicability and interpretation of the CBDT Circular in the context of withdrawing an appeal.

AI-generated summary — verify with the full judgment below

[2025:RJ-JP:773-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Income Tax Appeal No. 22/2024 The Principal Commissioner Of Income Tax (Central), Rajasthan, 4Th Floor, Lic Building, Bhawani Singh Road, Ambedkar Circle, Jaipur. ----Appellant Versus Shri Satya Dev Arya, Proprietor M/s. Arya Showroom, Ganga Mandir, Bharatpur (Rajasthan) (Pan/gir No.-Aalhs3826D) ----Respondent For Appellant(s) : Mr. Meyhul Mittal for Mr. Siddharth Bapna For Respondent(s) : Mr. Rohan Chatter for Mr. Siddharth Ranka HON'BLE MR. JUSTICE INDERJEET SINGH HON'BLE MR. JUSTICE VINOD KUMAR BHARWANI Order 07/

01/2025 1. Since, the tax effect in appeal is below Rupees Two Crores, in view of the Circular of Central Board of Direct Taxes dated 17.09.2024, learned counsel for appellant seeks permission to withdraw the present income tax appeal. 2. The appeal is dismissed as withdrawn. 3. The formulated substantial question of law is kept open. 4. The Department shall be at liberty to move an application for revival in case the matter is not covered under the circular. (VINOD KUMAR BHARWANI),J (INDERJEET SINGH),J SAHIL SONI /58

Recent GST High Court judgments

Search GST case law →