C.I.T., I , JODHPUR vs. M/S ERCON COMPOSITES

ITA/238/2013HC Rajasthan2024:RJ-JD:52291-DB18 December 2024Bench: PUSHPENDRA SINGH BHATI, MADAN GOPAL VYAS1 pages

AI SummaryWithdrawn

What did the High Court hold?

The Tribunal decided to dismiss the appeal as withdrawn. The reasoning provided is that the appellant (revenue) sought permission to withdraw the appeal in view of the CBDT circular dated 17.09.2024, and the tax effect in the appeal being below Rupees Two Crores. The Tribunal granted this permission and disposed of the appeal accordingly. The ratio decidendi is that appeals can be withdrawn by the revenue if they fall below the threshold stipulated by CBDT circulars, especially when the tax effect is minimal. The operative direction is the dismissal of the appeal as withdrawn. The substantial question of law formulated in the appeal has been kept open, and the department is at liberty to move an application for revival if the need arises.

What were the facts?

This case involves an appeal filed by the Commissioner of Income Tax-1, Jodhpur (the appellant/revenue) against M/s Ercon Composites, Jodhpur (the respondent/assessee). The specific assessment year(s) are not mentioned in the provided text. The appeal challenges an order passed by an authority below the Tribunal, though the nature of that order or the authority is not detailed. The tax effect in the appeal is stated to be below Rupees Two Crores. The procedural history is limited to the appellant seeking permission to withdraw the appeal.

What were the issues?

1. Whether the appeal can be withdrawn by the appellant based on the CBDT circular dated 17.09.2024 concerning tax effect. Assessee's Contention: The judgment does not record any specific contentions made by the assessee. The assessee's counsel is present, but their arguments are not detailed. Revenue's Contention: The learned counsel for the appellant (revenue) seeks permission to withdraw the appeal, citing the circular of the Central Board of Direct Taxes dated 17.09.2024, which likely pertains to the monetary limit for filing appeals. The revenue's argument is solely based on this circular for withdrawal.

AI-generated summary — verify with the full judgment below

[2024:RJ-JD:52291-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR D.B. Income Tax Appeal No. 238/2013 Commissioner of Income Tax-1, Jodhpur ----Appellant Versus M/s Ercon Composites, F-123, MIA Phase I, Jodhpur. ----Respondent For Appellant(s) : Mr. KK Bissa For Respondent(s) : Mr. Sanjeev Johari, Sr. Adv. assisted by Mr. Shubhankar Johari HON'BLE DR. JUSTICE PUSHPENDRA SINGH BHATI HON'BLE MR. JUSTICE MADAN GOPAL VYAS Order 18/12/2024 1. 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 the appellant seeks permission to withdraw the appeal. 2. The appeal is dismissed as withdrawn. 3. The formulated substantial question of law is kept open. 4. In case need arises, the department shall be at liberty to move appropriate application for revival. (MADAN GOPAL VYAS),J (DR.PUSHPENDRA SINGH BHATI),J 8-nirmala/- Powered by TCPDF (www.tcpdf.org) (Uploaded on 19/12/2024 at 02:16:30 PM) (Downloaded on 28/10/2026 at 12:48:33 AM)

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