PR. COMMISSIONER OF INCOME TAX vs. M/S RAJASTHAN FINANCIAL CORPORATION LTD.

PDF · subscribers
ITA/42/2021HC RajasthanRJHC02029024202130 July 2024Bench: AVNEESH JHINGAN,ASHUTOSH KUMAR2 pages
AI SummaryDismissed

What did the High Court hold?

The Tribunal decided that the appeal filed by the revenue is not maintainable. The reasoning is based on the assessee's reliance on Circular dated 15.03.2024, which stipulates a monetary limit for filing appeals. The tax effect in this case was Rs. 1,01,700/-, which, according to the assessee, renders the appeal non-maintainable. The revenue's counsel could not establish any exception to this circular. Therefore, the appeal was dismissed as not maintainable in view of the circular dated 15.03.2024. The question of law regarding the merits of the addition was left open. The appellant was granted liberty to move an application for revival if the cause of action still survives.

What were the facts?

The Principal Commissioner of Income Tax, Jaipur-II (the appellant/revenue) filed an appeal against the order of the Income Tax Appellate Tribunal, Jaipur Bench. The assessment year in question is 2011-2012. An addition of Rs. 3,00,000/- was made to the income of M/s Rajasthan Financial Corporation Ltd. (the respondent/assessee) by an order passed under Section 143(3) & 147/148 of the Income Tax Act, 1961. The Commissioner of Income Tax had dismissed the assessee's appeal, but the assessee was successful before the Appellate Tribunal. The present appeal challenges the Tribunal's order.

What were the issues?

1. Whether the appeal filed by the revenue is maintainable, considering the tax effect and the circulars issued by the CBDT? (Question of law) The revenue's contention is not recorded in the judgment. The assessee relies on Circular dated 15.03.2024 to argue that the appeal is not maintainable as the tax effect is Rs. 1,01,700/-, which falls below the threshold stipulated in the circular for filing appeals. The revenue's counsel was unable to demonstrate that the present case falls within any exception carved out in the said circular.

Which sections of the Income-tax Act were involved?

Section 143(3),Section 147,Section 148

AI-generated summary — verify with the full judgment below

[2024:RJ-JP:32215-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Income Tax Appeal No.42/2021 Pr. Commissioner Of Income Tax, Jaipur-II, Jaipur. ----Appellant Versus M/s Rajasthan Financial Corporation Ltd., Udyog Bhawan, Tilak Marg, Jaipur. ----Respondent For Appellant(s) : Mr.Sandeep Pathak, Adv. For Respondent(s) : Mr.P.K Kasliwal, Adv. HON'BLE MR. JUSTICE AVNEESH JHINGAN HON'BLE MR. JUSTICE ASHUTOSH KUMAR Order 30/07/2024 1. This appeal is filed by Principal Commissioner of Income Tax, Jaipur against the order of Income Tax Appellate Tribunal Jaipur Bench, Jaipur (for short ‘the Appellate Tribunal’). 2. The brief facts are that addition of Rs.3,00,000/- was made in the assessment year 2011-2012 by passing an order under Section 143(3) & 147/148 of the Income Tax Act, 1961 (‘for short the Act’). The Commissioner of Income Tax dismissed the appeal but the respondent succeeded before the Appellate Tribunal. Hence, the present appeal. 3. Learned counsel for the respondent relies upon the Circular dated 15.03.2024 to submit that present appeal is not maintainable as tax effect is Rs.1,01,700/-. 4. Learned counsel for the appellant at this stage is not able to make out falling in exception carved out in circular dated 15.03.2024.

[2024:RJ-JP:32215-DB] (2 of 2) [ITA-42/2021] 5. Leaving the question of law open, the appeal is dismissed as not maintainable in view of circular dated 15.03.2024. 6. The appellant shall be at liberty to move an application for revival in case cause of action still survives. (ASHUTOSH KUMAR), J (AVNEESH JHINGAN), J HS/TANISHA/16

More judgments on Section 147

All 49,210 judgments and leading authorities on Section 147 →

Latest GST High Court judgments

Search GST case law →