PR. COMMISSIONER OF INCOME TAX-1, CHANDIGARH vs. SH, ANIL TALWAR

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ITA/38/2019HC Punjab & HaryanaPHHC01147693201810 May 2023Bench: MS. JUSTICE RITU BAHRI,MRS. JUSTICE MANISHA BATRA2 pages
AI SummaryWithdrawn

What did the High Court hold?

The High Court held that the appeal is not maintainable. The reasoning is based on Circular No. 17 of 2019 dated 08.08.2019, which sets enhanced monetary limits for filing appeals. Since the tax effect in this appeal is lower than Rs. 1 Crore and the Revenue failed to file an affidavit to justify its maintainability or demonstrate that it falls within any exceptions, the appeal is disposed of as not maintainable. The Court also took into account that another appeal arising from the same order had been withdrawn. The ratio decidendi is that appeals not meeting the prescribed monetary limits under the relevant circulars, without justification or exception, are not maintainable. Liberty was granted to the appellant (Revenue) to get the appeal revived if it falls within the exceptions of circular dated 20.08.2018.

What were the facts?

The appeal has been filed by the Pr. Commissioner of Income Tax-1, Chandigarh (the Revenue) against an order dated 08.02.2018 for the assessment year 2008-2009. The respondent is Sh. Anil Talwar. The High Court had previously directed the Principal Commissioner of Income Tax to file an affidavit regarding the maintainability of the appeal in light of enhanced monetary limits for appeals as per circular No. 17 of 2019 dated 08.08.2019. No such affidavit has been filed by the Commissioner of Income Tax to date. The Court noted that if another appeal arising from the same order has already been withdrawn, this appeal, with a tax effect lower than Rs. 1 Crore, is disposed of as not maintainable.

What were the issues?

1. Whether the present appeal is maintainable in view of the monetary limits prescribed by Circular No. 17 of 2019 dated 08.08.2019, given that the tax effect is below Rs. 1 Crore and no affidavit has been filed by the Revenue confirming its maintainability or any exception. The Revenue's contention is not explicitly recorded in terms of arguments presented. However, the Court's decision implies that the Revenue failed to establish the appeal's maintainability under the revised circular. The Court's action of disposing of the appeal as not maintainable suggests that the Revenue did not provide grounds or evidence to overcome the monetary limit stipulated in the circular. The Court also considered the fact that another appeal from the same order was withdrawn.

AI-generated summary — verify with the full judgment below

2023:PHHC:068507-DB IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 244 ITA-38-2019 (O&M) Date of decision:-10.05.2023 PR. COMMISSIONER OF INCOME TAX-1, CHANDIGARH .... Appellant VS SH. ANIL TALWAR, SCF-14-15, SECTOR 22-D, CHANDIGARH ...Respondent CORAM: HON'BLE MS. JUSTICE RITU BAHRI HON'BLE MRS. JUSTICE MANISHA BATRA Present: Ms. Gauri Neo Rampal, Senior Standing Counsel for the appellant. Mr. Sanjay Bansal, Senior Advocate with Mr. Gurdeep Singh, Advocate for the respondent. Ritu Bahri, J. (Oral) The instant appeal has been filed against order dated 08.02.2018 for the assessment year 2008-2009 (Annexure A-3). In identical matters vide order dated 19.02.2020, a direction was given to the Principal Commissioner of Income Tax to file an affidavit whether the appeal would be maintainable in view of the enhanced limited vide circular No.17 of 2019, dated 08.08.2019. Till date, no affidavit has been filed by the Commissioner of Income Tax. POOJA SAINI 2023.05.19 15:50 I attest to the accuracy and integrity of this order/judgment

2023:PHHC:068507-DB ITA-38-2019 (O&M) -2- Keeping in view that if one appeal, out of the same order has already been withdrawn, this appeal, where tax effect is lower than Rs.1 Crore, is disposed of being not maintainable as per circular No.17 of 2019 dated 08.08.2019. However, liberty is granted to the appellant to get it revived if it fall within the exceptions of circular dated 20.08.2018. ( RITU BAHRI ) JUDGE 10.05.2023

pooja saini ( MANISHA BATRA ) JUDGE Whether speaking/reasoned : Yes/No Whether reportable : Yes/No POOJA SAINI 2023.05.19 15:50 I attest to the accuracy and integrity of this order/judgment

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