THE COMMISSIONER OF INCOME TAX vs. ROBERT BOSCH ENGINEERING

ITA/28/2010HC KarnatakaKAHC01008656201017 December 2015Bench: S.SUJATHA,VINEET SARAN2 pages

AI SummaryDismissed

What did the High Court hold?

The High Court held that in view of Circular No. 21/2015 dated December 10, 2015, which enhanced the monetary limit for filing appeals before the High Court to Rs. 20 lacs and was applicable retrospectively to pending appeals, the present appeal, having a tax effect below Rs. 20 lacs, stood dismissed. The reasoning was based on the explicit clarification in paragraph 10 of the circular that pending appeals below the specified tax limits may be withdrawn or not pressed. The operative direction was that the appeal be dismissed. No issue was expressly left undecided.

What were the facts?

The appeal was filed by the Revenue (Commissioner of Income Tax and Assistant Commissioner of Income Tax) against an order passed by the Income Tax Appellate Tribunal (ITAT) in ITA No. 980/BNG/2008, dated September 11, 2009. The respondent is Robert Bosch Engineering and Business Solutions Limited. The High Court of Karnataka was hearing the appeal under Section 260A of the Income Tax Act, 1961. The Revenue's counsel presented a Circular No. 21/2015 dated December 10, 2015, issued by the Central Board of Direct Taxes, which enhanced the monetary limit for filing appeals before the High Court from Rs. 10 lacs to Rs. 20 lacs. This circular was stated to apply retrospectively to pending appeals.

What were the issues?

1. Whether the appeal filed by the Revenue is maintainable in light of the revised monetary limits for filing appeals as per CBDT Circular No. 21/2015. (Question of law and fact) The Revenue's contention was that the tax effect in the present appeal is below the specified limit of Rs. 20 lacs, as per the newly issued Circular No. 21/2015. The Revenue relied on Circular No. 21/2015 dated 10.12.2015. The judgment does not record any specific arguments from the respondent.

Which sections of the Income-tax Act were involved?

Section 260A

AI-generated summary — verify with the full judgment below

IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 17TH DAY OF DECEMBER, 2015

PRESENT

THE HON'BLE MR. JUSTICE VINEET SARAN

AND

THE HON’BLE MRS. JUSTICE S.SUJATHA

ITA No. 28/2010

BETWEEN

THE COMMISSIONER OF INCOME TAX C.R. BUILDING, QUEENS ROAD, BANGALORE.

THE ASST. COMMISSIONER OF INCOME TAX, CIRCLE - 12 (4), BANGALORE.

...APPELLANTS

(BY SRI.K.V.ARAVIND & MS. PREETHI.J.D-ADVs)

AND

ROBERT BOSCH ENGINEERING AND BUSINESS SOLUTIONS LIMITED, (FORMERLY ROBERT BOSCH INDIA LIMITED) HOSUR ROAD, KORAMANGALA, BANGALORE.

... RESPONDENT

(BY SRI.T.SURYANARAYANA FOR KING & PARTRIDGE-ADV)

THIS ITA IS FILED UNDER SECTION 260A OF INCOME TAX ACT, 1961, PRAYING TO SET ASIDE THE ORDER PASSED BY THE ITAT BANGALORE IN ITA NO.980/BNG/2008, DATED 11.9.2009, ETC.

THIS ITA COMING ON FOR HEARING THIS DAY, VINEET SARAN J., DELIVERED THE FOLLOWING:

JUDGMENT

Learned counsel for the appellants-Revenue has placed before us a recent Circular No.21/2015 dated 10.12.2015, issued by the Central Board of Direct taxes, wherein the monetary limit of the tax effect for filing appeals before the High Court has been enhanced from Rs.10 lacs to Rs.20 lacs. In paragraph-10 of the said Circular, it has been clarified that the same will apply retrospectively to pending appeals also, which, if below the specified tax limits, may be withdrawn/not pressed.

Learned counsel for the appellants has stated that the tax effect in the present appeal is below the specified limit of Rs.20 lacs.

Accordingly, in view of the Circular No.21/2015 dated 10.12.2015, the tax effect in this appeal being less than Rs.20 lacs, the appeal stands dismissed.

Sd/-

JUDGE

Sd/-

JUDGE TL

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