THE COMMISSIONER OF INCOME TAX vs. M/S C K K CATERING SERVICES

ITA/6/2010HC KarnatakaKAHC01009362201017 December 2015Bench: S.SUJATHA,VINEET SARAN2 pages

AI SummaryDismissed

What did the High Court hold?

The High Court held that the appeal is to be dismissed in view of CBDT Circular No. 21/2015 dated 10.12.2015. The circular clarifies that the enhanced monetary limit of Rs.20 lacs for filing appeals before the High Court will apply retrospectively to pending appeals. Since the tax effect in the present appeal was stated by the Revenue to be below Rs.20 lacs, the appeal was dismissed on this ground. No decision was made on the merits of the original dispute between the assessee and the revenue. The operative direction was to dismiss the appeal.

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), Bangalore in ITA No.18/BANG/2009 dated August 21, 2009. The respondent is M/s C.K.K Catering Services. The appeal was filed under Section 260A of the Income Tax Act, 1961. The High Court of Karnataka was hearing the appeal on December 17, 2015. The Revenue sought to set aside the ITAT's order.

What were the issues?

1. Whether the appeal filed by the Revenue is maintainable given the revised monetary limits for filing appeals before the High Court as per CBDT Circular No. 21/2015. Contentions: Assessee: No specific contentions are recorded for the assessee in the judgment. Revenue: The Revenue contended that a recent Circular No. 21/2015 dated 10.12.2015, issued by the Central Board of Direct Taxes (CBDT), enhanced the monetary limit for filing appeals before the High Court from Rs.10 lacs to Rs.20 lacs. The Revenue further stated that this circular applies retrospectively to pending appeals. The tax effect in the present appeal is below the specified limit of Rs.20 lacs.

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. 6/2010

BETWEEN

THE COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE, C.R.BUILDING, ATTAVARA, MANGALORE.

THE ASST.COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE, C.R.BUILDING, ATTAVARA, MANGALORE. …APPELLANTS

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

AND

M/S C.K.K CATERING SERVICES, NO.2 PLATFORM, RAILWAY STATION, MANGALORE. ... RESPONDENT

(BY SMT.VANI.H-ADV )

THIS ITA IS FILED UNDER SECTION 260A OF INCOME TAX ACT, 1961, PRAYING TO SET ASIDE THE ORDERS PASSED BY THE ITAT, BANGALORE IN ITA NO.18/BANG/2009 DATED: 21.8.2009, 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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