COMMISSIONER OF INCOME vs. SRI. LAKHAN SIGH

ITA/79/2011HC KarnatakaKAHC01028752201117 December 2015Bench: S.SUJATHA,VINEET SARAN2 pages

AI SummaryDismissed

What did the High Court hold?

The High Court, in view of Circular No. 21/2015 dated December 10, 2015, and the submission by the Revenue's counsel that the tax effect in the present appeal was less than Rs. 20 lacs, held that the appeal stands dismissed. The reasoning is based on the CBDT's directive to withdraw or not press appeals with a tax effect below the enhanced monetary limit. The operative direction is the dismissal of the appeal. No issues were expressly left undecided.

What were the facts?

The appeal was filed by the Revenue (Commissioner of Income Tax III and Assistant Commissioner of Income Tax, Central Circle 1(2), Bangalore) against an order passed by the Income Tax Appellate Tribunal (ITAT), 'A' Bench, Bangalore in ITA No.1/BANG/2010 dated November 3, 2010. The respondent is Sri. Lakhan Singh. The appeal was filed under Section 260A of the Income Tax Act, 1961. The High Court of Karnataka at Bengaluru heard the matter on December 17, 2015.

What were the issues?

1. Whether the appeal filed by the Revenue should be dismissed on the grounds of low tax effect, considering the retrospective application of a new CBDT Circular? (Question of law and fact) The Revenue, through its learned counsel, submitted a Circular No. 21/2015 dated December 10, 2015, issued by the Central Board of Direct Taxes (CBDT). This circular enhanced the monetary limit for filing appeals before the High Court from Rs. 10 lacs to Rs. 20 lacs and clarified its retrospective application to pending appeals below the specified tax limits, allowing them to be withdrawn or not pressed. The Revenue's counsel stated that the tax effect in the present appeal was below the specified limit of Rs. 20 lacs. The respondent's arguments are not recorded in the judgment.

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. 79/2011

BETWEEN

COMMISSIONER OF INCOME TAX III, C.R.BUILDINGS, QUEENS ROAD, BANGALORE-560 001.

ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 1(2), BANGALORE.

...APPELLANTS

(BY SRI. E.I. SANMATHI-ADV)

AND

SRI. LAKHAN SINGH R.R.CHAMBERS, NO.2, IV FLOOR, 11TH MAIN, VASANTHNAGAR, BANGALORE.

... RESPONDENT

(BY SRI. A.SHANKAR & SRI. M.LAVA-ADVs)

THIS ITA IS FILED UNDER SECTION 260A OF INCOME TAX ACT, 1961, PRAYING TO SET ASIDE THE ORDER PASSED BY THE ITAT, ‘A’ BENCH, BANGALORE IN ITA NO.1/BANG/2010 DATED: 3.11.2010, 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

Recent GST High Court judgments

Search GST case law →