THE PR. COMMISSIONER OF INCOME TAX-3 LUDHIANA vs. M/S MALWA COTTON SPINNING MILLS LTD.

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ITA/7/2020HC Punjab & HaryanaPHHC01128016201915 October 2024Bench: MR. JUSTICE SANJEEV PRAKASH SHARMA,MR. JUSTICE ALOK JAIN3 pages
AI SummaryWithdrawn

What did the High Court hold?

The Tribunal allowed the prayer for withdrawal of the appeal. The reasoning was based on the Revenue's submission that the appeal did not fall within the exceptions to the revised monetary limits for filing appeals as per Circular No. 9/2024 dated 17.09.2024. The Circular, which enhanced the monetary limits for filing appeals before the Supreme Court, High Courts, and ITAT, was intended to manage litigation. Since the present appeal was not covered by the exceptions, the Revenue sought to withdraw it. The Tribunal accepted this submission and accordingly allowed the withdrawal. All pending applications were also disposed of. The operative direction was to dismiss the appeal as withdrawn.

What were the facts?

This case involves an appeal by the Revenue (Principal Commissioner of Income Tax-3, Ludhiana) against M/s Malwa Cotton Spinning Mills Limited, Ludhiana. The appeal was filed before the High Court of Punjab and Haryana at Chandigarh. The Revenue's counsel submitted that the Government of India, Ministry of Finance, Department of Revenue, Central Board of Direct Taxes, had issued Circular No. 9/2024 dated 17.09.2024, which enhanced the monetary limits for filing appeals before the Income Tax Appellate Tribunal, High Courts, and the Supreme Court. This amendment was intended to manage litigation. The learned counsel for the Revenue stated that the present appeal did not fall within the exceptions provided in Circular No. 5/2024 and therefore prayed for its withdrawal.

What were the issues?

1. Whether the appeal filed by the Revenue is to be withdrawn in light of the revised monetary limits for filing appeals as per Circular No. 9/2024 dated 17.09.2024? (Question of law) Assessee's Contentions: Not recorded. Revenue's Contentions: The Revenue's counsel argued that Circular No. 9/2024, effective from 17.09.2024, has revised the monetary limits for filing appeals before the Supreme Court, High Courts, and the Income Tax Appellate Tribunal. The counsel further submitted that the present appeal (ITA-7-2020) does not fall within the exceptions mentioned in Circular No. 5/2024. Therefore, the Revenue prayed for the withdrawal of the appeal.

AI-generated summary — verify with the full judgment below

ITA-7-2020 (O& 288-11

IN TH

PR. COMMIS M/S MALWA

CORAM: H

H Present: M

SANJEEV P

1.

Counse No.9/20 Ministr Taxes, before Court amende manage &M) Page 1 of 3 HE HIGH COURT OF PUNJA CHANDIGAR

***

SSIONER OF INCOME TAX-3 Vs.

A COTTON SPINNING MILLS **** HON’BLE MR. JUSTICE SAN HON’BLE MR. JUSTICE ALO ****

Mr. Ranvijay Singh, Sr. Standing for the appellant/Revenue. None for the respondent. **** RAKASH SHARMA, J.(Oral) el for the appellant submits that 024 dated 17.09.2024 issued ry of Finance, Department of Re the monetary limits for filing o the ITAT, High Court and SLP have been enhanced and the ed and following steps have b e litigations:

AB AND HARYANA AT RH ITA-7-2020 (O&M) Date of Decision: 15.10.2024 , LUDHIANA . . . . Appellant S LIMITED, LUDHIANA . . . . Respondent NJEEV PRAKASH SHARMA OK JAIN g Counsel ) in terms of the Circular bearing by the Government of India, evenue, Central Board of Direct f the appeals by the department Ps/Appeals before the Supreme Circular No.5/2024 has been been taken with the purpose to

) 4 t

t g , t t e n o PARUL 2024.10.18 12:57 I attest to the accuracy and authenticity of this document

ITA-7-2020 (O& h fo 4 S 1 2 3 r in A C to to 2. The mo Circula be filed apply t and Tri 3. In view does n learned 4. Accord as with

&M) Page 2 of 3 “ 2. As a step towards man has been decided by the Board to re for filing of appeals in Income-tax 4.1 of the aforementioned Circular

Sl. No. Appeals/SLPs in Income-t 1. Before Income

Tax Tribunal 2. Before High Court 3. Before Supreme Court

3.

Monetary limits given in p regard to filing appeal/SLP shall be ncluding those relating to TDS/TC Act, 1961 with exceptions as per Circular No 5/2024 dated 15.03.20 o appeal/file SLP shall be taken on o the tax effect and the monetary li

odifications have come into effe ar i.e. 17.09.2024, and therefore d before the Supreme Court, Hi to the appeals pending before t ibunal, which have been directed w of aforesaid Circular No.09/202 not fall within the exception d counsel prays for withdrawal of dingly, we allow the prayer as ab drawn.

nagement of litigation, it evise the monetary limits cases as stated in Para as follows: tax matters Monetary Limit (Tax effect in Rs.) Appellate 60 lakh 2 crore 5 crore paragraph 2 above with e applicable to all cases CS under the Income-tax r paras 3.1 and 3.2 of 024, where the decision n merits, without regard imits.” ect from the date of issuance of e shall apply to SLPs/appeals to gh Court and Tribunal and also the Supreme Court, High Court d to be withdrawn. 24 dated 17.09.2024, as the case clause of Circular No.5/2024, f the appeal No.ITA-7-2020. bove, and the appeal is dismissed

f o o t e , d PARUL 2024.10.18 12:57 I attest to the accuracy and authenticity of this document

ITA-7-2020 (O& 5. All pen

October 15, 20 parul 1. Wheth 2. Wheth &M) Page 3 of 3 nding applications also stand disp

(SANJ 024 her speaking/reasoned?

her reportable?

posed of accordingly. JEEV PRAKASH SHARMA) JUDGE

(ALOK JAIN) JUDGE Yes/No Yes/No

PARUL 2024.10.18 12:57 I attest to the accuracy and authenticity of this document

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