Commissioner of Income tax II, vs. Shri M P Chary

ITTA/21/2010HC TelanganaHBHC01027700201029 January 2025Bench: P.SAM KOSHY,NARSING RAO NANDIKONDA4 pages

AI SummaryDismissed

What did the High Court hold?

The High Court dismissed the appeal filed by the Revenue. The primary reason for dismissal was that the tax effect in the instant appeal was well below the monetary limit of Rs. 2.00 crore fixed for filing appeals before the High Court, as stipulated in CBDT Circular No. 9 of 2024 dated 17.09.2024. This circular amended the previous Circular No. 5 of 2024 dated 15.03.2024, with the objective of reducing litigation by enhancing monetary limits for appeals. The Court noted that if the appeal fell within any exceptions provided in Circular No. 5 of 2024, the Income Tax Department would be at liberty to seek revival of the appeal. No order as to costs was made. Consequently, any pending miscellaneous petitions were also closed.

What were the facts?

The Revenue, Commissioner of Income Tax-II, Hyderabad, filed an appeal under Section 260A of the Income Tax Act, 1961, against an order dated 08.11.2007 passed by the Income Tax Appellate Tribunal (ITAT), Hyderabad Bench 'B'. The ITAT's order was in relation to ITA No. 338/Hyd/2001 for the Assessment Year 1995-96. The appeal preferred by the Revenue challenged an order dated 27.02.2001 passed by the Commissioner of Income Tax (Appeals)-IV, Hyderabad, which in turn was against an order dated 28.03.2000 passed by the Deputy Commissioner of Income Tax, Circle-2(2), Hyderabad. The respondent in this appeal is Shri M.P. Chary.

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. 9 of 2024 dated 17.09.2024, which amended Circular No. 5 of 2024 dated 15.03.2024. Contentions: Assessee: The judgment does not record any specific contentions made by the respondent assessee. The dismissal is based on the tax effect and the circulars issued by the CBDT. Revenue: The Revenue, through its counsel, presented the appeal. The judgment notes that the tax effect in the instant appeal is well below the monetary limit prescribed by the CBDT circulars for filing appeals before the High Court.

Which sections of the Income-tax Act were involved?

Section 260A

AI-generated summary — verify with the full judgment below

t344.71 IN THE HIGH COURTTOR THE STATE OF TELANGANA AT HYDERABAD WEDNESDAY, THE TWENTY NINTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY THE HoNouRABLE sRl rrarfl='*o*srNc RAo NAND,K.NDA TAX T Income Tax Tribunar Appear Under section 260A of the rncome Tax Act, 1961 against the order dated oa-11-2007 passed in rrA No.338/Hyd/2001 for the Assessment Year 1gg5-g6 0n the fire of the Income Tax Apperate Tribunar, Hyderabad Bench 'B', Hyderabad preferred against the Order dated 27_02_2001 passed in Appeal No.297lJc.sR.1/ctr(A)tv/2000-200i on the file of the commissioner of rncome Tax (Appears)-rv, Hyderabad preferred against the order dated 28-03-2000 passed in pAN/crR No. c-706 0n the fire of the Deputy Commissioner of lncome Tax, circle_2(2), Hyderabad Between: Commissioner of lncome tax_ll, Hyderabad. AND ...APPELLANT Shri M P Chary,8-2-224l4/9/C, yousufguda, Hyderabad ...RESPONOENT INCOME RIBUNAL APPEAL NO: 21 0F 2010 Counsel for the Appellant irls. J. Sunitha, Junior Standing Counsel rep. Sri P. Murali Krishna, Senior Standing Counsel Counsel for the Respondent: The Court delivered the following JUDGMENT:

I THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOT]RABLE SRI JUSTICE NARSING RAO NANDIKONDA ITTA No.21 OF 2010 JUDGMEN'I (per Hon'ble Sri Justice P.Sam Koshy) Heard Ms. J.Sunitha, Iearned Junior Standing Counsel representing Mr. P.Murali Krishna, learned Senior Standing Counsel for the appellant. Perused the record. 2. This a.ppeal under Section 260A of the Income Tax Act, 1961, has lreen preferred by the Revenue as the appellant against the order dated 08.11.2007 passed by the Income Tax Appellate l ribunal, Hyderabad Bench 'B', Hyderabad, tn I.T.A.No.3Itt/Hyd/200| for the Assessment Year 1995-96. 3. Centra.l Board of Direct Taxes (CBDT) has issued Circular No.9 of 2(124 dated, 17.09.2024, amending the previous Circular No.5 of 2024 dated 15.03.2024, by further enhancing the monetary limits for filing appeals by the Income Tax Department before the Income Tax Appellate Tribunals, High Courts and Supreme Court I { as a measlrre for reducing litigation. Ilr paraoraph 2 o1' the said l I i1 I

2 Circular, we find that the monetary limit frxed for filing an appeal before the High Court is Rs.2.00 crore. 4. In the instant appeal, tax effect is well below the monetary limit. 5. Therefore, the appeal f,rled by the Department is dismissed in terms of the aforesaid Circular No.9 of 2024 dated 17-09.2024. However, if the appeal cornes within the exception of Circular No.5 of 2024, it would be open to the Income Tax Department to seek revival of the appeal. There shall be no order as to costs. 6. Consequently, miscellaneous petitions pending, il any, shall stand closed ,ITRUE COPY// Sd/. K. SRINIVASA RAO JOINT REGISTRAR CTION OFFICER To, VIVPR o 't. The lncome Tax Appellate Tribunal, Hyderabad PPnch '8" Hyderabad i. iii; C;ffiission"ibr lncome Tax (Apfeals)-lv, Hvderabad 5 rii" o.6ilwbommissioner of lncori,d tax, 6ircle-2(2)' Hyderabad ; o";-c-C6'Sri P. Murali Krishna, Advocate [oPUc] 5. Two CD Copies

, HIGH COURT DATED:2910112025 JUDGMENT ITTA.No.21 of 2010 DISMISSING THE ITTA ?A o lJ 1/ :tB 20?5 ( '+ 1rr-. S | { 1t DFsI'AT Cufro ( ) ) c t, a i I I ,tD v

Recent GST High Court judgments

Search GST case law →