COMMISSIONER OF INCOME TAX vs. TACON INFRASTRUCTURE PVT LTD

PDF · subscribers

TAXAP/1509/2009HC GujaratGJHC24041006200909 September 2019Bench: HONOURABLE MR. JUSTICE J.B.PARDIWALA,HONOURABLE MR. JUSTICE A.C. RAO2 pages

AI SummaryWithdrawn

What did the High Court hold?

The High Court held that the Tax Appeal was not pressed by the appellant (Revenue) due to the low tax effect, in accordance with Circular No. 17/2019 dated August 8, 2019. This circular establishes monetary limits for appeals, with appeals below Rs. 1,00,00,000 before the High Court being subject to this policy. Consequently, the appeal was disposed of based on this policy. The court reserved the liberty for the Revenue to revive the tax appeal in case of any difficulty. The specific issue that led to the original appeal before the High Court was not decided on merits.

What were the facts?

The Revenue, Commissioner of Income Tax, filed a Tax Appeal before the High Court of Gujarat at Ahmedabad against an order concerning Tacon Infrastructure Pvt Ltd. The appeal was notified for an appropriate order due to a low tax effect. The court was to consider Circular No. 17/2019, dated August 8, 2019, issued by the Central Board of Direct Taxes, which sets monetary limits for filing appeals. The circular outlines monetary limits for appeals before the Appellate Tribunal (Rs. 50,00,000), High Court (Rs. 1,00,00,000), and Supreme Court (Rs. 2,00,00,000). The appeal was disposed of in light of this circular.

What were the issues?

1. Whether the Tax Appeal should be dismissed due to low tax effect in light of Circular No. 17/2019 issued by the Central Board of Direct Taxes? (Question of law) Assessee's Contention: The assessee did not explicitly argue any points as the appeal was not pressed. The judgment states the appeal is 'not pressed in view of the low tax effect having regard to the Circular No.17/2019'. Revenue's Contention: The Revenue did not explicitly argue any points. The appeal was filed by the Revenue, and its disposition was based on the low tax effect as per the circular. The judgment notes that the appeal was 'not pressed' by the appellant (Revenue) in view of the low tax effect.

AI-generated summary — verify with the full judgment below

C/TAXAP/1509/2009 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/TAX APPEAL NO. 1509 of 2009 ========================================================== COMMISSIONER OF INCOME TAX Versus TACON INFRASTRUCTURE PVT LTD ========================================================== Appearance: MRS MAUNA M BHATT(174) for the Appellant(s) No. 1 MR TUSHAR P HEMANI(2790) for the Opponent(s) No. 1 MS VAIBHAVI K PARIKH(3238) for the Opponent(s) No. 1 ========================================================== CORAM: HONOURABLE MR.JUSTICE J.B.PARDIWALA and HONOURABLE MR.JUSTICE A.C. RAO

Date : 09/09/2019

ORAL ORDER (PER : HONOURABLE MR.JUSTICE J.B.PARDIWALA) 1. The Registry has notified the appeal for the purpose of passing an appropriate order. The captioned appeal has been notified because of the low tax effect. The appeal is to be disposed of keeping in mind the Circular No.17/2019, dated 8th August, 2019 issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board Direct Taxes, New Delhi. 2. This tax appeal is not pressed in view of the low tax effect having regard to the Circular No.17/2019, dated 8th August, 2019 issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board Direct Taxes, New Delhi. 3. According to the new policy as reflected from the Circular referred to above, the table for monetary limits is as follows: Page 1 of 2

C/TAXAP/1509/2009 ORDER Sr. No. Appeals/SLPs in Incometax matters Monetary Limit (Rs.) 1 Before Appellate Tribunal 50,00,000 2 Before High Court 1,00,00,000 3 Before Supreme Court 2,00,00,000 4. In view of the aforesaid, the appeal is disposed of accordingly. In case of any difficulty, we reserve the liberty for the Revenue to revive the tax appeal. (J. B. PARDIWALA, J) (A. C. RAO, J) aruna Page 2 of 2

Recent GST High Court judgments

Search GST case law →