THE COMMISSIONER OF INCOME-TAX vs. M/S INFOSYS TECHNOLOGIES LTD

ITA/613/2006HC KarnatakaKAHC01022991200603 September 2026Bench: R DEVDAS,K.MANMADHA RAO10 pages

AI SummaryWithdrawn

What did the High Court hold?

The High Court accepted the memo filed by the appellants (revenue) and dismissed the appeals as withdrawn. The Court reasoned that since the appeals were filed by the revenue and their value was below the prescribed monetary limits set out in CBDT Circular No. 9/2024, the appeals were not maintainable. The Court noted that the withdrawal was at the risk of the appellants. It was also observed that since the respondents had preferred appeals in other matters, the issues could be argued in those appeals. No decision was made on the merits of the ITAT's orders.

What were the facts?

The appeals were filed by the Commissioner of Income-Tax and the Income-Tax Officer (International Taxation) against orders of the Income Tax Appellate Tribunal (ITAT). The appeals concerned assessment years 2000-01, 2001-02, 2002-03, and 2003-04, and involved assessees M/s Infosys Technologies Ltd and M/s Wipro Ltd. The revenue sought to set aside the ITAT's orders, which were dated 11-11-2005 and 30-12-2005. The appeals were filed under Section 260-A of the Income Tax Act, 1961.

What were the issues?

1. Whether the appeals filed by the revenue are maintainable in light of CBDT Circular No. 9/2024, which sets new monetary limits for appeals (question of law). The revenue argued that the appeals were below the prescribed monetary limit as per CBDT Circular No. 9/2024 dated 17.09.2024 and therefore prayed for the appeals to be dismissed as withdrawn, stating they were not maintainable. The revenue also contended that Clause 7 of the circular protects the respondents' interests and that withdrawal would not enable the appellants to take advantage of future decisions in their favour. The revenue did not present arguments on the merits of the ITAT's orders.

Which sections of the Income-tax Act were involved?

Section 260-A

AI-generated summary — verify with the full judgment below

HC-KAR IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 3RD DAY OF SEPTEMBER, 2026 PRESENT THE HON'BLE MR. JUSTICE R DEVDAS AND THE HON'BLE DR. JUSTICE K.MANMADHA RAO INCOME TAX APPEAL NO. 613 OF 2006 C/W INCOME TAX APPEAL NO. 2804 OF 2005 INCOME TAX APPEAL NO. 2805 OF 2005 INCOME TAX APPEAL NO. 2807 OF 2005 INCOME TAX APPEAL NO. 614 OF 2006 INCOME TAX APPEAL NO. 615 OF 2006 INCOME TAX APPEAL NO. 616 OF 2006

IN ITA No. 613/2006 BETWEEN:

THE COMMISSIONER OF INCOME-TAX INTERNATIONAL TAXATION RASTROTHANA BUILDING NRUPATHUNGA ROAD BANGALORE.

THE INCOME-TAX OFFICER (INTL. TAXATION), WARD 19(2) RASTROTHANA BUILDING NRUPATHUNGA ROAD BANGALORE. …APPELLANTS (BY SRI E. I. SANMATHI, SR. STANDING COUNSEL SRI NIRMAL MATHEW, STANDING COUNSEL)

Digitally signed by G SHREERAKSHA Location: HIGH COURT OF KARNATAKA HC-KAR AND:

M/S INFOSYS TECHNOLOGIES LTD PLOT NO.44 AND 97A, 3RD CROSS ELECTRIC CITY, HOSUR ROAD BANGALORE 561 229. …RESPONDENT (BY SRI T. SURYANARAYANA RAO, SR. COUNSEL A/W SRI VINAY GIRI, ADVOCATE)

THIS ITA IS FILED U/S.260-A OF I.T.ACT, 1961 ARISING OUT OF ORDER DATED 11-11-2005 PASSED IN ITA NO.145/BANG/2004, FOR THE ASSESSMENT YEAR 2000-01, PRAYING THAT ALLOW THE APPEAL AND SET ASIDE THE ORDER PASSED BY THE ITAT BANGALORE IN ITA NO.145/BANG/2004 DATED 11-11-2005 AND CONFIRM THE ORDER PASSED BY THE INCOME TAX OFFICER(INTERNATIONAL TAXATION) WARD-19(2), BANGALORE, IN THE INTEREST OF JUSTICE.

IN ITA NO. 2804/2005 BETWEEN: 1. THE COMMISSIONER OF INCOME-TAX INTERNATIONAL TAXATION RASTROTHANA BUILDING NRUPATHUNGA ROAD BANGALORE.