COMMISSIONER OF INCOME TAX DEL vs. THAI AIRWAYS INTERNATIONAL PUBL

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ITA/895/2005HC Delhi29 June 20204 pages
AI SummaryDismissed

What did the High Court hold?

The High Court held that the appeals were not maintainable due to low tax effect and did not fall within any exceptions provided by the CBDT circulars.

What were the facts?

The Revenue filed appeals before the High Court concerning assessment years 1992-93 and 1994-95. The tax effect in these appeals was found to be below the prescribed limit for filing appeals as per CBDT circulars.

What were the issues?

Whether appeals with a tax effect below the prescribed limit, as per CBDT circulars, are maintainable before the High Court.

Which sections of the Income-tax Act were involved?

Section 201(1),Section 201(1A)

AI-generated summary — verify with the full judgment below

#R-6, 7 & 8 $~ * IN THE HIGH COURT OF DELHI AT NEW DELHI R-6 + ITA 895/2005

COMMISSIONER OF INCOME TAX DEL ..... Appellant Through: Mr. Zoheb Hossain, Sr. Standing Counsel with Mr. P. Semwal, Advocate

versus

THAI AIRWAYS INTERNATIONAL PUBL ..... Respondent Through: None.

AND R-7 + ITA 901/2005

COMMISSIONER OF INCOME TAX D ..... Appellant Through: Mr. Zoheb Hossain, Sr. Standing Counsel with Mr. P. Semwal, Advocate

versus

THAI AIRWAYS INTERNATIONAL PUB ..... Respondent Through: None.

WITH R-8 + ITA 917/2005

COMMISSIONER OF INCOME TAX, D ..... Appellant Through: Mr. Zoheb Hossain, Sr. Standing Counsel with Mr. P. Semwal, Advocate

versus

THAI AIRWAYS INTERNATIONAL PUB ..... Respondent Through: None.

CORAM: HON'BLE MR. JUSTICE MANMOHAN HON'BLE MR. JUSTICE SANJEEV NARULA

O R D E R %

29.06.2020 This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 21:39:47

The present matters have been heard by way of video conferencing. Learned counsel for the appellant has handed over a letter dated 26th June, 2020 written to him by Deputy Commissioner of Income Tax, Circle 76(1), New Delhi. The said letter reads as under:- “Kindly refer to your e-mail letter informing about the additions made by the assessing officer in the above captioned cases which are below Rs. 1,00,00,000/- of tax effect with a request to verify the following: ITA No. A Y Tax Effect/ Additions made by the AO ITA 895/2005 @ Pg. 17 of the Appeal ITA 917/2005 (Cross Appeals) @Pg. 27 of the Appeal 1993- 1994 Addition made by the AO : Rs. 52,89,366/- ITA 901/2005 @ Pg. 15 of the Appeal 1994- 1995 Addition made by the AO : Rs. 10,14,366/-

2.

For the F.Y. 1992-93, order u/s 201(1) was passed by the erstwhile ACIT Cicle 22(1), Delhi making the following additions for short deduction of TDS on the following:

Particulars

Amount paid Short Deduction

Refreshment Expresses 6,53,649 2,92,830 Shift Allowance

6,00,000 2,68,800 Transport expenditure 6,74,461 3,02,158 Laundry Expenses

2,40,000 1,07,520 Bonus

2,38,000 1,06,624 Estimated expenditure in relation

To 5 expatriates for want of full Details

60,00,000 26,88,000 Estimated expenditure in relation to 12 employees for want of full details

30,00,000 13,44,000 Air Tickets

4,00,000 1,79,200

TOTAL

52,89,132 This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 21:39:47

3.

Apart from above, addition u/s 201 (1A) to the tune of Rs. 11,90,060 was also made.

4.

Hence, total addition for F.Y. 1992-93 comes to Rs. 64,79,192/- which is below the prescribed limit for filing appeal as per CBDT circular No. 17/2019 dated 08-08-2019. The matter has been examined and it is found the issue involved in the present appeal does not fall within any of the exceptions given in the Board’s Circular No. 17/2019 dated 08-08-2019 read with circular no 3/2018 and its amendments dated 20/08/2018.

5.

For the F.Y. 1993-94, following additions were made u/s 201(1) of the I.T. Act:

Particulars

Amount paid Short Deduction

Refreshment Expresses 1027220 460195 Shift Charges

127671 57196 Transport Charges

1109320 496975

Total 10,14,366

6.

Further, additions u/s 201(1A) for F.Y. 1993-94 of Rs. 4,05,720/- was also made. Hence, total addition for F.Y. 1994-95 comes to Rs. 14,20,086/- which is below the prescribed limit for filing appeal as per CBDT circular No.17/2019 dated 08-08-2019. The matter has been examined and it is found the issue involved in the appeal does not fall within any of the exceptions given in the Board’s Circular No. 17/2019 dated 08-08-2019 read with circular no 3/2018 and its amendments dated 20/08/2018.

Yours faithfully,

(Pradeep Shekhar)

Deputy Commissioner of Income Tax, Circle-76(1), New Delhi”

This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 21:39:47

Today also learned counsel for the appellant reiterates that in ITA 895/2005 and 917/2005, w.r.t. A.Y 1992-93, the total tax effect being Rs. 64,79,192/-, is below the prescribed limit for filing an appeal before High Court, as per CBDT circular No. 17/2019 dt. 08.08.2019. He also states that the aforesaid appeals do not fall within any of the exceptions given in CBDT Circular no. 17/2019 dt. 08.08.19 read with circular 03/2018 and its amendments dt. 20.08.2018. Learned counsel for the appellant further states that in ITA 901/2005 w.r.t. A.Y 1995-96, the total tax effect being Rs. 14,20,086/-, is below the prescribed limit for filing an appeal before High Court, as per CBDT circular No. 17/2019 dt. 08.08.2019. He reiterates that the appeal does not fall within any of the exceptions given in CBDT Circular no. 17/2019 dt. 08.08.19 read with circular 03/2018 and its amendments dt. 20.08.2018. Consequently, present appeals are dismissed on account of low tax effect. The order be uploaded on the website forthwith. Copy of the order be also forwarded to the learned counsel through e-mail.

MANMOHAN, J

SANJEEV NARULA, J JUNE 29, 2020 rn This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 21:39:47

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