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Facts
The assessee, Siddhant Trust, challenged orders from the Ld. ADDL/JCIT (A) for AYs 2022-23 and 2023-24. The appeals concerned the levy of a 37% surcharge by the Assessing Officer, which was affirmed by the Ld. Commissioner, despite the assessee's total income, including dividend, being ₹ 11,62,190/-, which did not exceed ₹ 50,00,000/-.
Held
The tribunal held that, as per the first schedule to the Finance Act, no surcharge is leviable when the total income does not exceed ₹ 50,00,000/-. Consequently, the tribunal deleted the 37% surcharge levied by the Assessing Officer, finding it to be unwarranted.
Key Issues
Whether surcharge is leviable on an assessee whose total income, including dividend, does not exceed ₹ 50,00,000/- as per the First Schedule to the Finance Act.
Sections Cited
Section 250 of the Income Tax Act, 1961, First Schedule to the Finance Act
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Income Tax Appellate Tribunal, NAGPUR “SMC” BENCH : NAGPUR
Before: SHRI NARENDER KUMAR CHOUDHRY
These appeals have been preferred by the assessee against the separate orders each dated 11/03/2025 impugned herein passed by the Ld. ADDL/JCIT (A), Jodhpur [in short, “Ld.Commissioner”] u/sec. 250 of the Income Tax Act, 1961 (for short, “the Act”) for the Assessment Years (for short, “AY”) 2022– 23 & 2023-24 respectively.
The adjournment application filed by the assessee is declined.
2 ITA.No.273–274/NAG/2025 3. Both the cases are interconnected being pertains to the same assessee and having involved identical issues, and therefore, for the sake of convenience and brevity, the same were heard together and are being disposed of by this composite order.
Admittedly, the total income of the assessee including by way of dividend is ` 11,62,190/– does not exceed ` 50,00,000/–. Therefore, according to the first schedule to the Finance Act as applicable to the instant case, no surcharge would be leviable and consequently this Court is inclined to delete the surcharge levied by the Assessing Officer @ 37% by considering the income declared by the assessee at MMR, which has been affirmed by the Ld.Commissioner by impugned order. Consequently, both the appeals under are allowed.
In the result, both the appeals of the Assessee are allowed.