PRINCIPLE COMMISSIONER OF INCOME TAX, vs. SHRI. PAVAN KANDKUR,

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HC-KAR NC: 2025:KHC-D:8205-DB ITA No. 100036 of 2023

IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 30TH DAY OF JUNE, 2025 PRESENT THE HON'BLE MR. JUSTICE R.DEVDAS AND THE HON'BLE MR. JUSTICE K V ARAVIND INCOME TAX APPEAL NO.100036 OF 2023 BETWEEN:

PRINCIPLE COMMISSIONER OF INCOME TAX, AAYAKAR BHAVAN, NAVANAGAR, HUBBALLI-580025. …APPELLANT

(BY SMT. ROOPA ANAVEKAR, ADVOCATE AND SRI. M.THIRUMALESH, ADVOCATE)

AND:

SHRI PAVAN KANDKUR, CTS NO.3046, HIREPETH NAGAR, NEAR AKKIKONDA, HUBBALLI-580020, PAN: ANIPK4256B. …RESPONDENT

(BY SRI. H.R. KAMBIYAVAR, ADVOCATE AND SMT. PATRI SHASHIKALA, ADVOCATE)

THIS INCOME TAX APPEAL IS FILED UNDER SECTION 260A OF THE INCOME-TAX ACT, 1961, PRAYING TO FORMULATE THE SUBSTANTIAL QUESTION OF LAW AS STATED ABOVE AND ALLOW THE APPEAL AND SET ASIDE THE ORDERS PASSED BY THE INCOME TAX APPELLATE TRIBUNAL, BENGALURU “C” BENCH, BENGALURU IN ITA NO.522/BANG/2022 DATED 17.11.2022 FOR THE A.Y. 2017-18 MARKED AS ANNEXURE-A AND CONFIRM THE ORDER DATED 23.03.2022 PASSED BY THE PR. COMMISSIONER OF INCOME TAX, HUBBALLI, FOR THE A.Y. 2017-18 AS ENCLOSED AND MARKED AS ANNEXURE-B AND ETC.

Digitally signed by CHANDRASHEKAR LAXMAN KATTIMANI Location: HIGH COURT OF KARNATAKA

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HC-KAR NC: 2025:KHC-D:8205-DB ITA No. 100036 of 2023

THIS INCOME TAX APPEAL, COMING ON FOR HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:

CORAM: THE HON'BLE MR. JUSTICE R.DEVDAS AND THE HON'BLE MR. JUSTICE K V ARAVIND

ORAL JUDGMENT (PER: THE HON'BLE MR. JUSTICE R.DEVDAS)

It is noticed that the tax effect in this appeal is less than ₹2 Crores and therefore, the appeal would not be maintainable at the instance of the revenue in view of the Circular No.09/2024 dated 17.09.2024 issued by the Central Board of Direct Taxes. It is also submitted that the aforesaid Circular binds the revenue. 2. On the other hand, learned counsel for the revenue submits that he be granted liberty to revive the appeal in case the matter falls within the exceptions under the aforesaid Circular dated 17.09.2024 and Circular No.5/2024 dated 15.03.2024. 3. In view of the aforesaid submissions, the appeal is disposed of with liberty as prayed for by the learned counsel for

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HC-KAR NC: 2025:KHC-D:8205-DB ITA No. 100036 of 2023

the revenue. However, the question of law is kept open to be adjudicated in an appropriate proceeding.

Sd/- (R.DEVDAS) JUDGE

Sd/- (K V ARAVIND) JUDGE

CLK CT: UMD List No.: 1 Sl No.: 56