CIT vs M/S. Pfx Saldanha and Sons | Karnataka High Court 2013

IN THE HIGH COURT OF KARNATAKA, BANGALORE

DATED THIS THE 09TH DAY OF APRIL 2013

PRESENT:

THE HON'BLE MR.JUSTICE N.KUMAR

AND

THE HON'BLE MR.JUSTICE B.MANOHAR

Income Tax Appeal No.37/2013

Income Tax Appeal No.38/2013

Income Tax Appeal No.41/2013

Income Tax Appeal No.42/2013

BETWEEN:

Commissioner of Income Tax (Appeals), Mysore.

Income Tax Officer, Ward-2(2), Mangalore.

…..Common Appellants in all the four appeals

(By Sri E.I.Sanmathi, Advocate)

AND:

M/s. PFX Saldanha and Sons, D.No.17-21-1498, Highland Coffee Works, Falnir, Mangalore.

….Common Respondent in all the four appeals

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ITA No.37/2013 is filed under Section 260-A of I.T. Act, 1961, arising out of order dated 07.09.2012 passed in ITA No.796/Bang/2011, for the Assessment Year 2002-03, praying this Court to formulate the substantial questions of law stated therein, etc.

ITA No.38/2013 is filed under Section 260-A of I.T. Act, 1961, arising out of order dated 07.09.2012 passed in ITA No.797/Bang/2011, for the Assessment Year 2003-04, praying this Court to formulate the substantial questions of law stated therein, etc.

ITA No.41/2013 is filed under Section 260-A of I.T. Act, 1961, arising out of order dated 07.09.2012

3 passed in ITA No.8006/Bang/2011, for the Assessment Year 2006-07, praying this Court to formulate the substantial questions of law stated therein, etc.

ITA No.42/2013 is filed under Section 260-A of I.T. Act, 1961, arising out of order dated 07.09.2012 passed in ITA No.801/Bang/2011, for the Assessment Year 2007-08, praying this Court to formulate the substantial questions of law stated therein, etc.

These appeals coming on for Orders, this day, N.KUMAR, J., delivered the following:

J U D G M E N T

In all these appeals, admittedly, the “tax effect” is les than Rs.10 Lakhs in a particular assessment year.

The Revenue submits, though the “tax effect” in each assessment year is less than Rs.10

4 Lakhs as the Tribunal has passed a common order in respect of several assessment years. If the tax payable for each assessment year is added, it exceeds Rs.10 Lakhs and therefore, Clause 5 of Instruction No.3 of 2011 is not attracted. It is submitted that this Court had already entertained an appeal in ITA No.324/2012, for the relevant assessment year the “tax effect” is more than Rs.10 Lakhs and therefore, the appeal be admitted.

We do not see any merit in the said contention. Once the subject matter of these appeals, the “tax effect” is less than Rs.10 Lakhs, merely because a common order is passed by the Tribunal clubbing all these appeals, the benefits which are accrued to the assessee under the said Circular cannot be denied. In that view of the

5 matter, the office objection is sustained. Appeals are not maintainable and accordingly, dismissed.

Sd/- JUDGE

Sd/-

JUDGE

dh*

COMMISSIONER OF INCOME TAX vs. M/S. PFX SALDANHA AND SONS