D.b. Income Tax Appeal v. Date Of Order13.1.2016

IN THE HIGH COURT OF JUDICATURE FOR RAJASTHANBENCH AT JAIPUR D.B. Income Tax Appeal No.535/2011Commissioner of Income Tax v. Smt. Chandra Kala Pandit Date of order13.1.2016 Hon'ble Mr. Justice Ajay RastogiHon'ble Mr. Justice J.K. Ranka Ms. Parinitoo Jain, counsel for appellant By the Court 1.This appeal has been preferred against order dated30.10.2009 of the Income Tax Appellate Tribunal. 2.As per the order additional affidavit of Commissioner ofIncome-tax the tax effect is Rs.17,79,741/- i.e. below Rs.20 lac.The matter is pending since 2011 and still service on therespondent assessee has not been effected so far. 3.It is brought to our notice that a Circular has been issued by the Central Board of Direct Taxes dated 10.12.2015 in exercise ofits power u/sec. 268A (1) of the Income-tax Act 1961 laying downrevision of monetary limits for filing of appeals by the Departmentbefore the Tribunal and High Courts and SLP before SupremeCourt keeping in view the measures for reducing litigation. Para 3 of the Circular reads as under :- “3.Henceforth, appeals/SLPs shall not be filed incases where the tax effect does not exceed the monetarylimits given hereunder :- S.Appeals in Income-taxMonetary Limit (inNo.mattersRs.)1Before Appellate Tribunal10,00,000/-2Before High Court20,00,000/-3Before Supreme Court25,00,000/- It is clarified that an appeal should not be filed merelybecause the tax effect in a case exceeds the monetarylimits prescribed above. Filing of appeal in such casesis to be decided on merits of the case. 4.xxxxxxxxx5.xxxxxxxxx6.xxxxxxxxx7.xxxxxxxxx8.xxxxxxxxx9.The monetary limits specified in para 3 aboveshall not apply to writ matters and direct tax mattersother than Income tax. Filing of appeals in other Directtax matters shall continue to be governed by relevantprovisions of statute & rules. Further, filing of appealin cases of Income Tax, where the tax effect is notquantifiable or not involved, such as the case ofregistration of trusts or institutions under section 12 Aof the IT Act, 1961, shall not be governed by the limitsspecified in para 3 above and decision to file appeal insuch cases may be taken on merits of a particular case. 10.This instruction will apply retrospectively topending appeals and appeals to be filed henceforth inHigh Courts/Tribunals. Pending appeals below thespecified tax limits in para 3 above may bewithdrawn/not pressed. Appeals before the SupremeCourt will be governed by the instructions on thissubject, operative at the time when such appeal was filed.” And laying down other conditions as well which has to beconsidered by the Assessing Officer or Appellate Authority as wellthe CBDT in paras 9 and 10 of the Circular it has been observedthat the monetary limits specified in para 3 above shall not apply towrit matters and direct tax matters, and at the same time theseinstructions will apply retrospectively to the pending appeals andappeals to be filed henceforth in High Courts/Tribunals, and alsobefore the Supreme Court. 4.Taking note of the aforesaid Circular and the tax effect in theinstant appeal which is much less than what has been prescribedfor filing appeal before the High Courts, no purpose would beserved to continue the present appeal any further. However, wemake it clear that the substantial questions of law admitted/soughtto be raised are left open to be considered in an appropriate case. 5.Accordingly, in the light of the CBDT Circular dated10.12.2015 the appeal is dismissed. (J.K. Ranka) J. (Ajay Rastogi) J. db149 [All corrections made in the judgment/order have been incorporated in the judgment/order being emailed.]Deepankar Bhattacharya PS