Ita/221/2014 Of The Director Of Income Tax v. Ibm India Private Limited

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29 DAY OF AUGUST, 2019 PRESENT THE HON'BLE MR.JUSTICE L. NARAYANA SWAMY AND THE HON BLE MR.JUSTICE R. DEVDAS| INCOME TAX APPEAL No.221/2014 BETWEEN: 1.THE DIRECTOR OF INCOME-TAX,INTERNATIONAL TAXATION,RASHTROTHANA BHAVAN, NRUPATHUNGA ROAD, BENGALURU, 2).THE DY. DIRECTOR OF INCOME-TAX,(INTERNATIONAL TAXATION)CIRCLE -1(1),|RASHTROTHANA BHAVAN,NRUPATHUNGA ROAD, BENGALURU. _.. APPELLANTS (BY SRI ARAVIND.K.V, ADVOCATE AND|SRI DILIP.M, ADVOCATE)SRI DILIP.M, ADVOCATE) AND= IBM INDIA PRIVATE LIMITED,NO.12, SUBRAMANYA ARCADE,BANNERGHATTA MAIN ROAD, BENGALURU - 560 093. ~.. RESPONDENT (BY SRI T.SURYANARAYANA, ADVOCATE) THIS INCOME TAX APPEAL [IS FILED UNDER SEC. 260-A OF INCOME TAX ACT 1961, ARISING OUT OF ORDERDATED: 24.01.2014 PASSED IN ITA NO.494/BANG/2013, FOR|THEASSESSMENT|YEAR:2009-2010,|PRAYING|I. FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW STATEDABOVE. tt, ALLOW THE APPEAL AND SET ASIDE THE ORDERSPASSED|BYTHE|INCOME-TAXAPPELLATETRIBUNAL,BENGALURU IN ITA NO. 494/BANG/2013 DATED: 24.01.2014CONFIRMING THE ORDER OF THE APPELLATE COMMISSIONERAND CONFIRM THE ORDER PASSED BY THE DEPUTY DIRECTOROF INCOME TAX, CIRCLE-1(1), BENGALURU. tii. TO PASS SUCHOTHER SUITABLE ORDERS AS THIS HON BLE COURT DEEMS FITTO GRANT IN THE FACTS AND CIRCUMSTANCES OF THE CASEIN THE INTEREST OF JUSTICE AND EQUITY. TO: | THIS ITA COMING ON FOR FINAL HEARING, THIS DAY, | DEVDAS J., DELIVERED THE FOLLOWING: JUDGMENT Tne learned counsel for the appellant-Revenue brings to.the notice of this Court a Circular bearing No.17 of 2019 datedO8[:.]August, 2019 wherein the further ennancement of monetary|limit for filing of appeals by the Departments before the Income-Tax Appeliate Tribunals, High Courts and Special LeavePetitions/Appeals before the Supreme Court stands amended,and by the said amendment the earlier monetary limit ofRs.50,00,000/- (Rupees fifty lakh) has not been raised toRs.1,00,00,000/- (Rupees one crore). The earlier monetary limitwas prescribed as per Circular No.3 of 2018 dated 11[:.]July, 2018. In the light of the same, the learned counsel submits thatthe appeal is not maintainable and in view of tne Circular, theappeal may be permitted to be withdrawn. Further, the learnedcounsel would aliso draw the attention of tnis Court to Clause 10of the Circular No.3 of 2018 dated 11[:.]July, 2018 wherein|certain exceptions are carved out. The learned counsel submitsthat at the present stage it may not be possible for him tosubmit whether the matter falls under any of the exceptions. |Tnerefore, it is prayed that liberty may be reserved to theappellants to move this Court, if it is found that the matter fallswithin the exception carved out in Clause 10 of Circular bearingNumber 3 of 2018. 2. On the query of the Court as to whether the Circular is |applicable to pending matters, the learned counsel draws theattention of this Court to the communication dated 20[:.]AUGUST,2019 made by the Central Board of Direct Taxation to all theChief Commissioners of Income Tax clarifying at paragrapn No.3that the monetary limit prescribed in Circular No.17 of 2019 is applicable to all pending Special Leave Petitions, Appeals, CrossObjections and References.| 3. In view of the above, we permit the appellant towithdraw tne appeal for the reasons stated above. Liberty isalso granted to the appellant to seek revival of this appeal, if it isfound tnat the matter falls within the exception carved out inClause 10 of Circular bearing No.3 of 2018. BvkK/- Sd/-—JUDGE Sd/-—JUDGE