The Commissioner of Income Tax-III, V. M/s. Sri. Krishna Drugs Ltd., C-4 IDA,

ITTA/246/2012

AI Insights

This case involves an appeal by the Income Tax Department against the order of the Income Tax Appellate Tribunal, Hyderabad, which was related to the assessment year 2001-02. The appeal was dismissed based on the monetary limits set by the CBDT to reduce litigation. The specific issue was whether the tax effect in the case justified the appeal to the High Court, given the new monetary threshold established by the CBDT. The court's decision to dismiss the appeal was influenced by the fact that the tax effect was below the prescribed limit, as per the recent circulars aimed at minimizing unnecessary litigation in tax matters.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 728322 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 17-09-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: A V A SIVA KARTIKEYA
• Assessee Lawyers: B SAPNA REDDY
• Keywords: Appeal Dismissal; CBDT Circular; Income Tax; Monetary limit
• Section: 260-4

Judgement Text

"134471 IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD TUESDAY, THE EIGHTEENTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HON'BLE SRI JUSTICE P.SAM KOSHY AND THE HON'BLE SRI JUSTICE NARSING RAO NANDIKONDA INCOME TAX TRIBUNAL APPEAL No: 246 ol 2012 lncome tax Tribunal Appeal under Section 260-4 of the lncome tax Act, 1961, against the Order of the lncome Tax Appellate Tribunal, Hyderabad Bench B, Hyderabad in ITA No 40/Hydl07 lor Assessment Year 2001-02 dated 30-04-2008, preferred against the Order of the Commissioner of lncome Tax (Appeals) lV, Hyderabad date$ 15-1 1-2006 in Appeal No. 417lDClT.Cu.3(2yClT(A)-lV/2005-06, preferred against the Order of the Deputy Commissioner of lncome Tax-3(2), Hydeiabad dated 30-12-2005 in PAN/GlR No.AADCS40520Q. Between: The Commissioner of lncome Tax-lll, Hyderabad ...Appellant AND M/s, Sri. Krishna Drugs Ltd., C-4 lDA, Uppal, Hyderabad ...Respondent Counsel forthe Appellant: Ms. B. Sapna Reddy, Standing Counsel representing Mr. J. V. Prasad, Senior Standing Counsel for the lncome Tax Department Counsel for the Respondent: Mr. A.V.A. Siva Kartikeya The Court delivered the following: JUDGMENT ':..'.,.;+\"\"V i. :' - .,J ;/.: l THE HONOURABLE SRT JUSTICE P.SAM KOSHY AND THE HONOT]RABLE SRIJUSTICE NARSING RAO NANDIKONDA ITTA No.246 OB 2012 JUDGMENT (per Hon'ble Sri Justice P.Sam Koshy) Heard Ms. B.Sapna Reddy,, leamed Junior Standing Counsel representing Mr. J.V.Prasad, leamed Senior Standing Counsel for the Income Tax Department for the appellant. Perused the record. 2. This appeal under Section 260,4. of the Income Tax Act, 1961, has been preferred by the Revenue as the appellant against the order dated 30.04.2008 passed by the Income Tax Appellate Tribunal, Hyderabad Bench 'B', Hyderabad, ln I.T.A.No.40/HYD/2007 for the Assessment Year 2001-02. 3. Central Board of Direct Taxes (CBDT) has issued Circular No.9 of 2024 dated 17.09.2024, amending the previous Circular No.5 of 2024 dated 15.03.2024, by further enhancing the monetary limits for filing appeals by the Income Tax Department before the Income Tax Appellate Tribunals, High Courts and Supreme Court ( t 2 as a measure for reducing litigation. In paragraph 2 of the said Circular, we find that the monetary limit fixed for filing an appeal before the High Court is Rs.2.00 crore 4. In the instant appeal, tax effect is well below the monetary limit. 5. Therefore, the appeal filed by the Department is dismissed in terms of the aforesaid Circular No.9 of 2024 dated 17.09.2024- However, if the appeal comes within the exception of Circular No.5 of 2024, it would be open to the Income Tax Department to - seek revival of the appeal. There shall be no order as to costs. 6. Consequently, miscellaneous petitiohs pending, if any, shall stand closed. Sd/. K. SRINIVASA RAO INT REGISTRAR //TRUE COPY// SECTION OFFICER '1 . The lncome Tax Appellate Tribunal, Hyderabad Bench B, Hyderabad. 2. The Commissioner of Income Tax (Appeals) lV, Hyderabad. 3. The Deputy Commissioner of lncome Tax-3(2), Hyderabad. 4. One CC Mr. J. V. Prasad, Senior Standing Counsel for the lncome Tax Department[OPUC] 5. One CC to Mr. A.V.A. Siva Kartikeya, Advocate [OPUC] 6. Two CD Copies To, kam/PR I I HIGH COURT DATE D : 1 810212025 JUDGMENT !TTA.No.246 of 2012 DISMISSING OF THE APPEAL ',{E S TA }t- '; Y ic .J .l 2 3 APn 2U5 sr,AT(:seO z a t / 1,4 5 "