The Commissioner of Income Tax-III V. VST Industries Limited

ITTA/771/2006

AI Insights

This case involves an appeal by the Income Tax Department against the order of the Income Tax Appellate Tribunal, Hyderabad, which was itself an appeal against the order of the Commissioner of Income Tax (Appeals)-IV, Hyderabad. The original dispute pertained to the assessment year 2002-2003. The Income Tax Department challenged the tribunal's decision, but the appeal was dismissed due to the monetary limits set by the CBDT to curb unnecessary litigation in higher courts. The court referenced the CBDT Circular No. 17 of 2019, which amended the previous circular to enhance the monetary limits for filing appeals.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 731988 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 09-08-2023
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: P RAJENDER REDDY
• Assessee Lawyers: J V PRASAD
• Keywords: Appeal dismissed; CBDT Circular; Income Tax; Monetary limit
• Section: 260A

Judgement Text

"[ 33861 IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD WEDNESDAY, THE NINTH DAY OF AUGUST TWO THOUSAND AND TWENry THREE PRESENT THE HON'BLE SRI JUSTICE P.SAM KOSHY AND THE HON'BLE SRI JUSTICE A. LAXMI NARAYANA INCOME TAX TRIBUNAL APPEAL No: 771 0F 2006 lncome Tax Tribunal Appeal Under Section 260A of the lncome Tax Act, '1961 arising out of the order of the lncome-Tax Appellate Tribunal, Hyderabad Bench ' B ' Hyderabad, in ITA No.1237lHydl2O1S, for Assessmentyear 2OO2-2OO3 dated: 1 2-05-2006 preferred against the Order of the Commissioner of lncome Tax , (Appeals)-lV, Hyderabad, Appeat No.S7lACtT-3(4yCtT(A)-tV/05-06, dated:10-10- 2005, preferred against the order of the Assistant commissioner of lncome Tax, Circle -3(4), Hyderabad, P.A.N / G.t.R No. AAACV6799C / V-i 78, dated 30-03-2005. Between: The Assistant Commissioner of lncome Tax-lll, Hyderabad ...APPELLANT AND VST lndustries Limited, Azambad, Hyderabad. ...RESPONDENT Counsel for the Appellant: SRI J.V. PRASAD, SC FOR INCOME TAX Counsel for the Respondent: SRI P. RAJENDER REDDY The Court delivered the following: JUDGMENT THE HON'BLE SRI JUSTICE P.SAM KOSEY AND THE HON'BLE SRI JUSTICE A. LA)OII NARAYANA I.T.T.A. No.771 of 20O6 JUDGMENT (per Hon'bLe Si Jttstice P-SAM KOSHY) Heard Sri J. /. Prasad, learncd Senior Standing Counsel appearing for the appellant. 2. This appeal under Section 2604 of the Income Tax Act, 1961, has been preferred by the Revenut: as the appcllant against the order dt. 12.05.2006 passed by the Income Tax Appellate Tril>ur-ral, Hyderabad Bench 'A', Hyderabarl, in I.T.A.No 1237 lHydl2OO5 for thc Assessment Year 2002-03. 3. Central Board of Direct Taxcs (CBDT) has issued Circular No IT of 2019 dt.08.O8.2019, amending the previous Circular No.3 of 2018 dt. 11.07.2018, by further enhancir-rg the monetary limits for filing appeals by the Income Tax l)epartment br:lbrc the Income Tax Appellate Tribunals, High Courts and Su,preme Court zts a measure for reducing litigation. ln paragraph 2 of the r;aid Circular, rve find that the monctary limit fixed for trling an appea-l before the High Court is Rs.1-OO crore. 4. tn the instant appeal, tax elfr:ct is well below the monetar)'hmit- 5. Therefore, the appeal hled trl'the Department is dismissed in terms of the aforcsaid Circuku No. 17 of 20l9 dt.08.O8.2019. However, if the appeal comcs within the ex<:eption under p:tragraph 10 of Circular No.3 o[ 20 18, it I I z would be open to the Income Tax Department to seek rerrival of the appeal No order as to costs 6 Consequently, miscellaneous petitions pending, if any, shall stand closed. Sd/.K.SRINIVASA RAO JOINT REGISTRAR //TRUE COPY// SECTION OFFICER 1. The lncome-Tax Appellate Tribunal, Hyderabad Bench ' B ' Hyderabad' 2. The Commissioner of lncome Tax , (AppealsflV, Hyderabad' 3. The Assistant Commissioner of lncome Tax, Circle -3(4), Hyderabad' 4. One CC to SRI J.V. PRASAD, SC FOR INCOME TAX [OPUC] 5. One CC to SRI P. RAJENDER REDDY, Advocate [OPUC] 6. Two CD CoPies t To, kam 6 HIGH COURT PSK,J & LNA,J DATED:0910812023 JUDGMENT ITTA.No.771 ot 2006 ,.r,,,.;,(1-:r\"ii; 15 Ttt ?ffi ') i -i lai .l ,.1 il' ], i: , i., ) ',(., THE APPEAL IS DISMISSED @t^' e a? "