The Commissioner Of Income Tax - 14 Mumbai v. Parsi Dairy Farm

IN THE HIGH COURT OF JUDICATURE AT BOMBAY

ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO. 5504 OF 2010 WITH INCOME TAX APPEAL NO. 5505 OF 2010 WITH INCOME TAX APPEAL NO. 5506 OF 2010 The Commissioner of Income Tax-14, Mumbai .. Appellant v/s.

M/s. Parsi Dairy Farm, Mumbai ..Respondent Mr. P.C. Chhotaray for the appellant Mr. Atul K. Jasani for the respondent CORAM : M.S. SANKLECHA & A.M. BADAR, J.J.

DATED : 29th APRIL, 2016.

P.C.

1.

These Appeals relate to Assessment Years 2003-04, 2004-05 and 2005-06. All the appeals have been filed by the Revenue from a common impugned order 28th July, 2009 disposing of three appeals for the Assessment Years 2003-04, 2004-05 and 2005-06. 2.

Mr. Chhotaray, learned Counsel appearing for the Revenue invited our attention to Circular No.21 of 2015 issued by the Central Board for Direct Tax dated 10th December, 2015. In particular, our attention invited to paragraphs 3, 5 and 10 therein which read as under:-

"3:- Henceforth, appeals/SLPs shall not be filed in cases where the tax effect does not exceed the monetary limits given hereunder:- Sr.

No.

Appeals in Income Tax matters Monetary Limit (in Rs.) Before Appellate Tribunal 10,00,000/- Before High Court 20,00,000/- Before Supreme Court 25,00,000/- It is clarified that an appeal should not be filed merely because the tax effect in a case exceeds the monetary limits prescribed above. Filing of appeal in such cases is to be decided on merits of the case."

"5.

............. However, in case of a composite order of any High Court or appellate authority, which involves more than one assessment year and common issues in more than one assessment year, appeal shall be filed in respect of all such assessment years even if the 'tax effect' is less than the prescribed monetary limits in any of the year(s), if it is decided to file appeal in respect of the year(s) in which 'tax effect' exceeds the monetary limit prescribed. In case where a composite order / judgment involves more than one assessee, each assessee shall be dealt with separately." "10:- This instruction will apply retrospectively to pending appeals and appeals to be filed henceforth in High Courts/ Tribunals. Pending appeals below the specified tax limits in para 3 above may be withdrawn/not pressed. Appeals before the Supreme Court will be governed by the instructions on this subject, operative at the time when such appeal was filed."

3.

In the present cases, the tax effect as mentioned in paragraph 11 of the each of the three Appeal Memos is as under :-

Appeal No.

Assessment Year Amount (Tax effect) 2005-06 11.89 lakhs 2003-04 10.45 lakhs 2004-05 12.10 lakhs 4.

As none of the three appeals have a tax effect of Rs.20,00,000/- or more, Mr. Chhotaray, learned Counsel appearing for the Revenue does not press these appeals.

5.

Accordingly, all three Appeals are dismissed as not pressed. 6.

Refund of Court Fees, as per Rules.

(A.M. BADAR, J.) (M.S. SANKLECHA, J.)