Commissioner of Income-tax v. Rajiv Gupta - 2019-LL-1011-69

Citation	2019-LL-1011-69
Appellant Name	Commissioner of Income-tax
Respondent Name	Rajiv Gupta
Court	HIGH COURT OF DELHI AT NEW DELHI
Relevant Act	Income-tax
Date of Order	11/10/2019
Judgment	View Judgment
Keyword Tags	tax computation • monetary limit • specified tax • tax effect • recalling order
Bot Summary:	It is pointed out in this application by the Assessee for recall of the order dated 31st July 2019 that the tax effect for the relevant assessment year vis-a- vis the question of law urged by the Revenue in the appeal was below the monetary limit of Rs. 1 crore in terms of the CBDT Circular No.3 of 2018 dated 11th July 2018 and the appeal should have been dismissed as not pressed. Learned counsel for the Revenue draws attention of the Court to para 13 of the said Circular which states that pending appeals below the specified tax limits in para 3 above may be withdrawn/not pressed. Considering the purport of the whole CBDT circular the word may is intended to be read as shall and it is on this basis that several appeals have been dismissed as not pressed where the tax effect is below the mandatory limit specified therein. Learned counsel for the Revenue then questions the computation of the tax effect and sought time to verify whether the Petitioner s calculation in this regard was correct. The Court finds that the Petitioner is relying on the calculation by the Assessing Officer in the income tax computation form specifying the tax limit as Rs.45,67,974/-. The application is allowed and the appeal is restored to file. In view of the tax effect being below the monetary limit in terms of the CBDT Circular No.3 of 2018 dated 11th July 2018 the present appeal is ITA 828/2005 Page 2 of 3 dismissed as not pressed.

$ 39 * IN HIGH COURT OF DELHI AT NEW DELHI + ITA 828/2005 COMMISSIONER OF INCOME TAX Appellant Through: Mr.Zoheb Hossain, Sr.Standing Counsel with Mr.Deepak Anand, Jr. Standing Counsel. versus RAJIV GUPTA Respondent Through: Mr.Sanjeev Rajpal, Advocate. CORAM: JUSTICE S.MURALIDHAR JUSTICE TALWANT SINGH ORDER % 11.10.2019 CM APPL. 43688/2019 1. Notice. Mr. Deepak Anand, learned Junior Standing Counsel, accepts notice on behalf of Non-Applicant/Revenue. 2. It is pointed out in this application by Assessee for recall of order dated 31st July 2019 that tax effect for relevant assessment year vis-a- vis question of law urged by Revenue in appeal was below monetary limit of Rs. 1 crore in terms of CBDT Circular No.3 of 2018 dated 11th July 2018 and, therefore, appeal should have been dismissed as not pressed. ITA 828/2005 Page 1 of 3 3. Learned counsel for Revenue draws attention of Court to para 13 of said Circular which states that pending appeals below specified tax limits in para 3 above may be withdrawn/not pressed. He states that it was in discretion of Revenue, since this was appeal filed prior to issuance of above Circular, to proceed with appeal on merits. 4. Considering purport of whole CBDT circular word may is intended to be read as shall and it is on this basis that several appeals have been dismissed as not pressed where tax effect is below mandatory limit specified therein. Consequently, Court is unable to accept above submission. 5. Learned counsel for Revenue then questions computation of tax effect and sought time to verify whether Petitioner s calculation in this regard was correct. 6. Court finds that Petitioner is relying on calculation by Assessing Officer (AO) in income tax computation form specifying tax limit as Rs.45,67,974/-. This has been annexed with present application. 7. In that view of matter, order dated 31st July 2019 is hereby recalled. application is allowed and appeal is restored to file. ITA 828/2005 8. In view of tax effect being below monetary limit in terms of CBDT Circular No.3 of 2018 dated 11th July 2018 present appeal is ITA 828/2005 Page 2 of 3 dismissed as not pressed. S. MURALIDHAR, J. TALWANT SINGH, J. OCTOBER 11, 2019 tr ITA 828/2005 Page 3 of 3 Commissioner of Income-tax v. Rajiv Gupta

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