Gujarat High Court
The Commissioner Of Income Tax-I vs Deepak Nitrite ... on 8 June, 2016
Author: Ks Jhaveri
Bench: Ks Jhaveri, G.R.Udhwani
O/TAXAP/512/2008 ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
TAX APPEAL NO. 512 of 2008
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THE COMMISSIONER OF INCOME TAX-I....Appellant(s)
Versus
DEEPAK NITRITE LIMITED....Opponent(s)
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Appearance:
MRS MAUNA M BHATT, ADVOCATE for the Appellant(s) No. 1
MR MANISH J SHAH, ADVOCATE for the Opponent(s) No. 1
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CORAM: HONOURABLE MR.JUSTICE KS JHAVERI
and
HONOURABLE MR.JUSTICE G.R.UDHWANI
Date : 08/06/2016
ORAL ORDER
(PER : HONOURABLE MR.JUSTICE KS JHAVERI)
1. This Tax Appeal u/s.260A of the Income Tax Act, 1961 is preferred against the order dated 09.04.2007 passed by the Income Tax Appellate Tribunal, Ahmedabad Bench "A" in ITA No. 1646/Ahd/2004 raising the following substantial question of law for our consideration:
"(A) Whether on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the provision made for difference between the book value and the realizable value of the plant by sheer estimate, without any scientific or intelligible basis, was not a 'provision' in terms of clause (c) of the Explanation below Section 115JA(2) of the Incometax Act or, in any case, was not a 'reserve' in terms of clause (b) of the Explanation?Page 1 of 2
HC-NIC Page 1 of 2 Created On Fri Jun 10 01:40:35 IST 2016 O/TAXAP/512/2008 ORDER (B) Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in seeking to derive the meaning of the expression used in the Explanation below Section 115JA(2) of the Incometax Act from rule 7 in ScheduleVI of the Companies Act when the scheme and the purpose of the two are quite different?"
2. It may be noted that the monetary limits and other conditions for filing departmental appeals (in Incometax matters) before the Appellate Tribunal, High Courts and SLP before the Supreme Court have been revised by the Board. Insofar as High Courts are concerned, it has been decided by the Board vide Circular No.21/2015 dated 10.12.2015 that no appeals shall be preferred in cases where the tax effect does not exceed the monetary limit of Rs.20.00 Lacs.
3. In view of the above Circular, this appeal does not deserve to be entertained. Consequently, the appeal is dismissed.
(K.S.JHAVERI, J.) (G.R.UDHWANI, J.) niru* Page 2 of 2 HC-NIC Page 2 of 2 Created On Fri Jun 10 01:40:35 IST 2016