National Litigation Policy - Low Value Appeals - Monetary limit - Board Instructions not retrospective
IN response to yesterday's DDT on the above subject, Mr.R.L. Kabra, Superintendent of Central Excise writes,
Kind attention is drawn to the issue of application of Monetary Limits while filing of appeal to Hon'ble Supreme Court / High Court / CESTAT /ITAT, which has been elaborately analysed in TIOL-DDT-2674 while reporting the judgement of Hon'ble Supreme Court in case of Commissioner of Income Tax Vs. Suman Dhamija - 2015-TIOL-195-SC-IT.
In case of Indirect Taxes, Hon'ble Gujarat High Court has also held in series of judgements that in view of Circular dated 17.08.2011, Tax Appeal involving the duty amount below Rs. 10 lakh is not maintainable before High Court and this Circular also applies to the pending appeal.
Now, an issue arises whether appeal in Hon'ble Supreme Court can be filed against such judgements of Hon'ble High Court, taking into account the Monetary Limit prescribed by the CBEC. The answer is a clear NO because the Monetary Limit of Rs. 25 Lakh for filing an appeal in Hon'ble Supreme Court is effective from 01.09.2011, whereas all the appeals dismissed by Hon'ble High Court has revenue involved below Rs. 10 Lakh
Therefore, in the case discussed in dated 31.08.2015, irrespective of the legality of the issue whether the said Circular should have been applied retrospectively or otherwise in the matters already pending before Hon'ble High Court, as far as appeal filed by the Income Tax Department in Hon'ble Supreme Court against such judgement of Hon'ble High Court is concerned, it is obvious that the said Appeal was filed in Hon'ble Supreme Court in spite of that case involving amount below monetary limit prescribed in the Instruction issued by CBDT itself. (views are personal)