COMMISSIONER OF INCOME TAX-IIIversusNILESH K. PATEL
- Disposal
- 47-DISPOSAL IN ANY OTHER MODE FH
Holding
Tax appeals where the tax effect is less than Rs. 2 crores are not maintainable under Circular No. 9 of 2024.
Summary
The Commissioner of Income Tax-II filed multiple tax appeals (Nos. 1027, 1028, 1116, 1993 of 2008) against Labh Construction & Industries Ltd. The appellant argued that the tax effect in each appeal was less than Rs. 2 crores. The learned Senior Standing Counsel relied on Circular No. 9 of 2024 dated 17‑09‑2024, which stipulates that appeals with a tax effect below Rs. 2 crores are not maintainable. The Court examined the contention and found no merit in proceeding with the appeals given the statutory threshold. Consequently, the Court disposed of all the appeals on the ground of low tax effect, granting liberty to revive the matters only if difficulty arises. The order was signed by Justices A.S. Supehia and Pranav Trivedi.
Issues considered
- Whether tax appeals with a tax effect of less than Rs. 2 crores are maintainable under Circular No. 9 of 2024
Subjects
Judgment
C/TAXAP/1027/2008 ORDER DATED: 26/11/2025
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/TAX APPEAL NO. 1027 of 2008
With
R/TAX APPEAL NO. 1028 of 2008
With
R/TAX APPEAL NO. 1116 of 2008
With
R/TAX APPEAL NO. 1993 of 2008
==========================================================
COMMISSIONER OF INCOME TAX-II
Versus
LABH CONSTRUCTION & INDUSTRIESLTD
==========================================================
Appearance:
DEV D PATEL(8264) for the Appellant(s) No. 1
MR MANISH J SHAH(1320) for the Opponent(s) No. 1
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CORAM:HONOURABLE MR. JUSTICE A.S. SUPEHIA
and
HONOURABLE MR. JUSTICE PRANAV TRIVEDI
Date : 26/11/2025
COMMON ORAL ORDER
(PER : HONOURABLE MR. JUSTICE A.S. SUPEHIA)
Learned Senior Standing Counsel Mr.Patel for
the applicant(s) has submitted that the tax
effect in these appeals are less than Rs.2 crores
and as per the Circular No.9 of 2024 dated
17.09.2024, the same would not be maintainable.
In view of the above statement, the Tax
Appeals are disposed of on the ground of low tax
effect with a liberty to revive in case of
difficulty. Registry to place a copy of this
order in the connected matter(s).
Sd/-
(A. S. SUPEHIA, J)
Sd/-
(PRANAV TRIVEDI,J)
NVMEWADA/13
Original copy of this order has been signed by the Hon'ble Judges.
Digitally signed by: NEHABEN VINODBHAI MEWADA(HC01571), PRIVATE SECRETARY, at High Court of Gujarat on 27/11/2025 10:41:22
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