The Delhi High Court dismissed the Income Tax appeal because the tax effect fell below INR 2 Crores, making it liable to be discontinued under Circular No. 9/2024 dated 17 September 2024. Questions of law were kept open.
The appeal was dismissed on the ground of low tax effect as per Circular No. 9/2024.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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PRINCIPAL COMMISSIONER OF INCOME TAX-12
.....Appellant
Through: Mr. Indruj Rai, SSC with Mr. Sanjeev Menon, Mr. Rahul Singh, Mr. Anmol Jagga, Mr. Gaurav Kumar, Advs.
versus
SHRI SANJAY SAWHNEY .....Respondent Through: Appearance not given
CORAM:
HON'BLE MR. JUSTICE YASHWANT VARMA HON'BLE MR. JUSTICE HARISH VAIDYANATHAN SHANKAR
O R D E R % 03.02.2025
Undisputedly, the tax effect which forms the subject matter of this appeal falls below INR 2 Crores and would thus not be liable to be continued in light of the provisions made in Circular No. 9/2024 dated 17 September 2024.
The appeal is, consequently, dismissed on the ground of low tax effect. The proposed questions of law are kept open to be urged and addressed in an appropriate case.
YASHWANT VARMA, J.
HARISH VAIDYANATHAN SHANKAR, J.
FEBRUARY 3, 2025/ neha
This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 06/02/2025 at 14:47:33
2 issues framed by the court
Whether an Income Tax appeal involving a tax effect below INR 2 Crores should be dismissed.
Whether the provisions of Circular No. 9/2024 bar the continuation of an appeal based on low tax effect.
Principal Commissioner of Income Tax-12
Shri Sanjay Sawhney
Yashwant Varma
Harish Vaidyanathan Shankar
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
