Commissioner of CGST & Central Excise Vs Alishan Veneer & Plywood Pvt. Ltd. (Calcutta High Court)
The Calcutta High Court dismissed an appeal filed by the Commissioner of CGST & Central Excise against Alishan Veneer & Plywood Pvt. Ltd. The appeal challenged an order issued by the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT), Eastern Zonal Bench, Kolkata, dated June 16, 2023. The revenue raised two key questions of law, arguing that the Tribunal erred by relying on the Gujarat High Court judgment in Indsur Global vs. UOI, which is currently stayed by the Supreme Court. Additionally, the revenue cited a Board instruction stating that cases involving constitutional validity should be contested regardless of the monetary value involved. During the hearing, the court considered the arguments presented by the counsels for both parties. However, the court noted that the monetary limit of the case did not justify pursuing the appeal further, based on the Circular issued by the Central Board of Direct Taxes (CBDT). As a result, the appeal was dismissed solely on the grounds of the monetary limit, leaving the substantial questions of law unresolved. Consequently, the court also disposed of the related stay application (IA No: GA/1/2024). The judgment underscores the practical considerations of monetary limits in determining whether to proceed with legal challenges, even when significant questions of law are involved.
