Delhi HC Excludes Prior Year Losses from Tax Effect Calculation for CBDT Circular Threshold

CIT- International Taxation -3 Vs Sis Live (Delhi High Court) In a significant ruling, the Delhi High Court has clarified that losses from previous assessment years are not to be included when computing the “tax effect” for determining whether an appeal falls within the monetary limits set by Central Board of Direct Taxes (CBDT) circulars. This decision came in the case of CIT- International Taxation -3 vs Sis Live, where the assessee successfully argued for the dismissal of the Income Tax Department’s appeal due to a low tax effect. The respondent-assessee, Sis Live, filed a...