Case Law Details
ITO Vs DXN Herbal Manufacturing (India) Pvt Ltd. (Supreme Court of India)
Supreme Court of India, in the case of ITO Vs DXN Herbal Manufacturing (India) Pvt Ltd, disposed of the Special Leave Petition (SLP) owing to the tax effect being below Rs. 5 crores. This decision aligns with the CBDT Circular issued on 17th September 2024, which restricts appeals in cases involving tax disputes below this threshold. The Court clarified that while the SLP has not been entertained, any questions of law raised in the matter remain open for adjudication in the future. The case originally arose from an impugned judgment and order dated 21st June 2018, passed by the High Court of Judicature at Madras in TA Case No. 342/2007. All pending applications related to this case have also been resolved in line with the Court’s directive. This ruling exemplifies the application of CBDT’s litigation policy aimed at reducing the burden on higher judiciary and focusing on cases with substantial tax implications. However, the Court’s decision to keep the legal questions open leaves room for similar issues to be deliberated in subsequent matters.
Read HC Judgment: Encapsulation qualifies for Section 80IB deduction due to significant transformation: Madras HC
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
[Arising out of impugned final judgment and order dated 21-06-2018 in TA Case No. 342/2007 passed by the High Court of Judicature at
Madras]
The tax effect in this case is less than Rs.5 crores. Therefore, in view of Circular dated 17th September, 2024, the Special Leave Petition is not entertained and the same is disposed of.
However, question of law, if any, is kept open.
Pending application(s), if any, shall stand disposed of.
Author Bio
