Commissioner Of GST And Central Excise vs. Ms Tata Iron And Steel Company LTD

Held

The Court held that in view of the Circular dated 11th July, 2018, issued by the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes & Customs (Judicial Cell), which enhanced the monetary limit of tax effect to Rs. 50 lakhs, and considering that the amount involved in the present Tax Appeal was less than this limit, the appeal was not pressed by the appellant. The Court noted that the Circular is applicable to pending Tax Appeals. Consequently, the Tax Appeal was disposed of as not pressed. Any interim relief granted earlier was also vacated.

Facts

The Commissioner of GST & Central Excise, Jamshedpur (Appellant) filed a Tax Appeal before the Jharkhand High Court against M/s Tata Iron & Steel Company Ltd. (Respondent). The appeal was filed against an order or action by an unspecified authority, concerning a tax period not explicitly stated. The appellant's counsel submitted that a Circular issued by the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes & Customs (Judicial Cell) dated 11th July, 2018, enhanced the monetary limit for tax effect to Rs. 50 lakhs. As the amount involved in the present Tax Appeal was less than this enhanced limit, the appellant was not pressing the appeal. The Circular was stated to be applicable to pending Tax Appeals.

Key Issues

1. Whether the Tax Appeal is maintainable before this Court given the monetary limit stipulated in the Circular dated 11th July, 2018, issued by the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes & Customs (Judicial Cell)? Petitioner's Argument: The petitioner (appellant) argued that the Circular dated 11th July, 2018, which enhanced the monetary limit for tax effect to Rs. 50 lakhs, renders the present Tax Appeal, involving an amount less than this limit, not pressable. They relied on the said Circular. Revenue's Argument: The judgment does not record any specific argument from the revenue's side regarding the maintainability of the appeal or the interpretation of the Circular. The appellant's submission was accepted by the Court.