The Commissioner Of Central Excise vs. General Commodities PVT Limited

Held

The Court held that the appeal filed by the Revenue was not maintainable due to the revised monetary limits for filing appeals. The Appellant's counsel submitted that the tax effect involved in the present case was less than the prescribed monetary limit of ₹50,00,000/- and that the case did not fall under the exception category of the notification dated August 17, 2011, as referred to in the instructions dated July 11, 2018. Consequently, the Court permitted the appeal to be dismissed as withdrawn/not pressed. No costs were awarded. The operative direction was to dismiss the appeal as withdrawn/not pressed.

Facts

The Commissioner of Central Excise, Bangalore-II Commissionerate (Appellant) filed an appeal against an order passed by the CESTAT, South Zonal Bench, Bengaluru. The appeal was filed under Section 35G of the Central Excise Act, 1944. The Respondent, General Commodities Pvt. Limited, was represented by counsel, but the counsel was absent during the hearing. The Appellant's counsel submitted that the Central Board of Indirect Taxes & Customs had issued instructions on July 11, 2018, raising the monetary limit for filing appeals before High Courts to ₹50,00,000/-. The Appellant contended that the tax effect in the present case was below this revised limit and did not fall under any exceptions, making the appeal not maintainable.

Key Issues

1. Whether the present appeal is maintainable before the High Court given the revised monetary limits for filing appeals stipulated by the Central Board of Indirect Taxes & Customs (CBIC) notification dated July 11, 2018? (Question of law) Petitioner's Arguments: The Appellant (Revenue) argued that the CBIC notification dated July 11, 2018, has raised the monetary limit for filing appeals before High Courts to ₹50,00,000/-. They contended that the tax effect in the present case is below this limit and does not fall under the exception category mentioned in the notification. Therefore, the appeal should be permitted to be dismissed as withdrawn or not pressed. Respondent's Arguments: No arguments were recorded for the Respondent as their counsel was absent.