Principal Commissioner Of Central Tax vs. M/S Madhucon Sugar And Power Industries LTD
Facts
The Principal Commissioner of Central Tax, Ranga Reddy GST Commissionerate (appellant) filed an appeal before the High Court against an order passed by the Customs, Excise & Service Tax Appellate Tribunal (CESTAT). The CESTAT's order was in turn against an order-in-original passed by the Commissioner of Customs, Central Excise & Service Tax, Hyderabad. The respondent is M/s Madhucon Sugar and Power Industries Ltd. The appellant's counsel submitted that the Central Board of Indirect Taxes and Customs (CBIC) issued Circular No. 3 of 2018, dated 06.08.2024, mandating withdrawal of appeals where the tax effect is below Rs. 2,00,00,000/-. The appellant stated that the subject matter of the current appeal falls below this threshold.
Held
The Court held that in view of the submission made by the appellant's counsel regarding Circular No. 3 of 2018 and the tax effect being below the stipulated threshold, the appeal is dismissed as withdrawn. The liberty to revive the appeal was granted as prayed for by the appellant. The Court also noted that miscellaneous applications, if any, would stand closed and made no order as to costs. The specific tax effect amount and the details of the original order-in-original and the CESTAT order were not elaborated upon in the judgment, beyond the fact that the tax effect was below Rs. 2,00,00,000/-.
Key Issues
1. Whether the appeal filed by the appellant is to be withdrawn in light of Circular No. 3 of 2018 issued by the CBIC, given that the tax effect is below Rs. 2,00,00,000/-? The appellant argued that Circular No. 3 of 2018 mandates the withdrawal of appeals with a tax effect below Rs. 2,00,00,000/-. They contended that the subject matter of the present appeal is less than this amount and therefore, they should be permitted to withdraw the appeal with liberty to revive it if the subject matter falls within the exceptions mentioned in the circular. The revenue did not present any arguments against this submission.
Sections Cited
Section 35(G)
AI-generated summary — verify with the full judgment below
[ 3418 ] IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD TUE AY, THE THIRTY FIRST DAY OF DECEMBER TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE THE CHIEF JUSTICE ALOK ARADHE AND THE HONOURABLE SRI JUSTICE J SREENIVAS RAO CENTRAL EXCISE APPEALS NO: 1 OF 2021 Appeal filed under Section 35(G) of Central Excise Act, 1944 against the Final Order dated 12-02-2020 passed in Order No. N3047312020 on the file of the Customs, Excise & Service Tax Appellate Tribunal, Regional Bench, Hyderabad preferred against the Order dated 20-10-2010 passed in Order-in-Original No. 17l2O1O-CE-HYD-lll-Adjn-Commr on the file of the Commissioner of Customs, Central Excise & Service Tax, Hyderabad. Between: Principal Commissioner of Central Tax, Ranga Reddy GST Commisgionerate, Posnett Bhavan, Tilak Road, Ramkote, Hyderabad - 500001 ...Appella nt AND M/s Madhucon Sugar and Power lndustries Ltd, Rajeshwarapuram, Ammagudem-Post, Nelakondapally-Mandal, Khammam District-S07160 ...Respondent Counsel for the Appellant Mr Bommineni Vivekananda Rep Ms K Rajitha Counsel for the Respondent MrKPAmarnathReddy Rep Ms Yammanuru Siri Reddy The Court delivered the following Judgment :
,,.' THE HON'BLE THE C
The judgment continues below.
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