Monetary Limits for filing Departmental Appeals before the Appellate Authorities

APPEALS BY DEPARTMENT – MONETARY LIMITS FOR FILING APPEALS

F. No. 279/Misc.64/05-ITJ
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE
Central Board of Direct Taxes

New Delhi, dated the 24th October, 2005

To
All Chief Commissioners of Income-tax and
Directors General of Income-tax

Subject : Revision of monetary limits for filing appeals by Department before
various appellate bodies or appellate authorities – clarification thereon –
regarding.

Reference is invited to Board’s Instruction No. 1979 dated 27-3-2000 [F.No. 279/126/98-
ITJ dt. 27-3-2000] and Instruction No. 1985 dated 29-6-2000 [F.No. 279/126/98-ITJ dated 29-6- 2000] wherein monetary limits for filing appeals/references before various appellate authorities have been prescribed.

2. In partial modification of the above instruction, it has now been decided by the Board that
appeals will henceforth be filed only in cases where the tax effect exceeds the revised monetary
limits given hereunder:–

Sr.No. Income-tax Tax effect

(i) Appeal before Appellate Tribunal Rs. 2,00,000/-
(ii) Appeal u/s. 260A Rs. 4,00,000/-
(iii) Appeal before the Supreme Court Rs. 10,00,000/-

3. The Board has also decided that in cases involving substantial question of law of
importance as well as in cases where the same question of law will repeatedly arise; either in the
case concerned or in similar cases, should be separately considered on merits without being
hindered by the monetary limits.

4. Subject to the paragraphs 2 and 3 above, the Instruction No. 1979 dated 27-3-2000 as
clarified subsequently in Instruction No. 1985 dated 29-6-2000, will continue to govern the
decision for filing of departmental appeals.

5. This instruction will come into effect from 31-10-2005.

Yours faithfully,

Sd/-
(S. C. L. Dhamija)
OSD (ITJ)

Editorial Note:
Reference is invited to the following decisions in connection with the monetary limits.
CWT vs. D.T. Udeshi (1991) 189 ITR 565 (Bom)
Camco Colour Co. (2002) 254 ITR 565 (Bom)
CIT vs. Pithwa Engg. Works (2005) 276 ITR 519 (Bom).