Chhattisgarh HC Disposes of Income Tax Appeal as Tax Effect Falls Below Revised ₹2 Cr Threshold...

The Chhattisgarh High Court has disposed of an income tax appeal filed by the revenue department, citing that the "tax effect" in the case was below the revised monetary threshold for filing appeals. The Central Board of Direct Taxes (CBDT) has set monetary limits for the tax department to file appeals before various appellate forums, in a bid to reduce litigation. The current threshold for filing an appeal before the High Court is Rs 2 crore. Since the tax amount in dispute in this particular case was below this revised limit, the High Court dismissed the department's appeal as non-maintainable. This is in line with the government's litigation management policy, which aims to ensure that the department's resources are focused on high-value cases, thereby reducing the burden on the judiciary and providing quicker finality for smaller tax disputes.