Litigation policy monetary limit bars revenue appeal where tax effect falls below the prescribed threshold.

The Tribunal applied the litigation policy monetary limit and held that a revenue appeal involving tax effect below the prescribed threshold was not maintainable. It also noted that the matter fell within the exclusion clause under the National Litigation Policy as then in force, and that the later deletion of that clause did not change the policy framework considered for maintainability. On that basis, the appeal could not be entertained on merits and was dismissed.

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Issues: Whether the Revenue's appeal was maintainable in view of the monetary limit prescribed under the litigation policy.

Analysis: The appeal involved a tax effect below Rs. 20 lakhs, which fell within the monetary limit notified by the applicable Board instruction. The matter also fell within the exclusion clause under the National Litigation Policy as it then stood, and the later deletion of that clause by the subsequent instruction applied to the policy framework considered by the Tribunal. On this basis, the appeal could not be entertained on merits.

Conclusion: The appeal was not maintainable under the litigation policy and was dismissed.

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