CBDT monetary limit for departmental appeals applies to pending matters; low tax-effect appeals are not maintainable.

A CBDT circular enhancing the monetary limit for departmental appeals applies to pending appeals as well, with the earlier circular continuing only to the extent not substituted. Where the tax effect is below the prescribed threshold, the Revenue's appeal is not maintainable and is liable to be withdrawn or not pressed. The Tribunal followed the same approach adopted in the cited Supreme Court order and held that the appeal could not be pursued.

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Issues: Whether the Revenue's appeal was maintainable in view of the CBDT circular enhancing the monetary limit for departmental appeals and applying to pending appeals.

Analysis: The tax effect in the appeal was below the prescribed threshold. The circular issued by the CBDT enhanced the monetary limit for filing appeals before the Tribunal and stated that it applied retrospectively to pending appeals. The earlier circular remained operative except to the extent of the substituted monetary limits, and pending appeals below the specified limit were liable to be withdrawn or not pressed. The appeal was also treated in line with the approach adopted in the cited Supreme Court order applying the same circular.

Conclusion: The appeal was not maintainable and could not be pursued by the Revenue.

Ratio Decidendi: A CBDT circular enhancing the monetary limit for departmental appeals applies to pending appeals as well, and an appeal below the prescribed tax-effect threshold is not maintainable.

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