Income Tax department has come under sharp criticism from the Delhi High Court for filing appeal against tax tribunal decisions in which issue of law is well-settled.
A Bench comprising Chief Justice Dipak Misra and Justice Manmohan said that the judicial capital is extremely limited and should not be wasted in needless litigations.
Appeals
“In our view, appeals should not be filed in matters where either no question of law arises or the issue of law is a settled one. We give this direction because the ‘judicial capital’ in terms of manpower and resources is extremely limited,” the court said. The court’s direction came on a petition filed by the Revenue Department challenging an order of tax tribunal ITAT.
The court, which was inclined to impose cost on the department, refrained by warning it to be careful in future before filing appeal against ITAT.
