Supreme Court disposes off 573 direct tax cases in view of revised monetary limit for appeal filing

The Supreme Court today disposed of 573 direct tax cases as a result of the enhanced monetary limits for filing appeals introduced in the Union Budget 2024-25. This adjustment is part of the government's plan to reduce tax litigation and foster a more conducive business environment.

The Ministry of Finance took to Twitter to highlight the significance of these changes, stating, “Union Budget 2024-25 provided for an enhanced monetary limit for filing appeals related to Direct Taxes, Excise, and Service Tax in various judicial fora. Hon'ble Supreme Court today disposed of 573 direct tax cases in view of the revised monetary limit of filing appeals. The measures are expected to significantly reduce the burden of tax litigation and expedite the resolution of tax disputes in alignment with the Government's efforts to promote #EaseOfLiving and #EaseOfDoingBusiness.”
 

👉 Union Budget 2024-25 provided for an enhanced monetary limit for filing appeals related to Direct Taxes, Excise and Service Tax in various judicial fora

👉 Hon'ble Supreme Court today disposed off 573 direct tax cases in view of the revised monetary limit of filing of appeals… pic.twitter.com/9JDtBAIUre

— Ministry of Finance (@FinMinIndia)

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The Union Budget set new monetary thresholds for filing appeals in various judicial forums, with direct tax limits now increased to Rs2.60 crore for the Income Tax Appellate Tribunal (ITAT), Rs22 crore for High Courts, and Rs25 crore for the Supreme Court.

Following these revisions, the Central Board of Direct Taxes (CBDT) and the Central Board of Indirect Taxes and Customs (CBIC) issued the necessary orders for implementation, facilitating a more efficient resolution of tax disputes.

As a result of these changes, it is estimated that approximately 4,300 cases will be withdrawn from various judicial forums, including 700 cases from the ITAT, 2,800 from High Courts, and 800 from the Supreme Court.

Similarly, the limits for indirect taxes were increased to Rs2.60 crore for CESTAT, Rs22 crore for High Courts, and Rs22 crore for the Supreme Court, with an expected withdrawal of about 1,050 cases related to legacy Central Excise and Service Tax issues.

The measures aims to alleviate the burden of tax litigation and expedite the resolution of disputes, aligning with the government's commitment to improving the "Ease of Living" and "Ease of Doing Business."