Principal Commissioner Of Income Tax vs Amit Kumar Agarwal (Pan: Abmpa3672P)
2026 Latest Caselaw 1465 Jhar

Jharkhand High Court

Principal Commissioner Of Income Tax vs Amit Kumar Agarwal (Pan: Abmpa3672P) on 24 February, 2026

Author: Rajesh Shankar

Bench: Rajesh Shankar

                                                              2026:JHHC:5362-DB




     IN THE HIGH COURT OF JHARKHAND AT RANCHI
                  Tax Appeal No.10 of 2024
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Principal Commissioner of Income Tax, Ranchi, having its office at Central Revenue Building, Main Road, P.O. G.P.O., P.S. Lower Bazar, District-Ranchi, Jharkhand, through Dr. Prabhakant, son of Dr. A Prasad, having office at Central Revenue Building, Main Road, P.O. G.P.O., P.S. Lower Bazar, District-Ranchi.

.......... Appellant.

-Versus-

Amit Kumar Agarwal (PAN: ABMPA3672P), son of not known, resident of Vrindavan Chhatrapati Shivaji Marg, Harihar Singh Road, Bariatu, P.O. and P.S. Bariatu, District-Ranchi.

.......... Respondent.

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CORAM : HON'BLE THE CHIEF JUSTICE HON'BLE MR. JUSTICE RAJESH SHANKAR

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For the Appellant : Mr. Kumar Vaibhav, Sr. S.C. Mr. Anurag Vijay, Jr. S.C. For the Respondent: Mr. Sumeet Gadodia, Advocate Mr. Ranjeet Kushwaha, Advocate

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Order No.03 Date: 24.02.2026

1. Heard learned counsel for the parties.

2. The learned counsel for the revenue submits that though the tax

effect may be less than Rs.2.00 cores, the exception in Clause

3.1(f) of the Central Boad of Direct Taxes Circular No.5 of 2024

dated 15th March, 2024 would apply. The exception in Clause

3.1(f) of the aforesaid circular reads as follows:

"3.1(f). Where the tax effect is not quantifiable or not involved, such as the case of registration of trusts or institutions under sections 10(23C), 12A/12AA/12AB of the Act, order passed under Section 263 of the Act etc. The reference to cases involving sections referred here, where it is not possible to quantify tax effect or tax effect is not involved, is for the purpose of illustration only."

3. In the present case, in the de novo assessment carried out by the

revenue, an addition of Rs.3.50 crores has been ordered. This is

2026:JHHC:5362-DB

evident from the assessment order dated 30th March, 2023. If the

addition is Rs.3.50 crores, then, the tax effect, even going by the

highest rates, would be below Rs.2.00 crores. In any event, since

the tax effect is quantifiable, the exception under Clause 3.1(f)

referred to above will not apply.

4. Accordingly, this appeal is disposed of on the grounds of low tax

effect by leaving open the question of law.

5. Pending I.A. does not survive and is disposed of.

(M. S. Sonak, C.J.)

(Rajesh Shankar, J.) 24 February, 2026 th Sanjay/Rohit Uploaded on 24.02.2026