HC can’t reproduce ITAT’s observation without giving its independent reasoning: SC

Case Details: CIT v. State Bank of Bikaner and Jaipur - [2022] 136 taxmann.com 281 (SC)

Judiciary and Counsel Details

• • M.R. Shah and A.S. Bopanna, JJ.
  • Balbir Singh, ASG Anil Katiyar, AOR S.K. Singhania, Manish Pushkarna, Shyam Gopal and Raj Bahadur Yadav, Advs. for the Petitioner. 
  • Sanjay Jhanwar, Adv. and Tarun Gupta, AOR for the Respondent.

Facts of the Case

Feeling aggrieved and dissatisfied with the order passed by the High Court of Judicature for Rajasthan, the Assessing Officer (AO) has preferred an appeal before the Supreme Court.

The Supreme Court of India has ruled that while disposing of an appeal, the High Court can’t reproduce the observations made by the Tribunal. The High Court must give independent reasoning, and issues have to be discussed on merits.

Supreme Court Held

In the given case, going through and considering the judgment and order passed by the High Court, it was observed that such order was a mere reproduction of the Tribunal’s observations. The High Court gave no further independent reasoning, and nothing had been further discussed on merits, and even the substantial question of law had also not been framed.

Thus, the order passed by the High Court was quashed, set aside, and the matter was remitted to the High Court to decide and dispose of appeal afresh in accordance with law and on its own merits.