CBDT- Clarifies scope of Departmental appeal on merits notwithstanding low tax effect

CBDT issues clarification with respect to Para 10 of Circular no. 3/2018 revising appeal filing limits for Departmental appeals; Para 10 of the circular outlines the issues that can be contested on merits notwithstanding low tax effect; CBDT clarifies that the direction that the appeals be ‘contested on merits’ in itself implies that there should not be any mechanical filing of appeals in these cases; Reiterates that “the import and intent of Para 10 of the circular is that even on issues mentioned in the said para, appeals against the adverse judgements should only be filed on merits.”