In Brief
The appellants challenged a High Court judgment that refused to quash tax proceedings against them. The Supreme Court found that the amount in dispute was small (below Rs. 25,000), had already been paid with interest, and fell within a February 1992 Circular that prescribed a threshold below which proceedings should not be initiated. The Court set aside the High Court's judgment and quashed the proceedings, disposing of the appeals in favour of the appellants on the ground that no prosecution should have been filed given the minimal amount and its prior settlement.
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