Courts are not supposed to decide academic issues unless any injury is suffered or any legal right is infringed of the person preferring the appeal
ABCAUS Case Law Citation:
ABCAUS 2631 (2018) (11) HC
The assessee had filed an Income Tax Appeal raising the following substantial questions of law:
(a) Whether on a true & correct interpretation of law, the power, to enhance assessed income, is NOT available with the CIT (A) u/s 250(A), after the expiry of 6 years from the end of the relevant Assessment Year in relation to which the appeal is preferred by the assessee, due to bar of limitation?
(b) Whether on a true & correct interpretation of law, the power of enhancement cannot be exercised by the CIT(A) to discover new sources of income or is invocable in relation to issues beyond the subject matter of appeal as per the full bench judgment of the Hon’ble Delhi High Court?
The Hon’ble High Court observed that the questions of law were purely academic in nature inasmuch as there was no tax effect involved in relation thereto.
The Hon’ble High Court opined that it is settled law that the Courts are not supposed to decide academic issues unless any injury is suffered or any legal right is infringed of the person preferring the appeal.
In view of the above, the Hon’ble High Court declined to adjudicate upon the above questions of law and left them open to be decided in any other suitable case.
The Court was pleased to give opportunity to the appellant/parties to raise those questions in any future case before the authorities including Tribunal involving the aforesaid questions and the Tribunal would adjudicate the same uninfluenced by the finding or observation made in the impugned order.