Commisisoner Of Income v. M/S Vira Properties

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 31.01.2019

CORAM

THE HON'BLE DR.JUSTICE VINEET KOTHARI AND THE HON'BLE DR.JUSTICE ANITA SUMANTH Tax Case Appeal No.1469 of 2008 Commissioner of Income Tax, Chennai.

Appellant Vs.

M/s.Vira Properties Madras P Ltd.

Respondent Tax Case Appeal filed under Section 260-A of the Income Tax Act, 1961, against the order of the Income Tax Appellate Tribunal, Chennai 'C' Bench, dated 20.03.2008, made in ITA No.2592/Mds/2005. For Appellant : Mrs.Premalatha, Standing Counsel.

For Respondent : Mrs.Parimalal Devi, for M/s.Subbaraya Aiyar Padmanabhan

J U D G M E N T

(Delivered by DR.VINEET KOTHARI,J.) This Tax Case Appeal has been filed by the Revenue, calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, Chennai 'C' Bench, dated 20.03.2008, in ITA No.2592/Mds/2005, by raising the following substantial question of law :

" Whether in the facts and circumstances of the case, the Appellate Tribunal was right in holding that the income from letting out of building is assessable as business income ?

2. When the matter is taken up for hearing, the learned Standing Counsel for the Department brought to our notice the Circular instruction issued by the Central Board of Direct Taxes vide Circular No.3/2018, dated 11.7.2018, wherein, it is stipulated that appeals shall not be filed/pursued by the Department before the High Court in cases where the tax effect does not exceed Rs.50.00 lakhs.

3. In the instant case, the tax effect is said to be less than the monetary limit imposed and, therefore, the appeal filed by the Revenue is dismissed, as not pressed, keeping open the substantial question of law for determination in appropriate cases. No costs. (V.K.,J.) (A.S.M.,J.) dixit 31.01.2019 To The Income Tax Appellate Tribunal, Chennai 'C' Bench, Chennai.

DR.VINEET KOTHARI, J.

and DR.ANITA SUMANTH , J.

dixit TCA No.1469 OF 2008 31.01.2019