The Commissioner Of Income Tax v. Smt Mk Sahira

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATE: 22.02.2021

CORAM:

THE HON'BLE MR. JUSTICE M.DURAISWAMY AND THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI T.C.A.No.507 of 2009 The Commissioner of Income Tax, Central - II, Chennai.

... Appellant/Appellant Vs.

M.K.Sahira ... Respondent/Respondent Appeal preferred under Section 260A of the Income Tax Act, 1961, against the order of the Income Tax Appellate Tribunal, Madras, "B" Bench, Chennai dated 17.07.2008 in I.T(SS). A.No.155/Mds/2007 block period 22.01.2003 and this appeal preferred against the Commissioner of Income Tax (Appeals) II, Chennai 34 order dated 27.08.2007 made in Appeal No. CIT(A)/ CHE/457/2006-2007 for the assessment year Block assessment for the period ending 22.01.2003 and against the Deputy Commissioner of Income Tax Central Circle 11(3) Chennai 34 order dated 28.02.2007 made in GIR/PA No. 26792S/AAJPS6223J for the assessment year relating to block period 01.04.1996 to 22.01.2003.

For Appellant : Mr.T.R.Senthil Kumar, Senior Standing Counsel assisted by Ms.K.G.Usha Rani, Junior Standing Counsel For Respondent : Mr.N.V.Balaji

JUDGMENT

(Judgment was delivered by M.DURAISWAMY, J.) We have heard Mr.T.R.Senthil Kumar, learned Senior Standing Counsel for the appellant/Revenue and Mr.N.V.Balaji, learned counsel for the respondent/assessee.

2.The appeal, filed by the Revenue under Section 260A of the Income Tax Act, 1961 (for short, the Act) is directed against

the order dated 17.07.2008 made in I.T(SS).A.No.155/Mds/2007 on the file of the Income Tax Appellate Tribunal, Chennai, "B" Bench (for brevity, the Tribunal) for the block period 22.01.2003.

3.The appeal was admitted on 10.11.2009 on the following substantial questions of law:

"1)Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in law in deleting the addition of Rs.28,61,903/- towards unexplained cash credit under Section 68 of the Income Tax Act, 1961 is valid in law?

2)Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in remit the matter to the file of Commissioner of Income Tax (Appeals) with a direction to pass a fresh order after giving adequate opportunities of being heard to the assessee even though the assessing officer made addition of Rs.13,59,612/- on account of unexplained jewellery on the basis of materials and evidence available on record?"

4.The learned Senior Standing Counsel for the appellant submits that the above appeal is not pursued by the Revenue on account of the Low Tax Effect in terms of Circular No.17/2019 dated 08.08.2019 issued by the Central Board of Direct Taxes. By the said Circular, the monetary limit for filing or pursuing an appeal before the High Court has been increased to Rs.1 crore. It is further submitted that the tax effect in these cases are less than the threshold limit.

5.In the light of the said submissions, the above Tax Case Appeal is dismissed as withdrawn on account of the Low Tax Effect. The substantial question of law framed is left open. In the event the tax effect in this case is above the threshold limit fixed in the said Circular, liberty is granted to the Revenue to make a mention to this Court to restore the appeal to be heard and decided on merits. No costs.

s/d- Assistant Registrar(CS V) True Copy Sub-Assistant Registrar

To 1.The Income Tax Appellate Tribunal, Chennai, "B" Bench, Chennai 2.The Commissioner of Income Tax (Appeals)II, Chennai 34.

3.The Deputy Commissioner of Income Tax, Central Circle II(3) Chennai 34.

+1 CC to Mr.N.V.Balaji, advocate sr 10858.

T.C.A.No.507 of 2009 KJ(CO) SP(19/03/2021)