The Commissioner Of Income Tax v. M/S Jubilee Plot & Housing

IN THE HIGH COURT OF JUDICATURE AT MADRAS

Dated: 22.03.2022 Coram:

The Hon'ble Mr.Justice R.MAHADEVAN and The Hon'ble Mr.Justice J.SATHYA NARAYANA PRASAD T.C.A.No.417 of 2012 The Commissioner of Income Tax, Chennai.

...Appellant/Respondent

Versus

M/s.Jubilee Plot & Housing Pvt. Ltd., No.1379C, Golden Villa, I Block, 6th Street, Vallalar Kudiyeruppu, 18th Main Road, Anna Nagar, Chennai - 600 040.

...Respondent/Appellant

Tax Case Appeal filed under Section 260 (A) of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, Madras "D" Bench, Chennai dated 10.07.2012 passed in I.T.A.No.905/Mds/2012 for the assessment Year 2007-2008 against the order of the Commissioner of Income Tax, Chenai-I, Chennai600 034, dated 28.02.2012 and made in C.No.218(22)/CITI/263/2011-12 for the assessment Year 2008-08 and against the order of the Assistant Commissioner of Income Tax, CO, Circle II (3), Chenai-34 dated 29.12.2009 and made in I.T.N.S.-65 for the assessment year 2007-08.

For Appellant :

Mr.Karthik Ranganathan, Senior Standing Counsel For Respondent :

Mr.R.Murali JUDGEMENT (Judgement of the Court was delivered by R.MAHADEVAN, J.) The present Tax Case Appeal has been preferred by the appellant/Revenue, calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, Madras 'D' Bench, Chennai in I.T.A.No.905/Mds/2012 dated 10.07.2012, relating to the assessment year 2007-08. On 30.11.2012, this Tax Case Appeal was admitted on the following substantial questions of law:- https://hcservices.ecourts.gov.in/hcservices/

"1. Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in setting aside the revision order passed under Section 263 of the Income Tax Act, 1961?

2. Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in holding that the disallowance made by the AO u/s. 40(a)(ia) of the Income Tax Act on a sum of Rs.1.53 Crores towards tractor hire charges was not proper especially when the case was made in cash?" 2.

When this appeal is taken up for consideration today, the learned counsel for the appellant/Revenue brought to the notice of this court the Circular No.17/2019 dated 08.08.2019 issued by the Central Board of Direct Taxes, 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.1,00,00,000/- (Rupees One Crore). It is also submitted that the tax effect in this appeal is less than the threshold limit.

3.

In the light of the aforesaid submissions made by the learned counsel for the appellant/Revenue, the present appeal, wherein, the tax effect is said to be less than the monetary limit imposed, is dismissed as withdrawn, keeping open the substantial questions of law for determination in an appropriate case. No costs.

Sd/- Assistant Registrar(CS-CCC) //True copy// Sub Assistant Registrar mrr To 1.Income Tax Appellate Tribunal, Madras "D" Bench, Chennai 2.The Commissioner of Income Tax, Chennai.

3. The Assistant Commissioner of Income Tax, CO, Circle - II(3), Chennai-34.

+1cc to Mr.R.Murali, Advocate SR.No.19043 T.C.A.No.417 of 2012 SSD(CO) GMY(05/04/2022) https://hcservices.ecourts.gov.in/hcservices/