Commissioner Of Income Tax v. M/S.Tcp Ltd.

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 11.11.2024

CORAM

THE HON'BLE MR.JUSTICE R.SURESH KUMAR AND THE HON'BLE MR.JUSTICE C.SARAVANAN Tax Case Appeal No.360 of 2022 Commissioner of Income Tax Chennai.

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Appellant Vs.

M/s.TCP Limited 10, TCP Sapthagiri Bhavan Karpagamba Nagar Mylapore, Chennai 600 004.

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Respondent ----- Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, 'A' Bench Chennai, dated 09.08.2021 made in I.T.A.No.3358/2019.

For Appellant : Mr.Karthik Ranganathan Senior Standing Counsel For Respondent : No appearance -----

J U D G M E N T

(Delivered by R.SURESH KUMAR, 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 by raising the following substantial question of law:

" Whether the Tribunal was justified in upholding the order of the ITAT for the assessment year 2005-2006 by allowing the interest on borrowed capital which was paid to an Associate Company of the Respondent?"

2. It is brought to our notice by the learned Standing Counsel for the appellant Revenue that in the instant case, as per the CBDT's Circular No.9 of 2024 dated 17.09.2024 the tax effect is said to be less than the monetary limit imposed and therefore, the appeal can be disposed of, keeping the substantial questions of law raised in this appeal open for adjudication at a later point of time.

3. Recording the aforesaid submission made by the learned Standing Counsel for the appellant Revenue, this Tax Case Appeal is dismissed for low tax effect, keeping open the substantial questions of law for adjudication at appropriate stage. No costs. Consequently, connected miscellaneous petitions are closed.

(R.S.K.,J.) (C.S.N.,J.) 11.11.2024 NCS : Yes/No KST To The Income Tax Appellate Tribunal 'A' Bench, Chennai.

R.SURESH KUMAR, J.

AND C.SARAVANAN, J.

KST 11.11.2024