Appellant(In Tca.256/16 v. M/S.rm.k.viswanatha Pillai & Sons, Tirunelveli

In the High Court of Judicature at Madras Coram : The Honourable Mr.Justice T.S.SIVAGNANAM and The Honourable Mrs.Justice V.BHAVANI SUBBAROYAN Tax Case Appeal Nos.253 to 256 of 2016 The Commissioner of Income Tax, Central Circle, Chennai-34. ...Appellant/Respondent in TCA.Nos.253 to 255/2016 ...Appellant/ Appellant(in TCA.256/16) VsM/s.Rm.K.Viswanatha Pillai &Sons, Tirunelveli-627003. ...Respondent /Appellant (in TCA.253 to255/16) ...Respondent/Respondent in(in TCA.256/16) APPEALS under Section 260A of the Income Tax Act, 1961against the common order dated 05.2.2015 made in ITA.Nos.1065 to1067 and 1093/ Mds/2014 on the file of the Income Tax AppellateTribunal, Chennai 'C' Bench respectively for the assessmentyears 2003-04 to 2005-06 and 2003-04 and against the Orderpassed by the Commissioner of Income-Tax, Appeals(Central)-IChennai-34 dated 31/01/2014 made in ITA.No.240/10-11 241,242 andagainst the order passed by the deputy Commissioner of IncomeTax, Central Circle-IV(1), Chennai dated 30/12/2010 made inPAN/GIR.No.AABFRI307C for the Assessment year 2003-2004,2004-2005, 2005-2006 respectively. For Appellant:Mr.T.R.Senthilkumar, SSC assisted by Ms.K.G.Usharani, SC(in all cases)For Respondent:Mr.R.Venkatanarayanan for M/s.Subbaraya Aiyer Padmanabhan (Judgment was delivered by T.S.Sivagnanam,J) We have heard Mr.T.R.Senthilkumar, learned Senior StandingCounsel assisted by Ms.K.G.Usharani, learned Standing Counselappearing for the appellant – Revenue and Mr.R.Venkatanarayanan,learned counsel appearing for the respondent – assessee. 2. These appeals, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961, are directed against the common orderdated 05.2.2015 made in ITA.Nos.1065 to 1067 and 1093/ Mds/2014on the file of the Income Tax Appellate Tribunal, Chennai 'C'Bench respectively for the assessment years 2003-04 to 2005-06and 2003-04. 3. The appeals were admitted on 20.4.2016 on the followingsubstantial questions of law :“(i) Whether on the facts andcircumstances of the case, the AppellateTribunal was right in quashing theassessment made under Section 153A, as thereare no seized materials to make freshassessments ? (ii) Whether on the facts andcircumstances of the case, the AppellateTribunal is correct in not appreciating thatthe new search assessment procedure underSection 153A of the Act wherein the 'totalincome' is to be determined whereas in theold search assessment procedure, the'undisclosed income' is to be determined ?and (iii) Whether in the facts andcircumstances of the case, the Tribunal iscorrect in holding that any assessment underSection 153A can be done only based onincriminating material ignoring the non-obstante clause which excludes reopeningunder Section 147 ?” 4. The learned Senior Standing Counsel for the appellantsubmits that the above appeals are not pursued by the Revenue onaccount of the low tax effect in terms of Circular No.17/2019dated 08.8.2019 issued by the Central Board of Direct Taxes. Bythe said Circular, the monetary limit for filing or pursuing anappeal before the High Court has been increased to Rs.1 Crore.It is further submitted that the tax effect in the respective 2/3 cases is less than the threshold limit. 5. In the light of the said submissions, the above tax caseappeals are dismissed on account of the low tax effect. Thesubstantial questions of law framed are left open. In the eventthe tax effect in the respective cases is above the thresholdlimit fixed in the said circular, liberty is granted to theRevenue to make a mention to this Court to restore the appealsto be heard and decided on merits. No costs. -s/d- Assistant RegistrarTrue Copy Sub-Assistant Registrar To 1.The Income Tax Appellate Tribunal, Chennai 'C' Bench. 2/3 cases is less than the threshold limit. 5. In the light of the said submissions, the above tax caseappeals are dismissed on account of the low tax effect. Thesubstantial questions of law framed are left open. In the eventthe tax effect in the respective cases is above the thresholdlimit fixed in the said circular, liberty is granted to theRevenue to make a mention to this Court to restore the appealsto be heard and decided on merits. No costs. -s/d- Assistant RegistrarTrue Copy Sub-Assistant Registrar To 1.The Income Tax Appellate Tribunal, Chennai 'C' Bench. 2.The Commissioner of Income Tax, Central Circle,Chennai-343.The Commissioner of Income Tax(AppealsCentral-I Chennai-344.The Deputy Commissioner of Income Tax,Central Circle-Iv(1) Chennai+1 cc to Mr.T.R.Senthil kumar Advocate sr 75716+1 cc to Mr.Subbaraya Aiyar Padmanabhan Advocate sr75935 TCA.Nos.253 to 256 of 2016 aa19/11/2019 3/3