Commissioner Of Income Tax -1, Chennai v. M/S. Areva T& D India Ltd.,(Formerly Known As Alstom Ltd)

IN THE HIGH COURT OF JUDICATURE AT MADRASDATE: 04.02.2021 THE HON'BLE MR. JUSTICE M.DURAISWAMYAND THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI Commissioner of Income Tax -1, Chennai. ... Appellant in both TCAs v. M/s. Areva T& D India Ltd.,(formerly known as Alstom Ltd)No.314/315, Anna Salai, Chennai - 600 018. ... Respondent in both TCAs T.C.A. No. 682/2009 :Appeal preferred under Section 260A ofthe Income Tax Act, 1961, against the order of the Income TaxAppellate Tribunal, Madras, "A" Bench, dated 03.11.2008 inITA.No.290/Mds/2006 for the Assessment Year 2002-03. T.C.A. No. 683/2009 :Appeal preferred under Section 260A ofthe Income Tax Act, 1961, against the order of the Income TaxAppellate Tribunal, Madras, "A" Bench, dated 03.11.2008 inITA.No.2247/Mds/2005 for the Assessment Year 2002-03,againstthe proceedings of the Commissioner of Income Tax (Appeals)III,121, Mahatma Gandhi Road, Chennai 600 034 and made inITA.No.93/2005-06/A.III,dated03.10.2005,againsttheproceedings of the Assistant Commissioner of Income Tax, CompanyCircle I(1), Chennai-34 made in PA/G.I.R.No.AXI-061 Dated31.03.2005 for the Assessment Year 2002-03. (Judgment was delivered by M.DURAISWAMY, J.) We have heard Ms. R.Hemalatha, , learned Standing Counselfor the appellant/Revenue and Mr. M.P. Senthil Kumar, learnedcounsel for the respondent. https://hcservices.ecourts.gov.in/hcservices/ 2. These appeals, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 (for short, the Act) are directedagainst the order dated 03.11.2008 made in ITA.No.290/Mds/2006& ITA.No.2247/ Mds/2005 on the file of the Income Tax AppellateTribunal, Chennai, "A" Bench (for brevity, the Tribunal) for theAssessment Year 2002-03. 3. The appeals were admitted on 10.08.2009 on thefollowing substantial question of law: "(i) Whether on the facts and in thecircumstances of the case, the Tribunal wasright in holding that the property inLucknow which was exchanged for anotherproperty in respect of which the assesseehad forgone the tenancy rights, was acquiredfor a valuable consideration and allowingdepreciation under section 32 " (ii) Whether on the facts and in thecircumstances of the case, the Tribunal wasright in holding that interest u/s 234Dcannot be charged in respect of the refundgranted prior to the insertion of theSection 234 D when the regular assessmentwas completed only subsequent to theinsertion of Section 234D? And (iii) Whether on the facts and circumstances of the case, no interest canbe charged even for the period subsequent tothe introduction of section 234D merely onthe ground that the refund was granted priorto its introduction?" 4. The learned Standing Counsel appearing 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 08.08.2019 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 respective casesis 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 is 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. Sd/- Assistant Registrar(CS V) //True Copy// Sub Assistant RegistrarRjTo1.The Income Tax Appellate Tribunal, Madras, "A" Bench.2.The Commissioner of Income Tax-I, Chennai.3.The Commissioner of Income Tax (Appeals)-III, 121, Mahatma Gandhi Road, Chennai-600 034.4.The Assistant Commissioner of Income Tax, Company Circle I(1), Chennai-34.5.The Record Keeper, VR Section, High Court, Madras. Sd/- Assistant Registrar(CS V) //True Copy// Sub Assistant RegistrarRjTo1.The Income Tax Appellate Tribunal, Madras, "A" Bench.2.The Commissioner of Income Tax-I, Chennai.3.The Commissioner of Income Tax (Appeals)-III, 121, Mahatma Gandhi Road, Chennai-600 034.4.The Assistant Commissioner of Income Tax, Company Circle I(1), Chennai-34.5.The Record Keeper, VR Section, High Court, Madras. +1cc to Mr.M.P.Senthilkumar, Advocate Sr.6367+2cc to M/s.T.Ravikumar, Advocate Sr.6013, 5063 T.C.A.Nos. 682 & 683 of 2009 ak[co]srg 16/03/2021