Commissioner Of Income Tax, Central, Chennai v. Dr.s.dhanabagyam

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 08.01.2019 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE DR.JUSTICE ANITA SUMANTHTax Case(A) No.1472 of 2007 Commissioner of Income Tax, Central,Chennai. ... Appellant /RespondentVs. Dr.S.Dhanabagyam,31, Water Tank Road,Erode. ... Respondent /Appellant Tax Case filed under Section 260A of the Income Tax Act,1961 against the order of the Income Tax Appellate Tribunal,Madras 'D' Bench, Chennai, dated 28.02.2007 made in ITA No.ITss A 183/Mds/2005. Against the Order of Commissioner of IncomeTax (Appeals) II, Coimbatore dated 30/09/2005 and made inITA.No. 157-C/04-05 against the order of Assistant Commissionerof Income Tax, Central Circle IV, Coimbatore, dated 26/04/2004and made in PAN. for the Assessment Year 1996-97 to2002-03. For Appellant : Mr.T.R.Senthilkumar Senior Standing Counsel Assisted by Ms.K.G.UsharaniFor Respondent : Mr.A.S.Sriraman (Delivered by DR.VINEET KOTHARI,J) This Tax Case has been filed by the Revenue calling inquestion the correctness of the order passed by the Income TaxAppellate Tribunal, 'D' Bench by raising the followingsubstantial questions of law:"(i) Whether, in the facts and circumstances ofthe case, the Tribunal was right in deleting theaddition made on account of on money payment towardspurchase of land which was admitted by the assesseeduring the search. https://hcservices.ecourts.gov.in/hcservices/ (ii) Whether, in the facts and circumstances ofthe case, the Tribunal was right in deleting theaddition made on account of on money payment towardspurchase of land, when on enquiry by theinvestigation wing, 91 persons denied the paymenttowards the share application monies, as against theclaim of the assess that the said share applicationmonies were utilized for purchase of the land.?" 2. When the matter is taken up for admission, the learnedStanding Counsel brought to our notice the Circular instructionissued by the Central Board of Direct Taxes vide CircularNo.3/2018 dated 11.07.2018 wherein it is stipulated that appealsshall not be filed/pursued by the Department before the HighCourt in cases where the tax effect does not exceed Rs.50 lakhs. 3. In the instant case, the tax effect is said to be lessthan the monetary limit imposed and therefore, the Tax Casefiled by the Revenue is dismissed as not pressed, keeping openthe substantial questions of law for determination in anappropriate case. To 1.The Income Tax Appellate Tribunal, Madras D Bench, Chennai. Madras D Bench, Chennai. 2.The Commissioner of Income Tax (Appeals) -II, coimbatore. coimbatore. 3.The Assistant Commissioner of Income Tax, Central Circle IV, Coimbatore. Central Circle IV, Coimbatore. GJ(CO)GN(26/02/2019)