Commissioner Of Income Tax, Chennai v. Sas Hotels & Enterprises Ltd

IN THE HIGH COURT OF JUDICATURE AT MADRASDATE: 22.02.2021 THE HON'BLE MR. JUSTICE M.DURAISWAMYAND THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI T.C.A.No.587 of 2010 Commissioner of Income Tax,Chennai.... AppellantVs.SAS Hotels & Enterprises Ltd.,No.3, Mangesh Street,T.Nagar, Chennai – 17....Respondent Appeal preferred under Section 260A of the Income TaxAct, 1961, against the order of the Income Tax AppellateTribunal, Madras, "C" Bench, dated 11.04.2008 inI.TA.No.302/Mds/2006 Assessment Year 2002-03 against theorder of the commissioner of Income Tax (Appeals)-V,121,Mahatma Gandhi Road,Chennai 34 dated 21.10.2005 inITA.NO.254/2005-06 for the Assessment Year 2002-2003 andagainst the Deputy Commissioner of Income Tax Company CircleVI(1),Chennai 34 dated 31.03.2005 GIR/PAN NO.S-68/ ,for the Assessment Year 2002-2003. For Appellant : Mr.J.Narayanasamy, Senior Standing CounselFor Respondent : Ms.Sriniranjani Srinivasan JUDGMENT (Judgment was delivered by M.DURAISWAMY, J.) We have heard Mr.J.Narayanasamy, learned Senior StandingCounsel for the appellant/Revenue and Ms.SriniranjaniSrinivasan, learned counsel for the respondent/assessee. 2.The appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 (for short, the Act) is directedagainsttheorderdated11.04.2008madeinI.TA.No.302/Mds/2006 on the file of the Income Tax AppellateTribunal, Chennai, "C" Bench (for brevity, the Tribunal) forthe Assessment Year 2002-03. 3.The appeal was admitted on 20.07.2010 on the followingsubstantial question of law:https://hcservices.ecourts.gov.in/hcservices/“Whether in the facts and circumstances of the case, the Tribunal was right in holdingthat while computing the deduction underSection 80HHD the turnover of wind milldivision/civil contract receipts were to beexcluded from the total receipts of thebusiness carried on by the assessee?” 4.The learned Senior Standing Counsel for the appellantsubmits that the above appeal is 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.By the said Circular, the monetary limit for filing orpursuing an appeal before the High Court has been increased toRs.1 crore. It is further submitted that the tax effect inthese cases are less than the threshold limit. 5.In the light of the said submissions, the above TaxCase Appeal is dismissed as withdrawn on account of the LowTax Effect. The substantial question of law framed is leftopen. In the event the tax effect in this case is above thethreshold limit fixed in the said Circular, liberty isgranted to the Revenue to make a mention to this Court torestore the appeal to be heard and decided on merits. Nocosts. Sd/- Assistant Registrar(CS) //True Copy// Sub Assistant Registrar vaTo The Income Tax Appellate Tribunal, Chennai, C Bench. 2.The Commissioner of Income Tax,Chennai. 3.The Deputy commissioner of Income tax,Company circle (VI)(i),chennai. 4.The Commissioner of Income Tax Appeals V,Chennai.