Commissioner Of Income Tax, Coimbatore v. M/S. Tsr. Khannaiyan

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATE: 05.02.2021 CORAM: THE HONOURABLE MR. JUSTICE M.DURAISWAMYAND THE HONOURABLE MRS.JUSTICE T.V.THAMILSELVI T.C.A.No.349 of 2013 Commissioner of Income Tax,Coimbatore ... Appellantvs. M/s. TSR. Khannaiyan,Prop.Hindustan Heavy Electricals,No.67, Avarampalayam Road,K.R.Puram,Coimbatore-641 006 ... Respondent Appeal preferred under Section 260A of the Income Tax Act,1961, against the order of the Income Tax Appellate Tribunal,Madras, “D” Bench, dated 10.10.2012 in ITA.No.1914/Mds/2011 forthe Assessment Year 2006-07. Appeal against the order of the Commissioner of Income-Tax(Appeals)-1, Coimbatore, order dated 14/10/2011 made inITA.No.318/10/11, preferred against the order of the AssistantCommissioner of Income Tax, Circle-II, Coimbatore order dated31/12/2020 made in PAN/GIR.No. for the Assessmentyears 2006-2007. For Appellant : Mr. T.R. Senthil Kumar, Senior Standing Counsel Asst. By K.G. Usha Rani Junior Standing Counsel. For Respondent: Mr. R. Sivaraman https://hcservices.ecourts.gov.in/hcservices/ JUDGMENT (Judgment was delivered by M. DURAISWAMY, J.) We have heard Mr. T.R. Senthil Kumar,, learned SeniorStanding Counsel for the appellant/Revenue and Mr. R. Sivaramanfor the respondent/Assessee. 2.The appeal, filed by the Revenue under Section 260A of theIncome Tax Act, 1961 (for short, the Act) is directed againstthe order dated 10.10.2012 made in ITA.No.1914/Mds/2011 on thefile of the Income Tax Appellate Tribunal, Chennai, “D”- Bench(for brevity, the Tribunal) for the Assessment Year 2006-07. 3.The appeal was admitted on 13.11.2009 on the followingsubstantial question of law: “Whether under the facts and circumstances of the case, theIncome Tax Appellate Tribunal was right inholding that the 2years expire only on 1.04.2006 with reference to the transfer ofasset made by the assessee on 01.04.2004 and accordingly theincome can be assessed only in assessment year 2007-08”? 4.The learned Senior Standing Counsel appearing for theappellant submits that the above appeal is not pursued by theRevenue on account of the Low Tax Effect in terms of CircularNo.17/2019 dated 08.08.2019 issued by the Central Board ofDirect Taxes. By the said Circular, the monetary limit forfiling or pursuing an appeal before the High Court has beenincreased to Rs.1 crore. It is further submitted that the taxeffect in this case is less than the threshold limit. 5.In the light of the said submissions, the above Tax CaseAppeal is dismissed as withdrawn on account of the Low TaxEffect. The substantial question of law framed is left open.In the event the tax effect in this case is above the thresholdlimit fixed in the said Circular, liberty is granted to theRevenue to make a mention to this Court to restore the appeal tobe heard and decided on merits. No costs. Sd/- Assistant Registrar(CS VI) //True Copy// Sub Assistant Registrar Rj To 1. The Income Tax Appellate Tribunal, Chennai, D Bench. Chennai, D Bench. 2. The Commissioner of Income Tax (Appeals)-I Coimbatore Coimbatore 3. The Assistant Commissioner of Income-Tax, Circle-II, Coimbatore. Circle-II, Coimbatore. +1cc to Mr.TR.SENTHILKUMAR, Advocate, S.R.No.6393CP(CO)SM/25/02/2021 T.C.A.No.349 of 2013