Commissioner Of Income Tax Corporate Circle 2 Madurai v. The Metal Powder Company Limited Maravankulam Thirumangalam Madurai 625 806

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED: 07.02.2019 CORAMTHE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE MR.JUSTICE C.V.KARTHIKEYAN Tax Case Appeal No.175 of 2017 Commissioner of Income TaxCorporate Circle 2Madurai ..Appellant/AppellantVs. The Metal Powder Company LimitedMaravankulamThirumangalamMadurai 625 806 ..Respondent/Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, "C" Bench Chennai, dated 11.8.2016 in ITANo.236/Mds/2016 against the order of Commissioner of Income Tax(appeals)I Madurai dated 27.11.2015 in I.T.A. No. 0139/2014-2015against the Assessment order dated 26.03.2014 and made inPAN.No. AACT4262E of the Deputy Commissioner of Income TaxCircle I(1) Madurai for the Assessment year 2011-2012. For Appellant : Ms.Premalatha Standing Counsel For Respondent : Mr.A.S.Sriraman This Tax Case Appeal have been filed by the Revenue callingin question the correctness of the order passed by the IncomeTax Appellate Tribunal, "C" Bench Chennai, dated 11.8.2016 inITA No.236/Mds/2016, by raising the following substantialquestions of law: "(i) Whether on the facts and circumstances ofthe case and in law, Tribunal was right andjustified in holding that each undertaking has to beconsidered separately for computing the eligiblededuction under Section 80IB? and https://hcservices.ecourts.gov.in/hcservices/ (ii) Whether on the facts and in thecircumstances of the case, the Tribunal was right inlaw in confirming the order of the Commissioner ofIncome Tax (Appeals) holding that profits and gainsearned by Aluminium Paste Unit should not be reducedfrom the loss suffered by Aluminium Alloy IngotPlant for the purpose of claiming deduction underSection 80IB?" 2. When the matter is taken up for hearing, the learnedStanding Counsel brought to our notice the Circular instructionissued by the Central Board of Direct Taxes vide CircularNo.3/2018 dated 11.7.2018 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 appeal filedby the Revenue is dismissed as not pressed, keeping open thesubstantial questions of law for determination in an appropriatecase. -s/d- Assistant Registrar(CS-IV) True Copy Sub-Assistant Registrar To1. Income Tax Appellate Tribunal "C" Bench, Chennai 2. The Commissioner of Income Tax Madurai. 3. The Deputy Commissioner of Income Tax Circle I(1) Madurai 4. The Commissioner of Income Tax (Appeals I) V.P.Rathinasamy Nadar Road Madurai 625 002.+1 CC to Mr.S.Sridhar, Advocate sr 11017.TCA No.175 of 2017. SP(19/03/2019)