Commissioner Of Income Tax-Iv v. M/S.mamallan Educational Trust

IN THE HIGH COURT OF JUDICATURE AT MADRAS CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Commissioner of Income Tax-IV,121, M.G.Road,Chennai-600 034. ... Appellant/Appellant -vs- M/s.Mamallan Educational Trust,No.29, Ganapathy Street,Royapettah, Chennai-600 014.PAN: ... Respondent/Respondent Appeal under Section 260A of the Income-tax Act, 1961,against the order dated 14.12.2012, on the file of the Income-taxAppellateTribunal'B'Bench,Chennai,inI.T.A.No.1807/Mds/2012 for the assessment year 2006-07, against the order dated 17/7/2012 made in ITA No.248/08-09on the file of the Commissioner of Income Tax (Appeals)-I,Chennai, and against the order dated 30/12/2008 passed u/s 153C r/w Sec153A r/w Sec 143 (3) on the file of the Deputy Commissioner ofIncome Tax Central Circle-I(3), Chennai for the Assessment Year2006-2007. For Appellant:Mr.T.R.Senthil Kumar, Senior Standing Counsel https://hcservices.ecourts.gov.in/hcservices/ JUDGMENT (Delivered by T.S.Sivagnanam, J.) This appeal filed by the appellant/Revenue under Section 260Aof the Income-tax Act, 1961, is directed against the order dated14.12.2012, passed by the Income-tax Appellate Tribunal 'B'Bench, Chennai, in I.T.A.No.1807/Mds/2012 for the assessmentyear 2006-07. 2.The above appeal was admitted, on 26.07.2013, on thefollowing substantial questions of law:- “(i) Whether on the facts and in thecircumstances of the case the Appellate Tribunalwas right in holding that advances made toassociates concerns M/s.Jeppiaar EducationalTrust, Holy satellite Town limited, Jetassociates, & M/s.Sivaraja Ramalinga Trust is nothit by Section 13(10)(c) read with Section 13(3)?(ii) Whether on the facts and in thecircumstances of the case the Appellate Tribunalwas right in holding that M/s.Sivaraja RamalingaTrust is not a concern mentioned in clause (e) ofsub section (3) of Section 13 of the Income TaxAct, 1961?” 3.Heard Mr.T.R.Senthil Kumar, learned Senior Standing Counselassisted by Ms.K.G.Usharani, learned Junior Standing Counsel forthe appellant and Mr.R.Natarajan, learned counsel for therespondent. 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.17/2019,dated 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 this case is lessthan the threshold limit. 5. In the light of the said submissions, the above tax caseappeal is dismissed on account of the low tax effect. Thesubstantial questions of law framed are left open. In the eventthe tax effect is above the threshold limit fixed in the saidcircular, liberty is granted to the Revenue to make a mention tothis Court to restore the appeal to be heard and decided onmerits. No costs. Sd/- Assistant Registrar(CS VI) //True Copy// Sub Assistant RegistrarTo1.Deputy Commissioner of Income Tax, Central Circle-I(3), Chennai.2.The Commissioner of Income Tax (Appeals)-I, 46, Mahatma Gandhi Road, Nungambakkam, Chennai-600 034.3.The Income-tax Appellate Tribunal 'B' Bench, Chennai. +1cc to M/s.T.R.Senthilkumar, Advocate Sr.72313 T.C.A.No.307 of 2013 gp[co]srg 31/10/2019 https://hcservices.ecourts.gov.in/hcservices/