Commissioner Of Income Tax -Ltuchennai v. M/S.royal Sundaram Alliance Insurance Company Ltd

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED : 30.11.2021 CORAM : THE HON'BLE MR.JUSTICE R. MAHADEVANAND THE HON'BLE MR.JUSTICE MOHAMMED SHAFFIQ Commissioner of Income Tax -LTUChennai. Versus ...Appellant M/s.Royal Sundaram Alliance Insurance Company Ltd., 21, Pattullos Road, Chennai - 600 002. ...Respondent Appeal preferred under Section 260A of the Income Tax Act,1961, against the order of the Income Tax Appellate Tribunal,Chennai, “D” Bench, dated 05.03.2010 in I.TA.No.847/Mds/2008 forthe Assessment Year 2002-2003 against the order passed by theDeputy Commissioner of Income Tax Company Circle-V(4) i/cchennai in PAN No/GIN No. /185R dated 29.03.2005 forthe Assessment Year 2002-2003. (Judgment was delivered by R.MAHADEVAN, J.) This tax case appeal has been filed by the appellant /Revenue, challenging the order dated 05.03.2010 passed by theIncome Tax Appellate Tribunal, Bench 'D', Chennai, inI.T.A.No.847/Mds/2008, relating to the assessment year 2002-03. 2.By order dated 15.02.2011, this court admitted theaforesaid tax case appeal on the following substantial questionof law: “Whether on the facts and in the circumstances ofthe case, the Income Tax Appellate Tribunal was rightin holding that the assessee was right in excludingthe profit on sale of investments for purposes ofIncome Tax Assessment relying only on the omission of https://hcservices.ecourts.gov.in/hcservices/ Rule 5(b) of the First Schedule to the Income Tax Actw.e.f. 01.04.1989 without considering the otherrelevant legal provisions and without appreciatingthat there were no provisions under the statute toexclude such profits from the Profit and Loss Accountsubmitted to the Controller of Insurance ?" 3.When the matter was taken up for consideration, thelearned counsel for the appellant / Revenue brought to the noticeof this court the Circular No.17/2019 dated 08.08.2019 issued bythe Central Board Direct Taxes, wherein, it is stipulated thatappeal shall not be filed/pursued by the Department before theHigh Court in cases where the tax effect does not exceedRs.1,00,00,000/- (Rupees One Crore). It is also submitted thatthe tax effect in this appeal is less than the threshold limit. 4.In the light of the aforesaid submissions made by thelearned counsel for the appellant / Revenue, the present appeal,wherein, the tax effect is said to be less than the monetarylimit imposed, is dismissed as withdrawn, keeping open thesubstantial question of law for determination in an appropriatecase. No costs. Sd/- Assistant Registrar(CS-IV) //True Copy// av Sub Assistant Registrar To 1. The Commissioner of Income Tax - LTU, Chennai. 2. The Income Tax Appellate Tribunal, Chennai, “D” Bench. 3. The Deputy Commissioner of Income Tax Company Circle-V(4) i/c Chennai. +1cc to Mr.T.Ravikumar, Advocate, S.R.No.62135+1cc to Mr.Subbaraya Aiyar, Advocate, S.R.No.62513 JPL(CO)RGA(14/12/2021) T.C.A.No.1343 of 2010 https://hcservices.ecourts.gov.in/hcservices/