Commissioner Of Income Tax, Salem v. Shri.s.kathirvel

In the High Court of Judicature at Madras Dated : 20.8.2019 Coram : The Honourable Mr.Justice T.S.SIVAGNANAM and The Honourable Mrs.Justice V.BHAVANI SUBBAROYAN Tax Case Appeal No.291 of 2011 Commissioner of Income Tax, Salem ...Appellant/Respondent Vs Shri.S.Kathirvel...Respondent/Appellant APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 13.8.2010 made in ITA.No.1257/Mds/2009 on thefile of the Income Tax Appellate Tribunal, Chennai 'D' Bench forthe assessment year 2001-02, against the order made in ITANo.174/07-08 by the Commissioner of Income Tax(Appeals), Salemagainst the Assessment order dated 20.12.2007 made in GIR/PANNo.CCPK.020/AEKPK7395H for the Assessment year 2001-02. For Appellant :Mr.M.Swaminathan, SSC assisted by Ms.V.Pushpa and Ms.S.Premalatha, SC For Respondent:Mr.A.S.Sriraman JUDGMENT Judgment was delivered by T.S.Sivagnanam,J We have heard Mr.M.Swaminathan, learned Senior StandingCounsel assisted by Ms.V.Pushpa and Ms.S.Premalatha, learnedStanding Counsel appearing for the appellant – Revenue andMr.A.S.Sriraman, learned counsel appearing for the respondent –assessee. 2. This appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 is directed against the order dated13.8.2010 made in ITA.No. 1257/Mds/2009 on the file of theIncome Tax Appellate Tribunal, Chennai 'D' Bench for theassessment year 2001-02. https://hcservices.ecourts.gov.in/hcservices/ 3. The appeal was admitted on 14.9.2011 on the followingsubstantial question of law :“Whether, on the facts and in thecircumstances of the case, the Income TaxAppellate Tribunal was right in deleting theaddition of Rs.2,02,600/- made on account ofunexplained gifts credited in the assessee'scapital account on the ground that theaddition did not relate to any intimatingevidence found during the search, ignoringthe fact that the Assessing Officer hadvalidly assumed jurisdiction under Section153C ?” 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 08.8.2019 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 question of law framed is 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 //True Copy// Sub Assistant Registrar RS To 1.The Income Tax Appellate Tribunal, Chennai 'D' Bench, Chennai. Chennai 'D' Bench, Chennai. 2.The Commissioner of Income Tax(Appeals) No.3, Gandhi Road, Salem-636 007. No.3, Gandhi Road, Salem-636 007. 3.The Deputy Commissioner of Income Tax Central Circle, No.3, Gandhi Road, Salem-636 007. Central Circle, No.3, Gandhi Road, Salem-636 007. +1cc to M/S.M.Swaminathan, Advocate SR.70576+1cc to Mr.S.Sridhar, Advocate SR.70614 PVS(CO)CB(04/11/2019) TCA.No.291 of 2011