Commissioner Of Income Tax,Chennai-600 034 v. M/S.raj Video Vision,703, Anna Salai,Thousand Lights, Chennai

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 29.08.2019 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal No.644 of 2017 Commissioner of Income Tax,Chennai-600 034...Appellant/ Respondent -vs- M/s.Raj Video Vision,703, Anna Salai,Thousand Lights, Chennai.PAN: AAEFR 5226 M..Respondent/ Appellant Appeal under Section 260A of the Income-tax Act, 1961,againsttheorderdated21.09.2016,madeinI.T.A.No.1581/Mds/2015 on the file of the Income Tax AppellateTribunal 'D' Bench, Chennai for the assessment year 2007-08against the Order of the Commissioner of Income Tax (Appeals)-4, Chennai -34, made in ITA No.145/2013-14,dated 30.03.2015against the Order of the Income Tax Officer, Business Ward XV(2),Chennai -34, made in PAN/GIR No. , dated 19.03.2013for the Assessment Year 2007-08 For Appellant:Mr.M.Swaminathan,Senior Standing Counsel:assisted by Ms.V.PushpaStanding Counsel For Respondent :No Appearance This appeal filed by the Revenue under Section 260A of theIncome-tax Act, 1961 is directed against the order dated21.09.2016, made in I.T.A.No.1581/Mds/2015 on the file of theIncome Tax Appellate Tribunal 'D' Bench, Chennai for theassessment year 2007-08. 2.The appeal has been admitted on 12.12.2017, on thefollowing substantial question of law:- https://hcservices.ecourts.gov.in/hcservices/ “Whether on the facts and circumstances of thecase and in law, the Income Tax Appellate Tribunalwas right and justified in holding that thedisallowance under Section 40(a)(ia) is applicableonly to payments towards expenses payable as on31[st] March of the previous year when the Sectiondoes not provide for any such condition?” 3.Heard Mr.M.Swaminathan, learned Senior Standing Counselassisted by Ms.V.Pushpa, learned Standing Counsel for theappellant. 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 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.abr Sd/- Assistant Registrar(CS VIII) //True Copy// Sub Assistant Registrar To1.The Income Tax Appellate Tribunal 'D' Bench, Chennai. 2. The Commissioner of Income Tax (Appeals)-4, Chennai -34, T.C.A.No.644 of 2017 Kak(19/11/2019)