Commissioner Of Income Tax,Chennai v. M/S.mm Forgings Ltd.,Guindy House,95 Anna Salai,Chennai – 600 032

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 30.03.2021 CORAM THE HON'BLE MR. JUSTICE M.DURAISWAMYAND THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI T.C.A.No.33 of 2013 Commissioner of Income Tax,Chennai. ... Appellant Vs. M/s.MM Forgings Ltd.,Guindy House,95 Anna Salai,Chennai – 600 032. ... Respondent Appeal preferred under Section 260A of the Income Tax Act,1961, against the order of the Income Tax Appellate Tribunal,Madras, “A” Bench, dated 19.07.2012 in I.TA.No.1277/Mds/2011,Assessment Year 2008-09. Appeal against the order of the Commissioner of Income Tax(Appeals)V, 121, M.G.Road, Chennai-34 made in ITA.No.168/2010-11dated 21/04/2011, Assessment year 2008-09. Appeal against the order of the Assistant Commissioner ofIncome Tax, Company Circle IV(3), Chennai-34 made in PANNo.AAACM2164L Assessment year 2008-09. For Appellant : Mr.Karthik Ranganathan Senior Standing CounselFor Respondent : No appearance JUDGMENT (Judgment was delivered by M.DURAISWAMY, J.) We have heard Mr.Karthik Ranganathan, learned SeniorStanding Counsel for the appellant/Revenue. https://hcservices.ecourts.gov.in/hcservices/ 2.The appeal, filed by the Revenue under Section 260A of theIncome Tax Act, 1961 (for short, the Act) is directed againstthe order dated 19.07.2012 made in I.TA.No.1277/Mds/2011 on thefile of the Income Tax Appellate Tribunal, Chennai, “A” Bench(for brevity, the Tribunal) for the Assessment Year 2008-09. 3.The appeal was admitted on 11.02.2013 on the followingsubstantial questions of law: “1.Whether under the facts and circumstancesof the case, the Income Tax Appellate Tribunalwas correct in upholding the order of theCommissioner of Income Tax (Appeals) deleting thedisallowance made of Rs.84,623/- made by theAssessing Officer under Section 14A? 2.Whether the Income Tax Appellate Tribunalwas correct in stating that the method ofcalculation of the disallowance set forth in Rule8D would be applicable only for assessment year2008-09 and subsequent assessment years?” 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 08.08.2019 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 as withdrawn on account of the Low TaxEffect. The substantial questions of law framed are left open.In the event the tax effect in this case is above the thresholdlimit fixed in the said Circular, liberty is granted to theRevenue to make a mention to this Court to restore the appeal tobe heard and decided on merits. No costs. Sub Assistant Registrar MKN To 1. The Income Tax Appellate Tribunal, Chennai, “A” Bench Chennai, “A” Bench 2. The Commissioner of Income Tax, Chennai. 3. The Commissioner of Income Tax (Appeals)V, 121, M.G.Road, Chennai-34 121, M.G.Road, Chennai-34 4. The Assistant Commissioner of Income Tax, Company Circle IV(3), Chennai-34 Company Circle IV(3), Chennai-34 T.C.A.No.33 of 2013SR-II(CO)TE (28/04/2021)