Commissioner Of Income Taxchennai v. M/S.vel Shree Rangarajandr.sagunthala Rangarajaneducational Academy�Shanthi Sudha�,New

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 14.09.2018 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal No.1085 of 2008 Commissioner of Income TaxChennai ... Appellant -vs- M/s.Vel Shree RangarajanDr.Sagunthala RangarajanEducational Academy�Shanthi Sudha�,New No.38, Old No.24,ABM Avenue, R.A.PuramChennai - 600 028. ... Respondent Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order, dated25.01.2008 passed in I.T.A. No.642/Mds/2007 on the file of the Income Tax Appellate Tribunal, 'C'Bench, Chennai, for the Assessment Year 2003-04. For Appellant : Mr. S.Rajesh,Senior Standing Counsel For Respondent : M/s.Sri Lakshmi Valli ****** JUDGMENT [Delivered by T.S.Sivagnanam, J.] Heard Mr. S.Rajesh, learned Senior Standing Counsel for the appellant, and M/s.Sri Lakshmi Valli,learned counsel for the respondent. 2.This appeal has been admitted on the following substantial question of law:-�Whether on the facts and circumstances of the case, the Tribunal was right in holding that thedevelopment fees collected by the assessee (which is not a charitable trust) from its students is acapital receipt not liable to tax?�. 3.Before we proceed to consider the substantial question of law raised in this appeal, we have tofirst take note of the fact that the tax effect in the present appeal relevant for the assessment year 2003-04 is less than the threshold limit. 4.In the case of Commissioner of Income Tax vs. N.Meenakshisundaram [Tax Case (Appeal) Nos.868and 869 of 2008; Dated 23.04.2018], one of us (TSSJ) had an occasion to consider various circularsissued by the Central Board of Direct Taxes (CBDT) as regards the threshold limits fixed for filingthe appeals by the Revenue or pursue the appeals, which are pending from 2008 onwards. 5.Further, it is relevant to note that by Circular No.3/2018, dated 11.07.2018, monetary limit hasfurther been increased and appeals be maintainable before the High Courts. It has been increased toRs.50,00,000/-. Hence, viewed from any angle, this appeal could not have been pursued. 6.Thus, by applying the above Circular issued by the CBDT, this appeal ought not to have beenpursued by the Revenue and hence, for that reason only, this tax case appeal is dismissed and thesubstantial question of law, framed for consideration, are left open. No costs. [T.S.S., J.] [V.B.S., J.] 14.09.2018 gbi T.S.Sivagnanam, J.andV.Bhavani Subbaroyan, J. (gbi) To The Income-tax Appellate Tribunal,Madras �C� Bench,Chennai. T.C.(A) No.1085 of 2008