Commissioner Of Income Tax,Chennai v. R.madhavan

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 13.08.2018 CORAM : THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal Nos.132 to 135 of 2009 Commissioner of Income Tax,Chennai. ..Appellant in all appeals Vs. Smt.Varanandhini Raghavan, .. Respondent in T.C.A. Nos.132 & 133/2009 R.Madhavan .. Respondent in T.C.A. Nos.134 & 135/2009 Common Prayer : Tax Case Appeals filed under Section 260A of theIncome Tax Act, 1961 against the order of the Income TaxAppellate Tribunal Bench 'C', Chennai, dated 09.05.2008 inM.P.Nos.56/Mds/08, 57/Mds/08, 58/Mds/08 and 59/Mds/08 in ITANos.860/Mds/07, 917/Mds/06, 918/Mds/06 and 859/Mds/07 for theassessment year 1997-98. against the order of the commissioner of Income Tax(Appeals)-XII, 121, Mahadma Gandhi Road, Chennai – 600 034 inITA.No.54/2005-2006,ITA.No.51/2005-2006 Dated 23.01.2006 for theassessment year 1997-1998. against the order of Income Tax officer, Business Ward XV(4), Chennai made in GIR/PAN No.AANPM 2092D Dated 28/03/2005 forthe Assessment year 1997-1998 against the order of Income Tax officer, Business ward XV(3), Chennai-34 made in PAN.No./GIR dated 28/03/2005for the assessment year 1997-1998. For Appellant in : all appeals Mr.M.SwaminathanSenior Standing Counsel :assisted by Ms.V.Pushpa and Ms.S.Premalatha For Respondents :Mr.M.P.Senthil Kumar in all appealsfor M/s.Philip George https://hcservices.ecourts.gov.in/hcservices/ C O M M O N J U D G M E N T [Judgement of the Court was delivered by T.S.Sivagnanam, J.] Heard Mr.M.Swaminathan, learned Senior Standing Counselfor the Revenue and Mr.M.P.Senthilkumar, learned counsel for therespondents. 2. These appeals had been admitted on 06.07.2009, on thefollowing substantial questions of law raised by the Revenue :- “(i).Whether on facts and circumstances ofthe case Tribunal was right in dismissing therectification M.P. Filed under 254(2) ?(ii).Whether on the facts and circumstancesof the case, the Tribunal was right in holding thatorder passed under 263 of Income Tax Act was wrong? (iii).Whether on the facts and circumstancesof the case, the Tribunal was right in law in notconsidering the fact that the capital gains whichis taxable had escaped assessment ? (Refer (2002)256 ITR 0282 [Commissioner of Income Tax V. K.Jeelani Basha])” 3.Before we proceed to consider the substantial questionsof law raised in these appeals, we have to first take note ofthe fact that the tax effect in the present appeals relevant forthe assessment year 1997-98 is less than the threshold limit. Inthe case of Commissioner of Income Tax vs. N.Meenakshisundaram[Tax Case (Appeal) Nos.868 and 869 of 2008; Dated 23.04.2018],this Court had an occasion to consider various circulars issuedby the Central Board of Direct Taxes (CBDT) as regards thethreshold limits fixed for filing the appeals by the Revenue orpursue the appeals, which are pending from 2008 onwards. 4.Further, it is relevant to note that by CircularNo.3/2018, dated 11.07.2018, monetary limit has further beenincreased and appeals be maintainable before the High Courts.It has been increased to Rs.50,00,000/-. Hence, viewed from anyangle, these appeals could not have be pursued. 5.Thus, by applying the above Circular issued by theCBDT, these appeals ought not to have been pursued by theRevenue and hence, for that reason, these tax case appeals aredismissed and the substantial questions of law, framed forconsideration, are left open. No costs. Sd/- 4.Further, it is relevant to note that by CircularNo.3/2018, dated 11.07.2018, monetary limit has further beenincreased and appeals be maintainable before the High Courts.It has been increased to Rs.50,00,000/-. Hence, viewed from anyangle, these appeals could not have be pursued. 5.Thus, by applying the above Circular issued by theCBDT, these appeals ought not to have been pursued by theRevenue and hence, for that reason, these tax case appeals aredismissed and the substantial questions of law, framed forconsideration, are left open. No costs. Sd/- Assistant Registrar(CO)// True Copy//Sub Assistant RegistrarggTo1. The Income Tax Appellate Tribunal 'C' Bench, Chennai.2. The Commissioner of Income Tax, Chennai.3. The Commissioner of Income Tax (Appeals)-XII, 121, Mahadma Gandhi Road, Chennai -600 034.4. The income Tax Officer,Business Ward XV(4), Chennai.5. The income Tax Officer,Business Ward XV(3), Chennai. 6. The Record Keeper,VR Section, High Court, Madras.T.C.A.Nos.132 to 135 of 2009 AK(CO)RMP(24/09/2018)