Commissioner Of Income Tax,Madurai v. M/S.subbiah Jewellers

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 31.01.2019 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE DR.JUSTICE ANITA SUMANTH Tax Case Appeal No.929 of 2009 Commissioner of Income Tax,Madurai. Appellant Vs. M/s.Subbiah Jewellers Respondent Tax Case Appeal filed under Section 260-A of the Income TaxAct, 1961, against the order of the Income Tax AppellateTribunal, Chennai 'D' Bench, dated 06.02.2009, made in ITANo.1406/Mds/2006 against the order dated 25/01/2006 made by theCommissioner of Income Tax (Appeals)-II, Madurai against PAN/GIRNo. against the order dated 26.09.2005 by the IncomeTax Officer, Ward I(4), Tirunelveli. For Appellant : Ms.Premalatha, Standing Counsel. For Respondent : No appearanceJ U D G M E N T(Delivered by DR.VINEET KOTHARI,J.) This Tax Case Appeal has been filed by the Revenue, callingin question the correctness of the order passed by the IncomeTax Appellate Tribunal, Chennai 'D' Bench, dated 06.02.2009, inITA No.1406/Mds/2006, by raising the following substantialquestions of law : "(1) Whether on the facts and circumstances ofthe case, the Tribunal was right in deleting thepenalty on the ground that the discrepancy does notrelate to the assessment year 2002-03, when theincome relating to the same has been assessed in thecourse of regular assessment for assessment year2002-03, and assessee has accepted the same ? https://hcservices.ecourts.gov.in/hcservices/ (2) Whether on the facts and circumstances ofthe case, the Tribunal was right in deciding theyear of assessment in a penalty appeal, when thequantum has become final ? 2. When the matter is taken up for hearing, the learnedStanding Counsel for the Department brought to our notice theCircular instruction issued by the Central Board of Direct Taxesvide Circular No.3/2018, dated 11.7.2018, wherein, it isstipulated that appeals shall not be filed/pursued by theDepartment before the High Court in cases where the tax effectdoes not exceed Rs.50.00 lakhs. 3. In the instant case, the tax effect is said to be lessthan the monetary limit imposed and, therefore, the appeal filedby the Revenue is dismissed, as not pressed, keeping open thesubstantial questions of law for determination in appropriatecases. No costs. Sd/- Assistant Registrar //True Copy// Sub Assistant RegistrardixitTo1)The Income Tax Appellate Tribunal, Chennai 'D' Bench, Chennai.2)The Commissioner of Income Tax (Appeals)-II, Madurai 3)The Income Tax Officer, Ward I(4), Tirunelveli. +1 cc to Mr.M.Swaminathan, Advocate, S.R.No.7980 TCA No.929 OF 2009CNJ(CO)SSM(11/03/2019).