Commissioner Of Income Tax v. M/S. Hari Krishna Papers Private Limited

IN THE HIGH COURT OF JUDICATURE AT MADRASDATE: 01.02.2021 CORAM: THE HON'BLE MR. JUSTICE M.DURAISWAMYAND THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI T.C.A.No.1221 of 2015 Commissioner of Income Tax,No.63, Race Course Road,Chennai. ... Appellant v. M/s. Hari Krishna Papers Private Limited,NO.54/2, Jothi Nagar,Venkatesa Mills Post,Udumalpet - 642 128PAN : AAD CS 0649 B ... Respondent Appeal preferred under Section 260A of the Income Tax Act,1961, against the order of the Income Tax Appellate Tribunal,Madras, “B” Bench, dated 24.07.2015 in ITA.No.633/Mds/2014 forthe Assessment Year 2009-10 As against the order of theCommissioner of Income tax(Appeals)-II ,Coimbatore in IT AppealNo. 264/11-12 dated 16.01.2014 ; and As against the order of theAssistant Commissioner of Income Tax, Salary Circle I,Coimbatore for the Assesment Year 2009-10 vide Pan No. . For Appellant : Mr. T.R. Senthil Kumar, Senior Standing Counsel For Respondent : Mr. Kaushik for M/s. S. SridharJUDGMENT (Judgment was delivered by M. DURAISWAMY, J.) We have heard Mr. T.R. Senthil Kumar, learned SeniorStanding Counsel for the appellant/Revenue and Mr. Kaushik forthe respondent/Assessee. https://hcservices.ecourts.gov.in/hcservices/ the Income Tax Act, 1961 (for short, the Act) is directedagainst the order dated 24.07.2015 made in ITA.No.633/Mds/2014on the file of the Income Tax Appellate Tribunal, Chennai, ''B''Bench (for brevity, the Tribunal) for the Assessment Year 2009-10. 3.The appeal was admitted on 11.01.2016 on the followingsubstantial questions of law:“(i)Whether,onthefactsandcircumstances of the case, the Tribunal isjustified in law in holding that a new industrialundertaking has come into existence within themeaning of sub section (2) of Section 80 1A ofthe Income Tax Act?(ii)Whether,onthefactsandcircumstances of the case, the Tribunal islegally correct by holding that the provisions ofsection 80 1A(3) (i) is not applicable to theturbine unit? and(iii)Whether,onthefactsandcircumstances of the case, the Tribunal isjustified in law by deciding the issue by overviewing the finding of the Commissioner of TaxAppeals that the restrictive provisions undersection 80 1A(3) (ii) is also applicable ?” 4.The learned Senior Standing Counsel appearing for theappellant submits that the above appeal is not pursued by theRevenue on account of the Low Tax Effect in terms of CircularNo.17/2019 dated 08.08.2019 issued by the Central Board ofDirect Taxes. By the said Circular, the monetary limit forfiling or pursuing an appeal before the High Court has beenincreased to Rs.1 crore. It is further submitted that the taxeffect in this case is less than 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 is 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.Sd/- Asst.Registrar (CS VII) /true copy/ Rj To 1.The Income Tax Appellate Tribunal, Chennai, “B'' Bench. 2.The Commissioner of Income Tax (Appeal- II)Coimbatore.Coimbatore. 3. The Assistant commissioner of Income Tax Salary Circle1,Coimbatore.1,Coimbatore. +1CC to T.R.Senthil Kumar Advocate ,SR No.5067. T.C.A.No.1221 of 2015MGR(CO)NRA(05/03/2021)