Commissioner Of Income Tax,Non Corporate Circle -3, Madurai v. Shri A.m.subramanian,Old

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 03.07.2019 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal Nos.663 and 664 of 2018andC.M.P.No.13106 of 2018 Commissioner of Income Tax,Non Corporate Circle -3, Madurai... Appellant/Respondentin both Appeals -vs- Shri A.M.Subramanian,Old No.2/12, (New No.2/9/12),Pillayar Street, Pullkattai Post,Periyar Taluk, Madurai-625 703.PAN: .. Respondent/Appellantin both Appeals Prayer :Tax Case Appeals under Section 260A of theIncome-tax Act, 1961, against the common order dated 05.03.2018,on the file of the Income-tax Appellate Tribunal 'A' Bench,Chennai in I.T.A.Nos.860/Chny/2017 and 1196/Chny/2017 for theassessment year 2013-14 and preferred against the order of theCommissioner of Income Tax(Appeals)-3, Madurai, dated 20.02.17,made in ITA No.0043/2016-17 for the assessment year 2013-14 andagainst the order of the Deputy Commissioner of Income-Tax,Non.Corporate Circle -3, Madurai, dated 31.03.2016, made inPAN/GIR Number AHKPS3012K for the assessment year 2013-14(u/s.143(3) of the Income Tax Act 1961. For Appellant:Ms.S.Premalatha,(In both Appeals)Standing Counsel For Respondent:Mr.R.Sivaraman(In both appeals) (Delivered by T.S.Sivagnanam, J.) These appeals by the Revenue, filed under Section 260A ofthe Income-tax Act, 1961, are directed against the common orderdated 05.03.2018, passed by the Income-tax Appellate Tribunal'A' Bench, Chennai in I.T.A.Nos.860/Chny/2017 and 1196/Chny/2017for the assessment year 2013-14. 2.The Revenue has raised the following substantial questionsof law for consideration:- “1. Whether the Income Tax Appellate Tribunalis right in law in allowing deduction u/s 54F forthe entire value of the commercial buildingconstructed which is contrary to the provisionsof section 54F of the Income Tax Act in terms ofwhich the deduction is allowable only forpurchase or construction of a new residentialhouse? 2. Whether the Income Tax Appellate Tribunalis right in law in directing the AssessingOfficer to grant the benefit of deduction u/s 54Fof the Income Tax Act without adjudicating on thegrounds taken by the Revenue in respect ofallowance of the deduction on the value of land?”3.Heard Ms.S.Premalatha, learned Standing Counsel for theappellant/Revenue; and Mr.R.Sivaraman, learned counsel for therespondent/assessee. 4.In terms of the instruction given to the learned StandingCounsel for the appellant/Revenue, it is seen that the taxeffect involved in the case is stated to be Rs.20,83,790/-.This is well below the threshold limit in terms of the recentcircular issued by the Board in Circular No.3/2018, dated11.07.2018. Therefore, the appeals are dismissed on the groundof low tax effect. 5.The learned counsel for the appellant submitted that inthe event it is found that these appeals are not hit by themonetary limit of the circular, the Revenue should be permittedto restore these appeals. 6.The submission made by the learned counsel for theappellant is accepted and liberty is granted to the appellant torestore the appeals, in the event they found out that theseappeals are not hit by the monetary limit in the circular. Forsuch liberty, if applications are filed for restoration, theRegistry is directed to list those applications along with theappeals without insisting upon any applications for condonation of delay or for such other matters. Consequently, thesubstantial questions of law are left open. No costs.Consequently, the connected miscellaneous petition is closed. Sd/-Assistant Registrar(CS-IV) //True copy// Sub Assistant Registrar 6.The submission made by the learned counsel for theappellant is accepted and liberty is granted to the appellant torestore the appeals, in the event they found out that theseappeals are not hit by the monetary limit in the circular. Forsuch liberty, if applications are filed for restoration, theRegistry is directed to list those applications along with theappeals without insisting upon any applications for condonation of delay or for such other matters. Consequently, thesubstantial questions of law are left open. No costs.Consequently, the connected miscellaneous petition is closed. Sd/-Assistant Registrar(CS-IV) //True copy// Sub Assistant Registrar abrTo1.The Deputy Commissioner of Income-tax, Non-Corporate Circle-3, Madurai.2.The Commissioner of Income-tax (Appeals), Madurai.3.The Income-tax Appellate Tribunal 'A' Bench, Chennai.+1cc to Mr.S.Premalatha, Advocate SR.No.55740T.C.A.Nos.663 and 664 of 2018MR(CO)GMY(13/08/2019)