Commissioner Of Income Tax,Trichy v. M/S.prem Textile International,32, Ramakrishnapuram,Karur - 639 001[

In the High Court of Judicature at Madras Dated : 27.08.2019 Coram : The Honourable Mr.Justice T.S.SIVAGNANAMandThe Honourable Mrs.Justice V.BHAVANI SUBBAROYAN Tax Case Appeal No.909 of 2015 Commissioner of Income Tax,Trichy. ...Appellant/Appellant Vs M/s.Prem Textile International,32, Ramakrishnapuram,karur - 639 001[PAN: AAAFP42191]...Respondent/Respondent APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 30.01.2015 made in ITA.No.149/MDS/2014 on thefile of the Income Tax Appellate Tribunal, Chennai 'B' Bench forthe assessment year 2010-11. against the order of the Commissioner of Income Tax(Appeals), Tiruchirapalli, dated 22.10.2013 and made in ITA.No.172/2012-2013/CIT(A)/TRY and against the Order of the AssistantCommissioner of Income Tax, Circle – II, Range II,Tiruchirapalli dated 31.01.2013 for the assessment year 2009-10. For Appellant : Mr.M.Swaminathan, SSC and Ms.V.Pushpa, SC For Respondent: Mr.A.S.Sriraman for Mr.S.Sridhar JUDGMENT (Judgment was delivered by T.S.Sivagnanam,J.) We have heard Mr.M.Swaminathan, learned Senior StandingCounsel, and Ms.V.Pushpa, learned Standing Counsel appearing forthe appellant/revenue and Mr.A.S.Sriraman, learned counsel forMr.S.Sridhar,learnedcounselappearingfortherespondent/assessee. 2.This appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 is directed against the order dated https://hcservices.ecourts.gov.in/hcservices/ 30.01.2015 made in ITA.No.149/MDS/2014 on the file of the IncomeTax Appellate Tribunal, Chennai 'B' Bench for the assessmentyear 2010-11. 3.The appeal was admitted on 14.10.2015 on the followingsubstantial questions of law :“(i) Whether on the facts and in thecircumstances of the case, the Tribunal was right inholding that receipts from sale of carbon creditsare to be treated as capital receipt not assessableto tax? (ii) Whether on the facts and in thecircumstances of the case, the Tribunal was right inholding that the receipts from the sale of carboncredits are entitled for deduction under Section80IA with respect to the wind mill division? and(iii) Whether on the facts and in thecircumstances of the case, the Tribunal was right inholding that the assessee is entitled for deductionunder Section 80IA with respect to the wind milldivision by following the decision of the MadrasHigh Court in the case of Velayuthasamy SpinningMills?" 4.The learned Senior Standing Counsel for the appellantsubmits that the above appeal is not pursued by the Revenue onaccount of the low tax effect in terms of Circular No.17/2019dated 08.8.2019 issued by the Central Board of Direct Taxes. Bythe said Circular, the monetary limit for filing or pursuing anappeal before the High Court has been increased to Rs.1 Crore.It is further submitted that the tax effect in this case is lessthan the threshold limit. 5.In the light of the said submissions, the above tax caseappeal is dismissed on account of the low tax effect. Thesubstantial questions of law framed are left open. In the eventthe tax effect is above the threshold limit fixed in the saidcircular, liberty is granted to the Revenue to make a mention tothis Court to restore the appeal to be heard and decided onmerits. No costs. Sd/-Assistant Registrar (CS-IV) //True Copy// cse Sub Assistant Registrar To 1.The Income Tax Appellate Tribunal, Chennai 'B' Bench. Chennai 'B' Bench. 2.The Commissioner of Income Tax (Appeals), No.44, Williams Road, Contonment, Tiruchirapalli 620 001. No.44, Williams Road, Contonment, Tiruchirapalli 620 001. 3.The Assistant Commissioner of Income Tax, Circle II, Range II, No.44, William Road Contonment, Tiruchirapalli. Circle II, Range II, No.44, William Road Contonment, Tiruchirapalli. +1cc to Mr. S.Sridhar, Advocate, S.R.No. 74519+1cc to Mr.M.Swaminathan, Advocate, S.R.No.73574 TCA.No.909 of 2015MP(CO)GN(14/10/2019)