Principal Commissioner Of Income Tax 2 v. M/S.indowind Energy Ltd., Kothari Buildings, Iv Floor

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 05.01.2021 CORAM : The Honourable Mr.Justice T.S.SIVAGNANAMandThe Honourable Ms.Justice R.N.MANJULA Principal Commissioner of Income Tax 2,No.121, Mahatma Gandhi Road,Chennai - 600 034....AppellantVs M/s.Indowind Energy Ltd.,Kothari Buildings, IV Floor,114, Nungambakkam High Road,Chennai - 600 034.PAN: ...Respondent APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 25.10.2016 made in ITA.No.937/Mds/2015 on thefile of the Income Tax Appellate Tribunal, Madras 'B' Bench, andagainst the order of the Commissioner of Income Tax (Appeals)6Chennai 600 034 dated 23.01.2015 in I.T.A. No. 234/CIT(A)6-2014-2015 and against the order of the Deputy Commissioner of IncomeTax, Chennai 600 034 dated 28.03.2014 PAN/GIR No. forthe Assessment year 2008-2009. For Appellant :Mr.T.R.Senthil KumarSenior Standing Counsel For Respondent:Mr.A.S.Sriraman JUDGMENT (Delivered by T.S.Sivagnanam,J) We have heard Mr.T.R.Senthil Kumar, learned Senior StandingCounsel for the Appellant – Revenue and Mr.A.S.Sriraman, learnedcounsel appearing for the respondent. 2. This appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 (for short, the Act), is directedagainst the order dated 25.10.2016 made in ITA.No.937/Mds/2015on the file of the Income Tax Appellate Tribunal, Madras 'B'Bench (for brevity, the Tribunal) for the assessment year 2008-09. https://hcservices.ecourts.gov.in/hcservices/ 3. The appeal was admitted on 28.08.2018 on the followingsubstantial question of law:“Whether in the facts and circumstances ofthe case and in law, the ITAT was correct inallowing the bad debt written off on accountof advance made to M/s.Wipro Finance Ltd.when the assessee is not into the businessof real estate?" 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 question of law framed is left open. In the eventthe tax effect is above the threshold limit fixed in the saidcircular, liberty is granted to the Revenue to file a petitionbefore this Court to restore the appeal to be heard and decidedon merits. No costs. s/d- Assistant Registrar True Copy Sub-Assistant Registrar hvkTo 1.The Income Tax Appellate Tribunal,Madras 'B' Bench.Rajaji Bhvaan, Besant NagarChennai 90. 2. The Principal Commissioner of Income Tax 2, No.121, Mahatma Gandhi Road, Chennai - 600 034. 3.The Commissioner of Income Tax (Appeals)6121 Mahatma Gandhi RoadChennai 34.121 Mahatma Gandhi RoadChennai 34. 4.The Deputy Commissioner of Income Tax121 Mahatma Gandhi RoadChennai 34.121 Mahatma Gandhi RoadChennai 34. TCA.No.556 of 2018 MG(CO)SP(01/02/2021)