Principal Commissioner Of Income Tax 2 v. M/S. The Zigma Technologies (I)(P) Ltd

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 2.11.2018 CORAM THE HON'BLE MR.JUSTICE HULUVADI G. RAMESHANDTHE HON'BLE MR.JUSTICE K.KALYANASUNDARAM Tax Case Appeal No.28 of 2018andC.M.P.No.345 of 2018 Principal Commissioner of Income Tax 2No.63, Race Course Road,Coimbatore. AppellantVs. M/s. The Zigma Technologies (I)(P) Ltd.,No.747, Amar Complex, S.K.C.Road,Erode 638 001. PAN: AAC CT 0611KRespondent Tax Case Appeal filed under Section 260A of the IncomeTax Act, 1961 against the order of the Income Tax AppellateTribunal, Madras 'D' Bench, Chennai, dated 3.4.2017 made inITA No.2722/Mds/2016.For Appellant : Mr.T.R.Senthil Kumar Standing Counsel J U D G M E N T(Delivered by Huluvadi G.Ramesh,J) This Tax Case Appeal has been filed by the Revenuecalling in question the correctness of the order passed by theIncome Tax Appellate Tribunal, Madras Madras 'D' Bench,Chennai, dated 3.4.2017 made in ITA No.2722/Mds/2016, byraising the following substantial question of law: "Whether the Tribunal is correct in following theearlier order in the assessee's own case for theassessment year 2010-11 wherein the entireexpenses were allowed in the fifth year of thecontract and whereas in the present contract,entire expenditure is allowed in the first year https://hcservices.ecourts.gov.in/hcservices/ itself which is against the principle of Matchingconcept?" 2. When the matter is taken up for admission, the learnedStanding Counsel brought to our notice the Circularinstruction issued by the Central Board of Direct Taxes videCircular No.3/2018 dated 11.7.2018 wherein it is stipulatedthat appeals shall not be filed/pursued by the Departmentbefore the High Court in cases where the tax effect does notexceed Rs.50 lakhs. 3. In the instant case, the tax effect is less than themonetary limit imposed and therefore, the appeal is dismissedas not pressed, preserving the substantial question of law fordetermination in an appropriate case. The connectedmiscellaneous petition is closed. Sd/- Assistant Registrar(CS IX) //True Copy// Sub Assistant Registrar sskTo 1. The Income Tax Appellate Tribunal,Madras D Bench, Besant Nagar, Chennai.Copy To: 1. Principal Commissioner of Income Tax 2 No.63, Race Course Road, Coimbatore. 2. M/s. The Zigma Technologies (I)(P) Ltd., No.747, Amar Complex, S.K.C.Road, Erode 638 001. PAN: AAC CT 0611K CSL/30.11.2018 TCA No.28 of 2018