Tax Case Appeal v. J U D G M E N T

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 19.12.2018 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE DR.JUSTICE ANITA SUMANTH Tax Case Appeal No.1405 of 2009 Commissioner of Income Tax,Chennai.Appellant /RespondentVs. M/s.Chettinad MBF Hi Silica P. Ltd.Respondent/Appellant Prayer:Tax Case Appeal filed under Section 260-A of theIncome Tax Act, 1961, against the order of the Income TaxAppellate Tribunal, Chennai 'D' Bench, dated 10.07.2009, madein ITA No.169/Mds/2009 preferred against the Commissioner ofIncome Tax (Appeals) VIII, Chennai dated 17.12.2018, made inITA.No. 135/07-08, against the Order dated 26.12.2006, passed bythe Assistant Commissioner of Income Tax, Company Circle I (3),Chennai in GI.No/PAN.No. AAA CC4612. For Appellant : Mr.T.Ravikumar, Senior Standing Counsel. For respondent : Mr.S.Sridhar J U D G M E N T (Delivered by DR.VINEET KOTHARI,J.) This Tax Case Appeal has been filed by the Revenue, callingin question the correctness of the order passed by the IncomeTax Appellate Tribunal, Chennai 'D' Bench, Chennai, dated10.07.2009, in ITA No.169/Mds/2009, by raising the followingsubstantial question of law : "Whether on the facts and circumstances of thecase, the Appellate Tribunal was right in law inallowing the entire expenses relating to landdevelopment expenses, construction of compound walland construction of community hall as revenueexpenditure ? https://hcservices.ecourts.gov.in/hcservices/ 2. When the matter is taken up for hearing, the learnedStanding Counsel for the Department brought to our notice theCircular instruction issued by the Central Board of Direct Taxesvide Circular No.3/2018, dated 11.7.2018, wherein, it isstipulated that appeals shall not be filed/pursued by theDepartment before the High Court in cases where the tax effectdoes not exceed Rs.50.00 lakhs. 3. In the instant case, the tax effect is said to be lessthan the monetary limit imposed and, therefore, the appeal filedby the Revenue is dismissed, as not pressed, keeping open thesubstantial question of law for determination in appropriatecases. No costs. Sd/-Assistant Registrar(CS-VI)//True Copy// Sub Assistant RegistrardixitTo 1.The Income Tax Appellate Tribunal, Chennai 'D' Bench, Chennai.2.The Commissioner of Income Tax (Appeals) VIII, Chennai. 3.The Assistant Commissioner of Income Tax, Company circle I (3), Chennai. +1cc to Mr.T.Ravi Kumar, Advocate, S.R.No.89272 +1cc to Mr.S.Sridhar, Advocate, S.R.No. 88844 TCA No.1405 OF 2009 SSV(CO)GN(28/01/2019)