Tax Case Appeal v. M/S.james Textiles

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 31.1.2019 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE DR.JUSTICE ANITA SUMANTH Tax Case Appeal No.471 of 2010 Commissioner of Income Tax Tiruchirapalli.Appellant Vs. M/s.James Textiles 2197, Srimuthu Nagar, Chinnandan Koil Street, Karur. Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, Madras 'D' Bench, Chennai, dated 30.10.2009 made inITA No.1651/Mds/2008, against the order dated 13/05/2008 made inG.I.No./PA No.AACFJ4236B for the Assessment year 2004-2005 onthe file of the Commissioner of Income Tax (Appeals),Tiruchirappalli, against the order of the Deputy Commissioner ofIncome Tax, Circle -II, Tiruchirappalli dated 19/12/2006, madein AACFJ42368 For Appellant : Ms.Premalatha Standing Counsel For respondent : Mr.R.Kumar 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, 'D' Bench, Chennai, dated 30.10.2009made in ITA No.1651/Mds/2008, by raising the followingsubstantial question of law: "Whether on the facts and in the circumstances ofthe case, the Income Tax Appellate Tribunal wasright in holding that the assessee was entitled todepreciation of Rs.1,15,96,829/- on the Wind Millinstalled on 25.3.2004 when there was no evidenceregarding generation of electricity on a commercialbasis during the previous year relevant to thethe case, the Income Tax Appellate Tribunal wasright in holding that the assessee was entitled todepreciation of Rs.1,15,96,829/- on the Wind Millinstalled on 25.3.2004 when there was no evidenceregarding generation of electricity on a commercialbasis during the previous year relevant to the https://hcservices.ecourts.gov.in/hcservices/ Assessment Year 2004-2005?" 2. When the matter is taken up for admission, the learnedStanding Counsel brought to our notice the Circular instructionissued by the Central Board of Direct Taxes vide CircularNo.3/2018 dated 11.7.2018 wherein it is stipulated that appealsshall not be filed/pursued by the Department before the HighCourt in cases where the tax effect does not exceed Rs.50 lakhs.3. In the instant case, the tax effect is said to be less thanthe monetary limit imposed and therefore, the appeal filed bythe Revenue is dismissed as not pressed, keeping open thesubstantial question of law for determination in an appropriatecase. Sd/-Assistant Registrar(CS-VIII)//True copy//Sub Assistant Registrarssk.To1. Commissioner of Income Tax (Appeals) Tiruchirapalli.2. Income Tax Appellate Tribunal, Madras 'D' Bench, Chennai3. The Deputy Commissioner of Income Tax, Circle II, Tiruchirapalli. +1cc to Mr.M.Swaminathan, Advocate SR.No.7982 +1cc to Mr.T.N.Seetharaman, Advocate SR.No.8041 TCA No.471 of 2010GP(CO)GMY(23/03/2019)