Tca/731/2014 Of The Commissioner Of Income Tax v. Va.shiva

IN THE HIGH COURT OF JUDICATURE AT MADRAS CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal No.731 of 2014 The Commissioner of Income-tax,Chennai... Appellant/Appellant-vs- Shri VA.Shiva,No.3, Kuppusamy Street,T.Nagar, Chennai-600 017... Respondent/Respondent APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 09.09.2010, made in I.T.A.No.1859/Mds/2008 onthe file of the Income Tax Appellate Tribunal Bench 'D', Chennaifor the assessment year 2005-06, and against the order inITA.NO.335/07-08/dt.17/06/2008 by the Commissioner of IncomeTax, Chennai and against the order of Assistant Commissioner ofIncome Tax, Chennai order dated 28/12/2007/2005-06 inPAN/GIR.NO.AIWPA0677P. For Appellant:Mr.T.Ravikumar, Senior Standing CounselFor Respondent :Mr.R.Venkatanarayana For M/s.Subbaraya Aiyar, Padmanabhan & Ramamani This appeal filed by the Revenue under Section 260A of theIncome-tax Act, 1961 is directed against the order dated09.09.2010, made in I.T.A.No.1859/Mds/2008 on the file of theIncome Tax Appellate Tribunal Bench 'D', Chennai for theassessment year 2005-06. 1/3 https://hcservices.ecourts.gov.in/hcservices/ 2.The above appeal was admitted on 03.11.2014, on thefollowing substantial question of law:- “Whether on the facts and in the circumstancesof the case, the Income Tax Appellate Tribunal wasright in holding that addition of Rs.1 crore madeby the assessing officer relying on the Section 2(22)(e) of the Income Tax Act was not proper?” 3.Heard Mr.T.Ravikumar, learned Senior Standing Counsel forthe appellant – and Mr.R.Venkatanarayan, learned counsel forM/s.Subbaraya Aiyar, Padmanabhan and Ramamani, for therespondent. 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.17/2019,dated 08.08.2019 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 make a mention tothis Court to restore the appeal to be heard and decided onmerits. No costs. Sd/- Assistant Registrar(CS IV) Sub Assistant Registrar abr To 1.The Income Tax Appellate Tribunal Bench 'D', Chennai. 2.The Commissioner of Income Tax(Appeals)-I,46, Mahatma Gandhi Road, Nungambakkam,Chennai. 2/3 +1cc to Mr.T.Ravikumar, Advocate sr.72367 +1cc to M/s.Subbaraya Aiyar, Advocate sr.73376 sy(co)nr 14/11/2019 3/3