Tca/91/2011 Of Commissioner Of Income Tax v. Smt.uma Rathi

IN THE HIGH COURT OF JUDICATURE AT MADRAS CORAM : THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MR.JUSTICE N.SATHISH KUMAR Tax Case Appeal No.91 of 2011 The Commissioner of Income Tax,Chennai....Appellant/Appellant -vs- Smt.Uma Rathi,No.10,Badriah Garden Street,Chennai – 600 003....Respondent/Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax Appellate TribunalMadras 'C' Bench, dated 19.08.2008 in ITA Nos.225 &226/Mds/2008, for the Assessment years 2002-03 & 2003-04 asagainst the order of the Commissioner of Income Tax, Chennaidated 23.10.2007 in CIT(A)-IV/CHE/769;776/06-07 and as againstthe order of the Income Tax Officer, Business Ward-XII(3),Chennai-6, dated 30.12.2005 in AAFPR1880C.For Appellant:Mrs.R.Hemalathalearned senior standing counselFor Respondent :Mr.M.P.Senthil Kumar JUDGMENT [Judgement of the Court was delivered by T.S.Sivagnanam, J.] This Tax Case Appeal is filed under Section 260A of theIncome Tax Act, 1961 against the order of the Income TaxAppellate Tribunal Madras 'C' Bench, dated 19.01.2008 in ITANos.225 & 226/Mds/2008, for the Assessment years 2002-03 & 2003-04. 2.Heard Mrs.R.Hemalatha, learned Senior Standing Counsel forthe Revenue and Mr.M.P.Senthil Kumar, learned Counsel for theassessee. https://hcservices.ecourts.gov.in/hcservices/ 3.This Appeal has been admitted on 10.03.2011, on thefollowing Substantial Question of Law: "Whether on the facts and circumstances ofthe case, the Income Tax Appellate Tribunal wasright in law holding that the income offered bythe assessee under the heading business incomeis to be treated as cash credit under Section68 of the Income Tax Act, 1961?” 4.We have perused the order of Assessment as well as theOrder passed by the Commissioner of Income Tax and we find thatthe tax effect in this appeal is lesser than the threshold limitmentioned in Circular No.3 of 2018, dated 11.07.2018, issued bythe Central Board of Direct Taxes, which fixes the monetarylimit as Rs.50,00,000/- for the Department to pursue the matter.Furthermore, the Revenue has not been able to point out anydistinguishing features, by which the Circular No.3 of 2018,dated 11.07.2018, cannot be applied. 5.Thus, for the above reasons, the Revenue cannot pursuethis Appeal in view of the low tax effect. Hence, the Appeal isdismissed and the Substantial Question of Law, framed forconsideration, is left open. No costs. The Revenue is atliberty to seek for restoration of appeal, if at a later pointof time, it is found that the tax effect is above the thresholdlimit. Sd/- Assistant Registrar mrm/abr //True Copy// Sub Assistant Registrar To 1. The Income Tax Appellate Tribunal, Madras 'C' Bench. 2. The Commissioner of Income Tax, Chennai. 3. The Income Tax Officer, Business Ward-XII(3), Chennai 600 006. +1 cc to Mr.T.Ravi Kumar, Advocate Sr.No.83859+1 cc to Mr.Philip George, Advocate Sr.No.84127 SVI(CO)CSL/03.01.2019 T.C.A.No.91 of 2011