Tca/952/2010 Of Commissioner Of Income Tax-I v. M/S Prem Textiles Internationa

IN THE HIGH COURT OF JUDICATURE AT MADRAS THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN M/s.Prem Textiles International,Karur...Respondent/ Respondent APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 31.3.2010 made in ITA.No.206/Mds/2010 on thefile of the Income Tax Appellate Tribunal, Chennai 'B' Bench forthe assessment year 2005-06 against the Order passed by theCommissioner of Income Tax (Appeals), Tiruchirapalli, dated08.01.2010 made in ITA No.123/2007-08 against the DeputyCommissioner of Income Tax, Circle II, Tiruchirapalli made inPAN/GIR No.AAAFP 42191, DATED 16.11.2017. We have heard Mr.M.Swaminathan, learned Senior StandingCounsel, assisted by Ms.S.Premalatha, learned Standing Counselappearing for the appellant – Revenue and Mr.N.Quadir Hoseyn,learned counsel for the respondent – assessee. 2. This appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 is directed against the order dated31.3.2010 made in ITA.No. 206/Mds/2010 on the file of the IncomeTax Appellate Tribunal, Chennai 'B' Bench for the assessmentyear 2005-06. 3. The appeal was admitted on 19.10.2010 on the followingsubstantial question of law : https://hcservices.ecourts.gov.in/hcservices/ “Whether, on the facts and in thecircumstances of the case, the Income TaxAppellate Tribunal was right in holding thatthetransformerandtheelectricalinstallations installed for feeding thepower generated by the windmill to the TNEBgrid was entitled to depreciation at therate of 80% applicable to windmills ?” 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.17/2019dated 08.8.2019 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. To1. The Income Tax Appellate Tribunal, Chennai 'B' Bench, Chennai. 2. The Commissioner of Income Tax,(Appeals), Trichy.