The Commissioner Of Income Tax Chennai v. M/S.l.j.international Ltd., 60 Rukmani Lakshmipathy Salai, Egmore, Chennai-8

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED: 07.02.2020 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE MR.JUSTICE R.SURESH KUMAR Tax Case (Appeal) No.146 of 2013 The Commissioner of Income Tax Chennai.. AppellantVs. M/s.L.J.International Ltd.,60 Rukmani Lakshmipathy Salai, Egmore, Chennai-8... Respondent Prayer:-Tax Case filed under Section 260A of the Income Tax Act,1961 against the order of the Income Tax Appellate Tribunal, 'B'Bench, Chennai, dated 5.10.2012 made in ITA No.1142/Mds/2012. Against the Order of Commissioner of Income Tax, Chennai-I,Chennai-34 dated 30.03.2012 in C.No.218(44)/CIT-I/263/2011-12against the Assessment order dated 25.11.2009 for the AssessmentYear 2007-08 by the Assistant Commissioner of Income Tax CompanyCircle-II(4), Chennai-34. For Appellant : Mr.Karthik Ranganathan Senior Standing Counsel This Tax Case has been filed by the Revenue, calling inquestion the correctness of the order passed by the Income TaxAppellate Tribunal, 'B' Bench, Chennai, dated 5.10.2012 made inITA No.1142/Mds/2012, for the Assessment Year 2007-2008, byraising the following substantial questions of law: "(i) Whether on the facts and in the circumstancesof the case, the Income Tax Appellate Tribunal wasright in nullifying the order passed under Section263 of the Act? https://hcservices.ecourts.gov.in/hcservices/ (ii) Whether on the facts and in the circumstancesof the case, the Income Tax Appellate Tribunal wasright in holding that the assessee was entitled todeduction claimed under Section 10B as the assesseewas manufacturing and producing tissue cultureplant? iii) Whether on the facts and in the circumstancesof the case, the Income Tax Appellate Tribunal wasright in holding that the assessee was entitled toclaim deduction under Section 10B especially whenraising of plants through tissue culture does notinvolve any manufacturing activity as livingorganism does not come under the purview of theAct?" 2. When the matter is taken up for hearing, learned SeniorStanding Counsel brought to our notice the Circular instructionissued by the Central Board of Direct Taxes vide CircularNo.17/2019 dated 8th August 2019, wherein, it is stipulated thatappeals shall not be filed/pursued by the Department before theHigh Court in cases where the tax effect does not exceedRs.1,00,00,000/- (Rupees One Crore). 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 withdrawn, keeping open thesubstantial questions of law for determination in appropriatecases. No costs. Sd/- Assistant Registrar(CCC) //True Copy// ssk. Sub Assistant Registrar To 1. The Commissioner of Income Tax Chennai Chennai 2. Income Tax Appellate Tribunal, 'B' Bench, Chennai.3. The Assistant Commissioner of Income Tax, Company Circle -II(4), Chennai-34. 4.The Deputy Commissioner of Income Tax,Company Circle-II(4), Chennai-34.Company Circle-II(4), Chennai-34. TC(A).No.146 of 2013 SS(CO)CS/12/03/2020