The Commissioner Of Income Tax, Coimbatore v. Dr.r.a.ganesan

In the High Court of Judicature at Madras Dated : 19.8.2019 Coram : The Honourable Mr.Justice T.S.SIVAGNANAM and The Honourable Mrs.Justice V.BHAVANI SUBBAROYAN Tax Case Appeal No.17 of 2010 The Commissioner of Income Tax, Coimbatore ...Appellant/Respondent Vs Dr.R.A.Ganesan...Respondent/Appellant Prayer: APPEAL under Section 260A of the Income Tax Act, 1961against the order dated 11.1.2008 made in IT(SS)A.No.9/Mds/2005on the file of the Income Tax Appellate Tribunal, Chennai 'D'Bench for the block assessment period 1996-97 to 2002-03. andagainst the order of the commissioner of Income Tax(Appeals)-II,Coimbatore- dated 20.10.2004, made in IT.Appeals NO.155-C/03-01for the assessment year 1996-97 to 2002-03 (up to 6.3.02) andagainst the order of the Assistant Commissioner of Income Tax,Central Circle-IV, Coimbatore, dt.2.6.2003, for the Assessmentyear(S) 1996-97 to 2002-03( till 6.3.2002). For Appellant :Mr.T.R.Senthilkumar, SSC assisted by Ms.K.G.Usharani, SCFor Respondent:Mr.A.S.SriramanJudgment was delivered by T.S.Sivagnanam,J We have heard Mr.T.R.Senthilkumar, learned Senior StandingCounsel, assisted by Ms.K.G.Usharani, learned Standing Counselappearing for the appellant – Revenue and Mr.A.S.Sriraman,learned counsel appearing for the respondent – assessee. https://hcservices.ecourts.gov.in/hcservices/ 2. This appeal, filed by the Revenue under Section 260A ofthe Income Tax Act, 1961 is directed against the order dated11.1.2008 made in IT(SS)A.No.9/Mds/2005 on the file of theIncome Tax Appellate Tribunal, Chennai 'D' Bench for the blockassessment period 1996-97 to 2002-03. 3. The appeal was admitted on 18.1.2010 on the followingsubstantial questions of law : “i. Whether, on the facts and in thecircumstances of the case, the Income TaxAppellate Tribunal was right in entertainingthe issue relating to the non issuance ofwarrant for the first time when the assesseehas participated in the block assessmentproceedings and had not raised the saidissue before the Commissioner of Income Tax(Appeals) ? ii. Whether, on the facts and in thecircumstances of the case, the Tribunal wasright in deleting the addition made towardsmoney paid for the purchase of land eventhough this was proved statement recordedunder Section 132(4) of the Income Tax Act,1961? iii. Whether, on the facts and in thecircumstances of the case, the Tribunal wasright in deleting the addition made relatingto the unexplained credit of Rs.4.5 lakhswithout taking into consideration the creditworthiness of the lenders ? And iv. Whether, on the facts and in thecircumstances of the case, the Tribunal wasright in holding that the surcharge underSection 113 is not leviable on the groundthat the search in this case was held priorto 01.6.2002?” 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. The https://hcservices.ecourts.gov.in/hcservices/ substantial questions of law framed are 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 //True Copy// Sub Assistant Registrar 5. In the light of the said submissions, the above tax caseappeal is dismissed on account of the low tax effect. The https://hcservices.ecourts.gov.in/hcservices/ substantial questions of law framed are 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 //True Copy// Sub Assistant Registrar RS To1.The Income Tax Appellate Tribunal, Chennai 'D' Bench, Chennai.2.The Commissioner of Income Tax, (Appeals*II), Coimbatore.3.The Assistant Commissioner of Income Tax, Central Circle-IV, Coimbatore.+1cc to Mr.S.Sridhar, Advocate SR.70087+1cc to Mr.T.R.Senthilkumar, Advocate SR.70473TCA.No.17 of 2010MR(CO)CB(04/11/2019)