The Commissioner Of Income Tax Iv v. M/S. Mamallan Educational Trust

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 15.03.2022 CORAM : THE HONOURABLE MR. JUSTICE R. MAHADEVANANDTHE HONOURABLE MR. JUSTICE J.SATHYA NARAYANA PRASAD TCA.NO.310 OF 2012 The Commissioner of Income Tax IV, 121, M.G.Road, Chennai 600 034. ... Appellant/Appellant Vs M/s. Mamallan Educational Trust, No.29, Ganapathy Street, Royapettah, Chennai 600 014. ... Respondent/ Respondent Appeal preferred under Section 260A of the Income Tax Act,1961, against the order of the Income Tax Appellate Tribunal,“B” Bench, Chennai, dated 10.05.2012 in I.TA.No.456/Mds/2012. Against the order of the Commissioner of Income Tax(Appeals)-1, Chennai, dated 08.12.2011 and made inITA.No.249/2008-2009 for the assessment year 2007-2008 andagainst the order of the Deputy Commissioner of Income Tax,Central Circle-1(3), Chennai, dated 30.12.2008 and made inPA/GI.No.AABTM1887E for the assessment year 2007-2008. For Appellant For Respondent : Mr.J.NarayanaswamySenior Standing Counsel: Mr.R.Natarajan JUDGMENT (Judgment of the Court was delivered by R.MAHADEVAN, J.) This tax case appeal has been filed by the appellant /Revenue, challenging the order dated 10.05.2012 passed by theIncome Tax Appellate Tribunal, 'B' Bench, Chennai, inI.T.A.No.456/Mds/2012, relating to the assessment year 2007-2008. 2. By order dated 19.10.2012, this court admitted theaforesaid tax case appeal on the following substantial questionsof law: “(i) Whether on the facts and in thecircumstances of the case, the Tribunal was right inholding that advance of Rs.77,93,000/- toM/s.Sivaraja Ramalinga Trust is not hit by Section 13(1) (c) read with Section 13(3) of the Income TaxAct? (ii) Whether on the facts and in thecircumstances of the case, the Tribunal was right inholding that M/s.Sivaraja Ramalinga Trust is not aconcern mentioned in clause (e) of sub-section (3) ofSection 13 of the Income Tax Act?" 3.When the matter was taken up for consideration, thelearned counsel for the appellant / Revenue brought to thenotice of this court the Circular No.17/2019 dated 08.08.2019issued by the Central Board Direct Taxes, wherein, it isstipulated that appeal shall not be filed/pursued by theDepartment before the High Court in cases where the tax effectdoes not exceed Rs.1,00,00,000/- (Rupees One Crore). It is alsosubmitted that the tax effect in this appeal is less than thethreshold limit. 4.In the light of the aforesaid submissions made by thelearned counsel for the appellant / Revenue, the present appeal,wherein, the tax effect is said to be less than the monetarylimit imposed, is dismissed as withdrawn, keeping open thesubstantial questions of law for determination in an appropriatecase. No costs. Sd/- Assistant Registrar(CS VIII) //True Copy// av Sub Assistant Registrar To 1. The Income Tax Appellate Tribunal, “B” Bench, Chennai, “B” Bench, Chennai, 2. The Commissioner of Income Tax IV, 121, M.G.Road, Chennai 600 034. 121, M.G.Road, Chennai 600 034. 3. The Assistant Commissioner of Income Tax, Central Circle I (3), Chennai - 600 034. Central Circle I (3), Chennai - 600 034. 4. The Commissioner of Income Tax (Appeals), Chennai. Chennai. 5. The Deputy Commissioner of Income Tax,Central Circle I (3), Chennai.Central Circle I (3), Chennai. TCA.No.310 of 2012 SSD(CO)PM/05/04/2022