The Commissioner Of Income Tax, Madurai v. M/S.kadayanallur Cholia Brahmanamahajana Trust, Kadayanallur,Tirunelveli District

In the High Court of Judicature at Madras Coram : The Honourable Mr.Justice T.S.SIVAGNANAM and The Honourable Mr.Justice N.SATHISH KUMAR Tax Case Appeal No.636 of 2011 The Commissioner of Income Tax, Madurai ... Appellant Vs M/s.Kadayanallur Cholia BrahmanaMahajana Trust, Kadayanallur,Tirunelveli District.... Respondent APPEAL under Section 260A of the Income Tax Act, 1961against the order dated 27.6.2011 in ITA No.183/Mds/2011 on thefile of the Income Tax Appellate Tribunal Madras 'B' Bench forthe assessment year 2005-06 against the order of theCommissioner of Income Tax under Section 12AA(1)(6)(ii)r.w.s.254 of the Income Tax Act 1961, dated 27.03.2009 inC.No.101/237/CIT/II/2005-06.For Appellant : Mr.J.Narayanasamy, SSCFor Respondent :Mr.A.S.Sriraman for Mr.S.Sridhar Judgment was delivered by T.S.SIVAGNANAM,J Heard the learned Standing Counsel for the appellant. 2. This appeal by the Revenue challenges the order passed bythe Income Tax Appellate Tribunal, which decided the issue infavour of the assessee. The appeal was admitted on 07.2.2012 onthe following substantial questions of law : “i. Whether, on the facts and in thecircumstances of the case, the Income TaxAppellate Tribunal was right in law insetting aside the order of the Commissionerof Income Tax and direct the Commissioner of https://hcservices.ecourts.gov.in/hcservices/ Income Tax to grant registration underSection 12AA of the Income Tax Act to theassessee valid in law ? And ii. Whether, on the facts and in thecircumstances of the case, the Income TaxAppellate Tribunal was right in law indismissing the appeal filed by the Revenueeven though the order of the Tribunal wasbrought into notice before the Commissionerof Income Tax (Appeals), and the Tribunalnot considered or remitted back to theCommissioner of Income Tax (Appeals) forfresh consideration ?” 3. The Revenue seeks to withdraw this appeal on account oflow tax effect in terms of Circular No.3 of 2018 dated 11.7.2018issued by the Central Board of Direct Taxes. 4. In the light of the above, the appeal is dismissed aswithdrawn and the substantial questions of law framed are leftopen. In the event the tax effect is above the threshold limitfixed in the said circular under exceptional clauses mentionedin the circular, liberty is granted to the Revenue to make amention to this Court to restore the appeal to be heard anddecided on merits. No costs. Sd/- Assistant Registrar(CO) //True Copy// Sub Assistant Registrar RS To 1. The Income Tax Appellate Tribunal, Madras 'B' Bench. 2. The Commissioner of Income Tax-II, Madurai. +1 cc to Mr.J.Narayanaswamy, Advocate Sr.No.146 +1 cc to Mr.S.Sridhar, Advocate Sr.No.357 PPA(CO)CSL/31.01.2019 TCA.No.636 of 2011