The Commissioner Of Income Taxchennai-34 v. J U D G M E N T

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 28.1.2020 CORAM THE HON'BLE DR.JUSTICE VINEET KOTHARIANDTHE HON'BLE MR.JUSTICE R.SURESH KUMAR Tax Case (Appeal) No.1181 of 2010 The Commissioner of Income TaxChennai-34. Appellant Vs. N.MurugesanRespondent Tax Case Appeal filed under Section 260A of the Income TaxAct, 1961 against the order of the Income Tax AppellateTribunal, 'B' Bench, Chennai, dated 25.11.2005 made in ITANo.687/Mds/2001 against the O/o Commissioner of Income Tax(Appeals) Chennai 34 and made in IT/WT/GT/Appeal No. 8/2000-2001dated 12.01.2001 and against the order of the Income TaxOfficer, City Ward CII(14) Chennai 34 made in PAN. No. 7513/Morder dated 28.03.2000 for the Assessment year 1997-98. For Appellant : Mr.M.Swaminathan Senior Standing Counsel assisted by Ms.V.PushpaFor Respondent : Mr.M.P.Senthilkumar for Mr.Philip George J U D G M E N T (Delivered by DR.VINEET KOTHARI,J) This Tax Case Appeal has been filed by the Revenue, callingin question the correctness of the order passed by the IncomeTax Appellate Tribunal, 'B' Bench, Chennai, dated 25.11.2005made in ITA No.687/Mds/2001, for the Assessment Year 1997-1998,by raising the following substantial question of law: "Whether in the facts and circumstances of the case,the Tribunal was right in holding that the additionon account of the bogus sundry creditors cannot besustained on the ground that the Assessing Officerhad not allowed the cross examination of the allegedcreditors?" 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effect is said to be lessthan the monetary limit imposed and therefore, the Appeal filedby the Revenue is dismissed, as withdrawn, keeping open thesubstantial question of law for determination in appropriatecases. No costs. s/d- Assistant Registrar(CS VI) True Copy Sub-Assistant Registrarssk.To1. Commissioner of Income Tax Chennai-34.2. Income Tax Appellate Tribunal, 'B' Bench, Chennai.3. The Income Tax officerCity Ward VII(14) Chennai 34.+1 CC to Mr.M.Swaminathan, Advocate sr 6542.+1 CC to M/s. Philp George, Advocate sr 5875. T.C.(A) No.1181 of 2010 RR(CO)SP(26/02/2020) https://hcservices.ecourts.gov.in/hcservices/