The Commissioner Of Income Tax,Chennai v. M/S.beach Minerals Co. Pvt. Ltd.,'Bmc House'

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 22.08.2019 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal No.588 of 2013 The Commissioner of Income tax,Chennai... Appellant/Appellant -vs- M/s.Beach Minerals Co. Pvt. Ltd.,'BMC House',32/2, Halls Road, Egmore, Chennai... Respondent/RespondentAppeal under Section 260A of the Income-tax Act, 1961,against the order dated 18.05.2012, on the file of the Income-taxAppellateTribunal'A'Bench,ChennaiinI.T.A.No.602/Mds/2012 for the assessment year 2006-07 againstthe Order of the Commissioner of Income Tax (Appeals)III,Chennai -34, made in ITA No.669/2010-11/A-111,dated 17.12.2011against the Order of the Assistant Commissioner of Income Tax,Company Circle (1) (2), Chennai -34, made in GIR/PAN AADCB450D,dated 28.12.2010 Assessment Year 2006-07. For Appellant:Mr.T.Ravikumar,Senior Standing Counsel & This appeal filed by the appellant/Revenue under Section 260Aof the Income-tax Act, 1961, is directed against the order dated18.05.2012, passed by the Income-tax Appellate Tribunal 'A'Bench, Chennai in I.T.A.No.602/Mds/2012 for the assessment year2006-07. https://hcservices.ecourts.gov.in/hcservices/ 2.The above appeal was admitted, on 10.02.2014, on thefollowing substantial question of law:-“Whether on the facts and in the circumstancesof the case, the Income Tax Appellate Tribunal wasright in holding that the expenditure in foreignexchange on shipment expenses, ship freight,insurance terminal handling charges, which areexcluded from the export turnover, is to be alsoexcluded from the total turnover for the purposeof computation of deduction u/s.10B?” 3.Heard Mr.T.Ravi Kumar and Ms.R.Hemalatha, learned SeniorStanding Counsel for the appellant and Mr.G.Baskar, learnedcounsel for the respondent. 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.17/2019,dated 08.08.2019 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. Thesubstantial question of law framed is 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. abr Sd/- Assistant Registrar(CS VI) //True Copy// To Sub Assistant Registrar 1.The Assistant Commissioner of Income Tax, Company Circle I(2), Chennai-34. 2.The Commissioner of Income Tax (Appeals)-III, 121, Mahatma Gandhi Road, Chennai-600 034. 121, Mahatma Gandhi Road, Chennai-600 034. 3.The Income-tax Appellate Tribunal 'A' Bench, Chennai. +1cc to M/s.Sree Lakshmivalli, Advocate, SR.No.72273 +1cc to Mr.T.Ravi Kumar, Advocate, SR.No.71818 T.C.A.No.588 of 2013 Kak(16/10/2019)