The Commissioner Of Income Tax,Chennai v. M/S.gem Granites (Karnataka)18A, Rajamannar Street, T.nagar,Chennai - 600 017

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 27.08.2019 CORAM : THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMAND THE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN Tax Case Appeal No.761 of 2015 The Commissioner of Income Tax,Chennai....Appellant Vs M/s.Gem Granites (Karnataka)#18A, Rajamannar Street, T.Nagar,Chennai - 600 017.PAN: ...Respondent APPEAL under Section 260A of the Income Tax Act, 1961 againstthe order dated 25.03.2015 made in ITA.No.789/MDS/2014 on thefile of the Income Tax Appellate Tribunal, Chennai 'A' Bench forthe assessment year 1995-96 against the Order of theCommissioner of Income Tax (Appeals) Central -I, Chennai, dated24.12.13 made in ITA No.147/2013-14 for the Assessment Year1995-96 against the Order of the Assistant Commissioner ofIncome Tax (Appeals), Circle I, Chennai , dated 31.01.13 in PANAAAFG0 5140/1995-96 against the Order of the Commissioner ofIncome Tax (Appeals)-V, Chennai dated 11.07.12 made in ITANo.586/10-11 for the Assessment Year 1995 - 96 against the Orderof the Deputy Commissioner of Income Tax Circle-I, Chennai,dated 20.12.2006 in PA/GINo.21379-G/AAAFG0514 D in theAssessment Year 1995-96. We have heard Mr.T.Ravikumar, learned Senior StandingCounsel, and Ms.R.Hemalatha, learned Senior Standing Counselappearing for the appellant/revenue. https://hcservices.ecourts.gov.in/hcservices/ the Income Tax Act, 1961 is directed against the order dated25.03.2015 made in ITA.No.789/MDS/2014 on the file of the IncomeTax Appellate Tribunal, Chennai 'A' Bench for the assessmentyear 1995-96. 3.The appeal was admitted on 15.09.2015 on the followingsubstantial questions of law :"(i) Whether on the facts and circumstances ofthe case, the Tribunal was right in deleting thepenalty levied under Section 271(1)(c)? and (ii) Is not the finding of the Tribunal bad bydeleting the penalty levied, as the assessee hadfiled inaccurate particulars of income withouttaking into account the provisions of Section 40A(3) of the Income Tax Act" 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. Thesubstantial 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.cse Sd/- Assistant Registrar //True Copy// Sub Assistant Registrar To 1. The Income Tax Appellate Tribunal, Chennai 'A' Bench, Besant Nagar, Chennai. 2. The Commissioner of Income Tax,Appeals(Central) - I, Chennai - 34. 3. The Commissioner of Income Tax, (Appeals-VI), Chennai. 4. The Assistant Commissioner of Income Tax Circle-I, Chennai.Income Tax Circle-I, Chennai. 5. The Commissioner of Income Tax, Chennai.Chennai. +1cc to Mr.T.Ravi Kumar, Advocate, SR.No.73344 Kak(07/11/2019) TCA.No.761 of 2015