The Commissioner Of Income Tax,Circle Xiv, Chennai v. Sri.a.g.ulaganathan

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED : 28.11.2018 CORAM :THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAMandTHE HONOURABLE MR.JUSTICE N.SATHISH KUMAR Tax Case Appeal No.175 of 2011 The Commissioner of Income Tax,Circle XIV, Chennai..... Appellant -vs- Sri.A.G.Ulaganathan,48, Pulla Avenue 2[nd] Street,Shenay Nagar, Chennai – 34. ... Respondent Tax Case Appeal filed under Section 260A of the Income TaxAct,1961 (for brevity 'the Act') against the order of the IncomeTax Appellate Tribunal Chennai 'D' Bench, dated 27.10.2010 inI.T.A.No. 692/Mds/10, for the Assessment year 1997-98 againstthe order dated 31.03.2010 made in C.No.10113/8/CIT-X/2009-10 bythe Commissioner of Income Tax, Chennai-X, Chennai against theorder made in PAN No. /AY97-98 dated 21.09.07 by theAssistant Commissioner of Income Tax, Circle XIV, Nungambakkam,Chennai-34. For Appellant: M/s.V.PushpaFor Respondent : Mr.M.P.Senthil Kumar JUDGMENT[Judgement of the Court was delivered by T.S.Sivagnanam, J.] This Tax Case Appeal by the Revenue is filed underSection 260A of the Income Tax Act, 1961 against the order ofthe Income Tax Appellate Tribunal Chennai 'D' Bench, dated27.10.2010 in ITA No.692/Mds/10, for the Assessment year 1997-98.2.Heard Mrs.V.Pusha, learned Counsel for theappellant/Revenue and Mr.M.P.Senthil Kumar, learned Counsel forthe Respondent/assessee. 3.This Appeal has been admitted on 07.06.2011, on thefollowing Substantial Question of Law: "Whether in the facts and circumstances ofthe case, the Income Tax Appellate Tribunal wasright in not considering that the Assessing https://hcservices.ecourts.gov.in/hcservices/ Officer has exceeded the scope off his power ofrectification under Section 154 of the IncomeTax Act?” 4.We have perused the order of Assessment as well as theOrder passed by the Commissioner of Income Tax and we find thatthe tax effect in this appeal is lesser than the threshold limitmentioned in Circular No.3 of 2018, dated 11.07.2018, issued bythe Central Board of Direct Taxes, which fixes the monetarylimit as Rs.50,00,000/- for the Department to pursue the matter.Furthermore, the Revenue has not been able to point out anydistinguishing features, by which the Circular No.3 of 2018,dated 11.07.2018, cannot be applied. 5.Thus, for the above reasons, the Revenue cannot pursuethis Appeal in view of the low tax effect. Hence, the Appeal isdismissed and the Substantial Questions of Law, framed forconsideration, are left open. No costs. The Revenue is atliberty to seek for restoration of appeal, if at a later pointof time, it is found that the tax effect is above the thresholdlimit. Sd/- Assistant Registrar //True Copy// mrm Sub Assistant Registrar To 1.The Income Tax Appellate Tribunal Madras 'D' Bench. 2.The Commissioner of Income Tax, 3.The Assistant Commissioner of Income Tax,Circle -XIV, Chennai. +1cc to Mr.M.Swaminathan, Advocate, S.R.No.81321 +1cc to Mr.Philip George, Advocate, S.R.No.81253 RGN(CO) rrs 31/01/2019