The Principal Commissioner Of ... vs M/S. Island Hotels Maharaj Ltd
2021 Latest Caselaw 10953 Mad

                                                                         T.C.A.No.288 of 2021 1

                              IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                DATE: 28.04.2021

                                                    CORAM:

                                   THE HON'BLE MR. JUSTICE M.DURAISWAMY
                                                    AND
                                   THE HON'BLE MRS.JUSTICE R.HEMALATHA

                                               T.C.A.No.288 of 2021


                     The Principal Commissioner of Income Tax,
                     Corporate Circle - 2(1),
                     Chennai - 34.                                            ... Appellant


                                                        v.


                     M/s. Island Hotels Maharaj Ltd.,
                     [Successor-EIH Associated Hotels Ltd.,]
                     1/24, GST Road, Meenambakkam,
                     Chennai - 600 027
                     PAN : AAACI 81573M                                    ... Respondent

                               Appeal preferred under Section 260A of the Income Tax Act,
                     1961, against the order of the Income Tax Appellate Tribunal, Madras,
                     "B" Bench, dated 31.10.2017 in ITA.No.2993/Mds/2016 for the
                     Assessment Year 2010-2011.




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                                                                             T.C.A.No.288 of 2021 1




                               For Appellant    : Mr. Karthik Ranganathan,
                                                  Senior Standing Counsel

                               For Respondent   : Mr.N.V. Balaji


                                                    JUDGMENT

(Judgment was delivered by M. DURAISWAMY, J.)

We have heard Mr. Karthik Ranganathan, learned Senior Standing

Counsel for the appellant/Revenue and Mr.N.V. Balaji, learned counsel

appearing for the respondent/assessee.

2. The appeal, filed by the Revenue under Section 260A of the

Income Tax Act, 1961 (for short, the Act) is directed against the order

dated 31.10.2017 made in ITA.No.2993/Mds/2016 on the file of the

Income Tax Appellate Tribunal, Chennai, "B" Bench (for brevity, the

Tribunal) for the Assessment Year 2010-2011.

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3. The appellant has raised the following substantial question of

law in the above appeal:-

“ Whether on the facts and in the circumstances of the case and in law the Hon'ble ITAT is correct and in law in holding that unabsorbed depreciation relating to AY 1997-98 to 2001-02 can be carry forward beyond eight years?

4. The learned Senior Standing Counsel appearing for the

appellant submits that the above appeal is not pursued by the Revenue on

account of the Low Tax Effect in terms of Circular No.17/2019 dated

08.08.2019 issued by the Central Board of Direct Taxes. By the said

Circular, the monetary limit for filing or pursuing an appeal before the

High Court has been increased to Rs.1 crore. It is further submitted that

the tax effect in this case is less than the threshold limit.

5.In the light of the said submissions, the above Tax Case Appeal

is dismissed as withdrawn on account of the Low Tax Effect. The

substantial question of law framed is left open. In the event the tax

effect in this case is above the threshold limit fixed in the said Circular,

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liberty is granted to the Revenue to make a mention to this Court to

restore the appeal to be heard and decided on merits. No costs.

Consequently, the connected Miscellaneous Petition is closed.

                                                                  [M.D., J.]    [R.H., J.]
                     Index         : Yes/No                              28.04.2021
                     Internet : Yes
                     Rj

                     To

The Income Tax Appellate Tribunal, Chennai,"B" Bench

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M. DURAISWAMY, J.

and R.HEMALATHA,J

Rj

T.C.A.No.288 of 2021

28.04.2021

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