Commissioner Of Income Tax vs M/S.Sengamala Thayar ...
2021 Latest Caselaw 17338 Mad

                                                                              T.C.A.No.960 of 2013

                                   IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                DATED : 24.08.2021

                                                     CORAM :

                                   THE HON'BLE MR. JUSTICE T.S. SIVAGNANAM
                                                       AND
                   THE HON'BLE MR. JUSTICE SATHI KUMAR SUKUMARA KURUP

                                               T.C.A.No.960 of 2013

                  Commissioner of Income Tax,
                  Central Circle,
                  Chennai.                                                ... Appellant
                                                         Vs.

                  M/s.Sengamala Thayar Educational Trust,
                  No.1, Main Road,
                  Sundarakottai Post,
                  Mannargudi.                                             ... Respondent

                            Appeal preferred under Section 260A of the Income Tax Act, 1961,
                  against the order of the Income Tax Appellate Tribunal, Madras, “C” Bench,
                  dated 04.04.2013 in I.T.A.No.1742/Mds/2010, Assessment Year 1999-2000.

                            For Appellant     : Mr.T.R.Senthil Kumar
                                                Senior Standing Counsel
                                                and Mrs.K.G.Usha Rani
                                                Standing Counsel

                            For Respondent    : Mr.T.Vasudevan



                  Page 1/5
https://www.mhc.tn.gov.in/judis/
                                                                                  T.C.A.No.960 of 2013

                                                   JUDGMENT

(Judgment was delivered by T.S. SIVAGNANAM, J.) We have heard Mr.T.R.Senthil Kumar, learned Senior Standing

Counsel and Mrs.K.G.Usha Rani, learned Standing Counsel for the

appellant/Revenue and Mr.T.Vasudevan, learned counsel for the

respondent/assessee.

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

Tax Act, 1961 (“the Act” for brevity) is directed against the order dated

04.04.2013 made in I.T.A.No.1742/Mds/2010 on the file of the Income Tax

Appellate Tribunal, Chennai, “C” Bench (“the Tribunal” for brevity) for the

Assessment Year 1999-2000.

3.The appeal was admitted on 13.02.2014 on the following substantial

question of law:

“Whether on the facts and circumstances of the case, the Income Tax Appellate Tribunal is right in confirming the earning of huge agricultural income based on certificate for mere ownership of land without verifying the genuineness of the agricultural operations, detailed accounts and vouchers?”

Page 2/5 https://www.mhc.tn.gov.in/judis/ T.C.A.No.960 of 2013

4.The learned Senior Standing Counsel 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, 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.

                                                                     (T.S.S., J.)      (S.S.K., J.)
                                                                             24.08.2021
                  mkn                                                            (3/4)



                  Page 3/5

https://www.mhc.tn.gov.in/judis/ T.C.A.No.960 of 2013

Internet : Yes Index : Yes / No

To

1.The Income Tax Appellate Tribunal, Chennai, “C” Bench

2.The Commissioner of Income Tax, Central Circle, Chennai.

Page 4/5 https://www.mhc.tn.gov.in/judis/ T.C.A.No.960 of 2013

T.S. SIVAGNANAM, J.

and SATHI KUMAR SUKUMARA KURUP, J.

mkn

T.C.A.No.960 of 2013

24.08.2021 (3/4)

Page 5/5 https://www.mhc.tn.gov.in/judis/