Madras High Court
Commissioner Of Income Tax vs Smt. T. Manjula on 21 June, 2021
T.C.A.Nos. 894 & 895 of 2013
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATE: 21.06.2021
CORAM:
THE HON'BLE MR. JUSTICE M.DURAISWAMY
AND
THE HON'BLE MRS.JUSTICE R.HEMALATHA
T.C.A.Nos.894 & 895 of 2013
Commissioner of Income Tax,
Trichy .. Appellant in both TCAs
v.
Smt. T. Manjula,
21, Vaduvood Middle street,
Thillai Nagar,
Tiruchy – 620 018. ... Respondent in both TCAs
T.C.A. No.894 /2012 : Appeal preferred under Section 260A of the
Income Tax Act, 1961, against the order of the Income Tax Appellate
Tribunal, Madras, "A" Bench, dated 05.04.2013 in
ITA.No.1705/Mds/2012 for the Assessment Year 2005-2006.
T.C.A. No.895/2012 : Appeal preferred under Section 260A of the
Income Tax Act, 1961, against the order of the Income Tax Appellate
Tribunal, Madras, "A" Bench, dated 05.04.2013 in
ITA.No.1706/Mds/2012 for the Assessment Year 2006-2007.
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T.C.A.Nos. 894 & 895 of 2013
For Appellant : Ms. V. Pushpa
(in both TCAs) Standing Counsel
For Respondents : M. Kaushik
(in both TCAs)
COMMON JUDGMENT
(Judgment was delivered by M. DURAISWAMY, J.)
We have heard Ms. V. Pushpa, learned Standing Counsel for the
appellant/Revenue and M. Kaushik, learned counsel for the
respondent/assessee.
2. These appeals, filed by the Revenue under Section 260A of the
Income Tax Act, 1961 (for short, the Act) are directed against the order
dated 05.04.2013 made respectively in ITA.Nos.1705/Mds/2012 &
1706/Mds/2012 on the file of the Income Tax Appellate Tribunal,
Chennai, ''C'' Bench (for brevity, the Tribunal) for the Assessment Years
2005-2006 and 2006-2007.
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T.C.A.Nos. 894 & 895 of 2013
3. The appeals were admitted on the following substantial
questions of law:
“ (i) Whether on and facts and in the
circumstances of the case, the Tribunal was right In
holding that the gross profit rate is to be fixed at
10.5% as against 12.5% fixed by the assessing
officer? ?
(ii) Whether on and facts and in the
circumstances of the case, the Tribunal was right in
holding that individual payments cannot be
aggregated even if they are paid on the same day and
thereby deleting the disallowance under Section
40A3?
(iii) Whether on and facts and in the
circumstances of the case, the Tribunal was right in
deleting the disallowance made under Section 40A3
on the ground that said disallowance cannot be made
where the assessing officer had estimated the gross
profit?”
4. The learned Standing Counsel appearing for the appellant
submits that the above appeals are 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
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T.C.A.Nos. 894 & 895 of 2013
the tax effect in this case is less than the threshold limit.
5. In the light of the said submissions, the above Tax Case Appeals
are dismissed on account of the Low Tax Effect. The substantial
questions of law framed are left open. In the event the tax effect in all
these cases are 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 appeals to be heard and decided on merits. No costs.
[M.D., J.] [R.H., J.]
Index : Yes/No 21.06.2021
Internet : Yes
Rj
To
The Income Tax Appellate Tribunal,
Chennai,"A" Bench
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T.C.A.Nos. 894 & 895 of 2013
M. DURAISWAMY, J.
and
R.HEMALATHA,J
Rj
T.C.A.Nos. 894 & 895 of 2013
21.06.2021
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