Commissioner Of Income Tax vs M/S.Serviont Global Solutions ...
2021 Latest Caselaw 12817 Mad

                                                      T.C.A.No.47 of 2010

           IN THE HIGH COURT OF JUDICATURE AT MADRAS

                        DATED : 30.06.2021

                              CORAM

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

                        T.C.A.No.47 of 2010

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


M/s.Serviont Global Solutions Ltd
No.12, Wallace Garden,
1st Street, Chennai – 600 034.                       ... 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 25.05.2009 in I.TA.No.1966/Mds/08, Assessment Year
2004-05.


      For Appellant     : Mr.J.Narayanasamy
                          Senior Standing Counsel

      For Respondent    : Mr.SP.Chidambaram




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                                                         T.C.A.No.47 of 2010




                             JUDGMENT

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

We have heard Mr.J.Narayanasamy, learned Senior Standing

Counsel for the appellant/Revenue and Mr.SP.Chidambaram, learned

counsel 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 25.05.2009 made in I.TA.No.1966/Mds/08 on the file of the

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

Tribunal) for the Assessment Year 2004-05.

3.The appeal was admitted on 01.02.2010 on the following

substantial questions of law:

“1.Whether on the facts and circumstances of the case, the Tribunal was right in holding that assessee is entitled for exemption under Section 10A?

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2. Whether on the facts and circumstances of the case, the Tribunal was right in allowing the deduction of advances not recovered under the head bad debt?”

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 questions of law framed are 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

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

                                              [M.D., J.]      [R.H., J.]
                                                    30.06.2021


Index : Yes/No
Internet : Yes
mkn


To

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

2.The Commissioner of Income Tax, Chennai.

Page 4/5 T.C.A.No.47 of 2010

M.DURAISWAMY, J.

and R. HEMALATHA, J.

mkn

T.C.A.No.47 of 2010

30.06.2021

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