Madras High Court
Commissioner Of Income Tax -Ltu vs M/S.Royal Sundaram Alliance on 30 November, 2021
T.C.A.No.1343 of 2010
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 30.11.2021
CORAM :
THE HON'BLE MR. JUSTICE R. MAHADEVAN
AND
THE HON'BLE MR. JUSTICE MOHAMMED SHAFFIQ
T.C.A.No.1343 of 2010
Commissioner of Income Tax -LTU
Chennai. ... Appellant
Versus
M/s.Royal Sundaram Alliance
Insurance Company Ltd.,
21, Pattullos Road,
Chennai - 600 002. ...
Respondent
Appeal preferred under Section 260A of the Income Tax Act, 1961,
against the order of the Income Tax Appellate Tribunal, Chennai, “D” Bench,
dated 05.03.2010 in I.TA.No.847/Mds/2008.
For Appellant : Mr.T.Ravikumar
For Respondent : Mr.R.Vijayaraghavan
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T.C.A.No.1343 of 2010
JUDGMENT
(Judgment was delivered by R.MAHADEVAN, J.)
This tax case appeal has been filed by the appellant / Revenue,
challenging the order dated 05.03.2010 passed by the Income Tax Appellate
Tribunal, Bench 'D', Chennai, in I.T.A.No.847/Mds/2008, relating to the
assessment year 2002-03.
2.By order dated 15.02.2011, this court admitted the aforesaid tax case
appeal on the following substantial question of law:
“Whether on the facts and in the circumstances of the
case, the Income Tax Appellate Tribunal was right in holding
that the assessee was right in excluding the profit on sale of
investments for purposes of Income Tax Assessment relying
only on the omission of Rule 5(b) of the First Schedule to the
Income Tax Act w.e.f. 01.04.1989 without considering the
other relevant legal provisions and without appreciating that
there were no provisions under the statute to exclude such
profits from the Profit and Loss Account submitted to the
Controller of Insurance ?"
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T.C.A.No.1343 of 2010
3.When the matter was taken up for consideration, the learned counsel
for the appellant / Revenue brought to the notice of this court the Circular
No.17/2019 dated 08.08.2019 issued by the Central Board Direct Taxes,
wherein, it is stipulated that appeal shall not be filed/pursued by the
Department before the High Court in cases where the tax effect does not
exceed Rs.1,00,00,000/- (Rupees One Crore). It is also submitted that the tax
effect in this appeal is less than the threshold limit.
4.In the light of the aforesaid submissions made by the learned counsel
for the appellant / Revenue, the present appeal, wherein, the tax effect is said
to be less than the monetary limit imposed, is dismissed as withdrawn,
keeping open the substantial question of law for determination in an
appropriate case. No costs.
(R.M.D., J.) (M.S.Q., J.)
30.11.2021
av
Internet : Yes
Index : Yes / No
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T.C.A.No.1343 of 2010
R. MAHADEVAN, J.
and
MOHAMMED SHAFFIQ, J.
av
To
1. The Commissioner of Income Tax - LTU,
Chennai.
2.The Income Tax Appellate Tribunal,
Chennai, “D” Bench.
3. The Deputy Commissioner of Income Tax
Larger Taxpayer Unit, Chennai.
T.C.A.No.1343 of 2010
30.11.2021
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