Madras High Court
Commissioner Of Income Tax Iv vs M/S. L&T Housing Finance Ltd on 1 September, 2021
T.C.A.No.378 of 2016
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 01.09.2021
CORAM :
THE HON'BLE MR. JUSTICE T.S. SIVAGNANAM
AND
THE HON'BLE MR. JUSTICE SATHI KUMAR SUKUMARA KURUP
T.C.A.No.378 of 2016
Commissioner of Income Tax IV,
No.121, Nungambakkam High Road,
Chennai-600 034. ... Appellant
Vs.
M/s. L&T Housing Finance Ltd.
(formerly knows as Indo Pacific Housing
Finance Ltd.)
Unit No.205 & 206, 2nd Floor,
Capital Towers, Kodambakkam High Road,
Nungambakkam, Chennai-600 034.
PAN: AAA CW 1328 G ... Respondent
Appeal filed under Section 260A of the Income Tax Act, 1961, against
the order of the Income Tax Appellate Tribunal, Madras 'D' Bench dated
31.07.2015 in ITA No.313/Mds/2013.
For Appellant : Mr.Karthik Ranganathan
Senior Standing Counsel
For Respondent : Mr.Sandeep Bagmar
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T.C.A.No.378 of 2016
JUDGMENT
(Judgment was delivered by T.S. SIVAGNANAM, J.)
We have heard Mr.Karthik Ranganathan, learned Senior Standing
Counsel for the appellant/Revenue and Mr.Sandeep Bagmar, learned counsel
for the respondent/assessee.
2.The appeal, filed under Section 260A of the Income Tax Act, 1961,
against the order of the Income Tax Appellate Tribunal, Madras 'D' Bench
dated 31.07.2015 in ITA No.313/Mds/2013.
3.The appeal was admitted on 07.06.2016 on the following substantial
question of law:
“Whether on the facts and in the circumstances of the
case and in law, the Appellate Tribunal was correct in
holding that Rule 8D has no retrospective effect and
therefore, it cannot be applied for the assessment year 2007
- 08 when disallowance under Section 14A shall be made in
accordance with the method prescribed under Rule 8D and
the provisions of Rule 8D and the provisions of Rule 8D are
procedural in nature?"
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T.C.A.No.378 of 2016
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 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.)
01.09.2021
Internet : Yes
Index : Yes / No
Sgl/mka
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T.C.A.No.378 of 2016
T.S. SIVAGNANAM, J.
and
SATHI KUMAR SUKUMARA KURUP, J.
Sgl/mka
To
The Income Tax Appellate Tribunal,
Maras, “D” Bench.
T.C.A.No.378 of 2016
(2/2)
01.09.2021
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