Madras High Court
Principal Commissioner Of Income ... vs M/S. Secova E-Services Ltd on 18 August, 2022
T.C.A.No.596 of 2017
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 18.08.2022
CORAM :
THE HONOURABLE MR. JUSTICE R. MAHADEVAN
AND
THE HONOURABLE MR. JUSTICE MOHAMMED SHAFFIQ
T.C.A.No.596 of 2017
Principal Commissioner of Income Tax 6,
No.121, Nungambakkam High Road,
Chennai 600 034. ... Appellant
Versus
M/s. Secova E-Services Ltd.,
Merdian House, No.121/3,
1st Floor, Manickam Avenue,
TTK Road, Alwarpet,
Chennai - 600 018.
PAN: AAH CS 3174 R ... Respondent
Appeal preferred under Section 260A of the Income Tax Act, 1961,
against the order dated 15.03.2017 passed by the Income Tax Appellate
Tribunal, “B” Bench, Chennai, in I.T.A.No.2740/Mds/2016.
For Appellant : Mr.J.Narayanaswamy
Senior Standing Counsel
For Respondent : Mr.R.Venkatanarayanan
for M/s. Subbaraya Aiyar
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T.C.A.No.596 of 2017
JUDGMENT
(Judgment of the Court was delivered by R.MAHADEVAN, J.)
This tax case appeal has been filed by the appellant / Revenue,
challenging the order dated 15.03.2017 passed by the Income Tax Appellate
Tribunal, “B” Bench, Chennai, in I.T.A.No.2740/Mds/2016, relating to the
assessment year 2009-10.
2.By order dated 07.12.2017, this court admitted the aforesaid tax case
appeal on the following substantial questions of law:
“(i) Whether the Tribunal was justified in holding that
deduction under Section 10A or 10AA of the Income Tax Act should
first be excluded from the profits of the year, before set off or
brought forward unabsorbed depreciation pertaining to the said
unit?
(ii) Whether the Tribunal erred in not following the decision
in CIT vs Himatasingike Seide Ltd. (Kar) 286 ITR 255 which was
upheld by the Hon'ble Supreme Court in 48 taxmann.com 357 (SC)?
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T.C.A.No.596 of 2017
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.)
18.08.2022
Internet : Yes
Index : Yes / No
av
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T.C.A.No.596 of 2017
R. MAHADEVAN, J.
and
MOHAMMED SHAFFIQ, J.
av
To
1. The Income Tax Appellate Tribunal,
“B” Bench, Chennai.
2. The Principal Commissioner of Income Tax 6,
No.121, Nungambakkam High Road,
Chennai 600 034.
3. The Deputy Commissioner of Income-tax,
Corporate Circle- 6(1),
Aayakar Bhavan, New Block, 7th Floor,
121, M.G.Road, Chennai 600 034.
4. The Commissioner of Income Tax (Appeals)-15,
Chennai.
T.C.A.No.596 of 2017
18.08.2022
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