Commissioner Of Income Tax vs M/S.Crest Point Consultants Pvt. ...
2022 Latest Caselaw 14716 Mad

                                                                                   TCA.No.702 of 2015


                                   IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                 DATED : 22.08.2022

                                                        CORAM

                                  THE HONOURABLE MR. JUSTICE R. MAHADEVAN
                                                         and
                         THE HONOURABLE MR. JUSTICE MOHAMMED SHAFFIQ


                                                 T.C.A.No. 702 of 2015

                Commissioner of Income Tax,
                Coimbatore                                                    ..      Appellant
                                                        Versus

                M/s.Crest Point Consultants Pvt. Ltd.,
                New No.7, Old No.4,
                Dhandayuthapani Nagar 1st Street,
                Kotturpuram, Chennai - 600 085.                                .. Respondent
                 (PAN No.AABC2474R)

                          Tax Case Appeal filed under Section 260-A of the Income Tax Act,
                1961 against the order of the Income Tax Appellate Tribunal Madras “B” Bench,
                Chennai, dated 20.2.2015 passed in I.T.A.No.1140/Mds/2014 in respect of
                assessment year 2007-08.


                                        For Appellant   : M/s.T. Ravikumar
                                                          Standing Counsel




                1/4

https://www.mhc.tn.gov.in/judis
                                                                                            TCA.No.702 of 2015




                                                          JUDGMENT

(Judgment of the Court was delivered by R. MAHADEVAN, J.)

This Tax Case Appeal has been filed by the appellant / revenue,

questioning the correctness of the order dated 20.02.2015 passed by the

Income Tax Appellate Tribunal Madras “B” Bench, Chennai, in

I.T.A.No.1140/Mds/2014 for the assessment year 2007-08.

2. On 10.08.2015, this tax case appeal is admitted by this Court on the

following substantial questions of law;

' 1. Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the disallowance made under section 40(a)(ia) is not warranted, if the payment is made within the accounting year? And

2. Is not the finding of the Tribunal bad by holding that the Second Proviso to Section 40(a)(ia) is retrospective in operation?”

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 appeals shall not be filed/pursued by the Department

https://www.mhc.tn.gov.in/judis TCA.No.702 of 2015

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 questions of law for determination in an appropriate case.

No costs.

                                                                   [R.M.D,J.]      [M.S.Q., J.]
                                                                          22.08.2022
                msr
                Index        : Yes / No

                To

1. The Assistant Commissioner of Income Tax, Company Circle- I(3), Chennai-34.

2. The Commissioner of Income Tax (A)(C)-II, Chennai

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

R. MAHADEVAN, J.

and

https://www.mhc.tn.gov.in/judis TCA.No.702 of 2015

MOHAMMED SHAFFIQ, J.

msr

T.C.A.No. 702 of 2015

22.08.2022

https://www.mhc.tn.gov.in/judis