THE COMMISSIONER, vs. M/S.CAUVERY STONE IMPEX PVT

TCA.No.113 of 2018 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. 113 of 2018 The Commissioner of Income Tax, Chennai

.. Appellant Versus M/s.Cauvery Stone Impex Pvt. Ltd. No.8, 2nd Street, Ganapathy Colony, Chennai 600 086.

.. Respondent Tax Case Appeal filed under Section 260-A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal Madras “A” Bench, Chennai, dated 07.06.2017 passed in ITA.No.811/Mds/2017 in respect of Assessment Year 2011-12. For Appellant : Mr. T. Ravikumar Standing Counsel For Respondent : Mr. Philip George 1/4 https://www.mhc.tn.gov.in/judis TCA.No.113 of 2018 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 07.06.2017 passed by the Income Tax Appellate Tribunal Madras “A” Bench, Chennai in ITA.No.811/Mds/2017 for the Assessment Year 2011-12 on the following substantial questions of law; ' 1.Whether the Tribunal was correct in holding that the conversion of granite into monument would amount to manufacturing and that the Assessee is eligible to claim deduction u/s.10B especially when the final product does not undergo any change of character nor does the final product emerging from the processes carried out on granite blocks differ in its chemical composition or integral structure? 2. Whether the process of conversion of granite block into monuments result in a manufacture bringing into existence a new and distinct object or articles or thing as the end product continues to be a granite and does not undergo any chemical change?” 2. 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 2/4 https://www.mhc.tn.gov.in/judis TCA.No.113 of 2018 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. 3. 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 Income Tax Officer, Company Ward- I(1), Chennai-34. 2. The Commissioner of Income Tax (Appeals)-1, Chennai -34 3. Income Tax Appellate Tribunal Madras “A” Bench, Chennai, 3/4 https://www.mhc.tn.gov.in/judis TCA.No.113 of 2018 R. MAHADEVAN, J. and MOHAMMED SHAFFIQ, J. msr T.C.A.No. 113 of 2018 22.08.2022 4/4 https://www.mhc.tn.gov.in/judis