COMMISSIONER OF INCOME TAX vs. M/S SOUTH INDIA HOUSE ESTATES

T.C.A.No.1194 of 2015 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED 17.08.2022 CORAM THE HON'BLE Mr. JUSTICE R. MAHADEVAN AND THE HON'BLE Mr. JUSTICE MOHAMMED SHAFFIQ Tax Case Appeal No.1194 of 2015 The Commissioner of Income Tax Chennai

.. Appellant Vs. M/s.South India House Estates & Properties Ltd. South India House No.73, Armenian Street Chennai 600 001 .. Respondent Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order dated 11.03.2015 passed by the Income Tax Appellate Tribunal, 'A' Bench, Chennai, in I.T.A.No.52/Mds/2013. For Appellant : Mr.J.Narayanasamy

Standing Counsel For Respondent : Mr.S.Sridhar 1/4 https://www.mhc.tn.gov.in/judis T.C.A.No.1194 of 2015 J U D G M E N T (Judgment was delivered by R. MAHADEVAN, J.) This tax case appeal has been filed by the appellant/Revenue, calling in question the correctness of the order dated 11.03.2015 passed by the Income Tax Appellate Tribunal, 'A' Bench, Chennai, in I.T.A.No.52/Mds/2013, relating to the assessment year 2004-05. 2. By order dated 22.12.2015, this Court admitted the aforesaid tax case appeal on the following substantial questions of law : “1. Whether, on the facts and circumstances of the case, the Tribunal was right in holding that the initiation of the reassessment for the assessment year 2004-05 is bad in law and consequently setting aside the reassessment proceedings? 2. Whether, on the facts and circumstances of the case, the Tribunal was right in holding that the initiation of the reassessment for the assessment year 2005-06 is bad in law and consequently setting aside the reassessment proceedings? 3. Whether, on the facts and circumstances of the case, the Tribunal was right in holding that interest derived from lending monies to sister concern is to be treated as income from business and not as income from other sources for the assessment year 2004-05 and 2005-06?” 2/4 https://www.mhc.tn.gov.in/judis T.C.A.No.1194 of 2015 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 questions of law for determination in an appropriate case. No costs. [R.M.D,J.] [M.S.Q, J.] 17.08.2022

Internet : Yes

gya 3/4 https://www.mhc.tn.gov.in/judis T.C.A.No.1194 of 2015 R. MAHADEVAN, J. AND MOHAMMED SHAFFIQ, J. gya To 1.The Commissioner of Income Tax Chennai 2.The Assistant Commissioner of Income Tax Company Circle-V(3) Chennai 3.The Commissioner of Income Tax (Appeals)-V Chennai 4.The Income Tax Appellate Tribunal 'A' Bench, Chennai T.C.A.No.1194 of 2015 17.08.2022 4/4 https://www.mhc.tn.gov.in/judis