Principal Commissioner of Income Tax vs. M/s.Madras Race Club

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TCA/156/2023HC Madras03 July 2025Bench: Honourable The CHIEF JUSTICE4 pages
AI SummaryWithdrawn

What did the High Court hold?

The High Court held that the appeal was to be dismissed as withdrawn. The reasoning was based entirely on the submission of the appellant's counsel that the monetary limit of the appeal fell below the threshold stipulated in recent CBDT circulars, which mandated withdrawal of such appeals. The counsel explicitly stated that the withdrawal was solely due to the monetary limit and did not involve conceding the Department's stand on merits. Therefore, no decision was made on the substantive merits of the case. The operative direction was to dismiss the appeal as withdrawn, with no order as to costs. The interim application was also dismissed.

What were the facts?

The appeal was filed by the Principal Commissioner of Income Tax, Corporate Circle – 4(1), Chennai (the appellant/Revenue) against an order dated 13.07.2022 passed by the Income Tax Appellate Tribunal (ITAT), 'A' Bench, Chennai, in ITA No.502/CHNY/2018. The respondent is M/s. Madras Race Club. The appeal was filed under Section 260A of the Income Tax Act, 1961. The procedural history leading to this appeal is not detailed in the judgment, other than the ITAT order being under challenge.

What were the issues?

The Tribunal did not have to decide any substantive issues of law or fact. The sole reason for the appeal's disposal was a procedural matter. The appellant's counsel stated that the monetary limit involved in the appeal was below the limits prescribed in Circular No.05/2024 dated 15.03.2024 and Circular No.09/2024, dated 17.09.2024, issued by the Ministry of Finance, Department of Revenue, Central Board of Direct Taxes. Consequently, the counsel had instructions to withdraw the appeal. The revenue's argument was solely based on these circulars and the resulting instruction to withdraw.

Which sections of the Income-tax Act were involved?

Section 260A

AI-generated summary — verify with the full judgment below

T.C.A.No.156 of 2023

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 03.07.2025 CORAM : THE HON'BLE MR.K.R.SHRIRAM, CHIEF JUSTICE AND THE HON'BLE MR.JUSTICE SUNDER MOHAN T.C.A.No.156 of 2023 & C.M.P.No.6075 of 2023 Principal Commissioner of Income Tax Corporate Circle – 4(1) Chennai 600 034. .. Appellant Vs. M/s. Madras Race Club Post Box No.2639 Guindy, Chennai 600 032 PAN: AAACM7640R .. Respondent Prayer : Appeal filed under Section 260A of the Income Tax Act, 1961 against the order dated 13.07.2022 passed in ITA No.502/CHNY/2018 on the file of the Income Tax Appellate Tribunal, 'A' Bench, Chennai. For Appellant : Mrs.V.Pushpa For Respondent : Mr.G.Baskar __________ Page 1 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 10/07/2025 11:33:07 am ) T.C.A.No.156 of 2023

JUDGMENT (Judgment of the Court was delivered by the Hon'ble Chief Justice) Ms.Pushpa states that the monetary limit involved in this appeal is below the monetary limit prescribed in Circular No.05/2024 dated 15.03.2024 and Circular No.09/2024, dated 17.09.2024, issued by the Ministry of Finance, Department of Revenue, Central Board of Direct Taxes, Government of India. Counsel says that she has instructions, therefore, to withdraw the appeal. 2. Counsel also states that the withdrawal is only due to the monetary limit and without conceding the stand of the Department. 3. Appeal stands dismissed as withdrawn. There shall be no order as to costs. Consequently, the interim application is also dismissed. (K.R.SHRIRAM, CJ) (SUNDER MOHAN,J.)

03.07.2025 Index : Yes/No __________ Page 2 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 10/07/2025 11:33:07 am ) T.C.A.No.156 of 2023

Neutral Citation : Yes/No kpl To 1. The Assistant Registrar Income Tax Appellate Tribunal Chennai Benches, Chennai. 2. The Commissioner of Income Tax (Appeals) Chennai.

__________ Page 3 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 10/07/2025 11:33:07 am ) T.C.A.No.156 of 2023

THE HON'BLE CHIEF JUSTICE AND SUNDER MOHAN

,J.

(kpl)

T.C.A.No.156 of 2023

03.07.2025 __________ Page 4 of 4 https://www.mhc.tn.gov.in/judis ( Uploaded on: 10/07/2025 11:33:07 am )

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