COMMISSIONER OF INCOME TAX vs. M/S. SOOSAIYA PETER

T.C.A.No.209 of 2017 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 26.08.2022 CORAM : THE HON'BLE MR. JUSTICE R. MAHADEVAN AND THE HON'BLE MR. JUSTICE MOHAMMED SHAFFIQ T.C.A.No.209 of 2017 The Commissioner of Income Tax Central-I, No.108, Mahatma Gandhi Road, Chennai. ... Appellant Versus M/s.Soosaiya Peter Educational Trust, 15, Varghese Avenue, Chennai - 600 002. ... Respondent (PAN No.AAA TS 3020 Q) Appeal preferred under Section 260A of the Income Tax Act, 1961, against the order of the Income Tax Appellate Tribunal, Madras “A” Bench, dated 07.09.2016 in I.TA.No.2561/Mds/2014. For Appellant : Mr.J.Narayanaswamy Senior Standing Counsel Page 1/4 https://www.mhc.tn.gov.in/judis T.C.A.No.209 of 2017 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, challenging the order dated 07.09.2016 passed by the Income Tax Appellate Tribunal, Madras 'A' Bench in I.TA.No.2561/Mds/2014., relating to the assessment year 2010-11. 2. By order dated 06.04.2017, this court admitted the aforesaid tax case appeal on the following substantial questions of law: " (i) Whether in the facts and in circumstances of the case, the Appellate Tribunal is correct in law in holding that the assessee is entitled for exemption on educational activity, when the activity of the Lessee of running a 'petrol pump', was in the nature of commercial activity carried on by the assessee falls under the object of 'general public utility' and whether the proviso to Section 2 (15) of the Income Tax Act is fully applicable in the case of the assessee? (ii) Whether the Appellate Tribunal is correct in law in holding that the assessee is eligible for exemption on profit from its educational activity, having regard to the specific provisions contained in Section 13(8) of the Act, which prohibits exemption under Section 11 of the Act of the entire income of a trust? " Page 2/4 https://www.mhc.tn.gov.in/judis T.C.A.No.209 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 questions of law for determination in an appropriate case. No costs. (R.M.D., J.) (M.S.Q., J.) 26.08.2022 r n s

Internet : Yes.

Index : Yes / No. Page 3/4 https://www.mhc.tn.gov.in/judis T.C.A.No.209 of 2017 R. MAHADEVAN, J. and MOHAMMED SHAFFIQ, J. r n s To 1. The Income Tax Appellate Tribunal Madras 'A' Bench, Chennai. 2. The Commissioner of Income Tax, (Appeals)-VII, Chennai. 3. The Deputy Director of Income Tax, (Exemptions) - III, Chennai. T.C.A.No.209 of 2017 26.08.2022 Page 4/4 https://www.mhc.tn.gov.in/judis