PRINCIPAL COMMISSIONER OF IN vs. M/S M.CT.M.CLOBAL INVESTMENT

TCA/233/2019HC Madras31 October 2022Bench: HONOURABLE MR. JUSTICE S.VAIDYANATHAN5 pages

AI SummaryWithdrawn

What did the High Court hold?

The High Court held that the appeal filed by the Revenue was to be dismissed as withdrawn. This decision was based on the submission made by the learned counsel for the Revenue, referencing CBDT Circular No. 17/2019. The circular mandates that appeals should not be filed or pursued if the tax effect is below Rs. 1,00,00,000/-. As the tax effect in this particular appeal was stated to be less than the monetary limit, the court accepted the Revenue's submission and dismissed the appeal. The court clarified that the substantial question of law remains open for determination in appropriate cases. No costs were awarded. The connected Civil Miscellaneous Petition (C.M.P.) was also closed.

What were the facts?

The Revenue, Principal Commissioner of Income-tax, Central 4, Chennai, filed a Tax Case Appeal under Section 260A of the Income Tax Act, 1961, against an order dated 21.10.2016 passed by the Income Tax Appellate Tribunal, Madras 'A' Bench. The appeal pertained to the assessment year 2006-07 and concerned M/s. M.Ct.M. Global Investments Pvt Ltd. as the respondent assessee. The appeal was filed challenging the correctness of the Tribunal's order. The procedural history indicates that the appeal was filed in 2019.

What were the issues?

1. Whether the appeal filed by the Revenue is maintainable before the High Court, considering the tax effect in light of CBDT Circular No. 17/2019. Assessee's Contention: The judgment does not record any specific contentions made by the assessee. The assessee's counsel was present, but no arguments were presented on their behalf regarding the merits of the case. Revenue's Contention: The learned counsel for the appellant/Revenue brought to the notice of the court CBDT Circular No. 17/2019 dated 08.08.2019. This circular stipulates that appeals shall not be filed or pursued by the Department before the High Court where the tax effect does not exceed Rs. 1,00,00,000/-. The Revenue submitted that the tax effect in the present appeal is less than this stipulated threshold limit.

Which sections of the Income-tax Act were involved?

Section 260A

AI-generated summary — verify with the full judgment below

Tax Case Appeal No. 233 of 2019 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 31.10.2022 CORAM : THE HONOURABLE MR. JUSTICE S.VAIDYANATHAN AND THE HONOURABLE MR. JUSTICE C.SARAVANAN Tax Case Appeal No.233 of 2019 & C.M.P. No. 6760 of 2019 The Principal Commissioner of Income-tax Central 4, No.121, Mahatma Gandhi Road, Chennai.

.. Appellant Versus M/s. M.Ct.M. Global Investments Pvt Ltd., 761, Anna Salai, Chennai – 600 002. PAN: AAB CM 9738 K

.. Respondent Tax Case Appeal filed under Section 260A of the Income Tax Act, 1961 against the order dated 21.10.2016 in ITA No.1654/Mds/2009 passed by the Income Tax Appellate Tribunal, Madras “A” Bench. For Appellant :: Mr.Karthik Ranganathan For Respondent :: Ms.S. Sreelakshmi Valli 1/5 https://www.mhc.tn.gov.in/judis Tax Case Appeal No. 233 of 2019 J U D G M E N T S.VAIDYANATHAN, J and C.SARAVANAN, J This Tax Case Appeal has been filed by the Appellant / Revenue, calling in question the correctness of the order dated 21.10.2016 passed by the Income Tax Appellate Tribunal, 'A' Bench, Chennai, in I.T.A.No1654/Mds/2009, relating to the assessment year 2006-07. 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 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 2/5 https://www.mhc.tn.gov.in/judis Tax Case Appeal No. 233 of 2019 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 question of law for determination in appropriate cases. No costs. Connected C.M.P. is closed. 4. Registry is directed to return the original order, if any enclosed along with this Appeal after retaining a copy of the same in the court bundle. [S.V.N, J.] [C.S.N, J.] 31.10.2022 1/6

Internet : Yes

Index : Yes / No nv To 1. The Income Tax Appellate Tribunal, Chennai “A” Bench. 2.The Assistant Commissioner of Income Tax , Company Circle-IV(3), Chennai 34. 3.The Commissioner of Income Tax (Appeals) - V, Chennai. 3/5 https://www.mhc.tn.gov.in/judis Tax Case Appeal No. 233 of 2019 S . VAIDYANATHAN, J.

AND C.SARAVANAN

, J . nv T.C.A. No. 233 of 2019 31.10.2022 4/5 https://www.mhc.tn.gov.in/judis Tax Case Appeal No. 233 of 2019 5/5 https://www.mhc.tn.gov.in/judis

Recent GST High Court judgments

Search GST case law →