THE COMMISSIONER OF INCOME T vs. SHRI SHAFIQ MOHAMMED SHAH

T.C.A.Nos.50 & 51 of 2020 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 24.08.2022 CORAM : THE HONOURABLE MR. JUSTICE R. MAHADEVAN AND THE HONOURABLE MR. JUSTICE MOHAMMED SHAFFIQ T.C.A.Nos.50 & 51 of 2020 The Commissioner of Income Tax, Chennai. ... Appellant in both TCAs Versus Shri Shafiq Mohammed Shah, No.58, Veerabadran Street, Nungambakkam, Chennai - 600 034.

... Respondent in both TCAs (PAN No.AAJPS3460P) Appeals preferred under Section 260A of the Income Tax Act, 1961, against the common order of the Income Tax Appellate Tribunal, Madras “B” Bench, dated 11.05.2017 in I.T.A.Nos.1331/Mds/2016 & 945/Mds/2016. For Appellant in both TCAs' : Mr.T.Ravi Kumar Senior Standing Counsel For Respondent in both TCAs' : Ms.V.Pavithra For M/s.Pass Associates COMMON JUDGMENT Page 1/5 https://www.mhc.tn.gov.in/judis T.C.A.Nos.50 & 51 of 2020 (Judgment of the Court was delivered by R.MAHADEVAN, J.) These tax case appeals have been filed by the appellant / Revenue, challenging the common order dated 11.05.2017 passed by the Income Tax Appellate Tribunal, Madras 'B' Bench in I.T.A.Nos.1331/Mds/2016 & 945/Mds/2016, relating to the assessment year 2011-2012. 2. By order dated 25.08.2020, this court admitted the aforesaid tax case appeals on the following substantial questions of law: "(i) Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the joint development agreement was a mere transfer of immovable property falling within the ambit of Section 45 and not Section 45(2) of the Income Tax Act, 1961? and (ii) Is not the finding of the Tribunal bad, by holding that the entire transfer is deemed to have taken place in the assessment year 2007-08 based on the date of the joint venture entered when actually a sale of portion of land developed had taken place in the assessment year 2011-12 as evidenced by the sale deed registered on 15.12.2010? 3.When the matters were taken up for consideration, the learned counsel Page 2/5 https://www.mhc.tn.gov.in/judis T.C.A.Nos.50 & 51 of 2020 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 these appeals 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 appeals, wherein, the tax effect is said to be less than the monetary limit imposed, are dismissed as withdrawn, keeping open the substantial questions of law for determination in appropriate cases. No costs. (R.M.D., J.) (M.S.Q., J.) 24.08.2022

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Index : Yes / No r n s Page 3/5 https://www.mhc.tn.gov.in/judis T.C.A.Nos.50 & 51 of 2020 To 1. The Income Tax Appellate Tribunal, 'B' Bench, Chennai. 2.The Commissioner of Income-Tax (Appeals)-4, Chennai. 3. The Income Tax Officer, Business Ward-XV (3), Chennai - 34. Page 4/5 https://www.mhc.tn.gov.in/judis T.C.A.Nos.50 & 51 of 2020 R. MAHADEVAN, J. and MOHAMMED SHAFFIQ, J. r n s T.C.A.Nos.50 & 51 of 2020 24.08.2022 Page 5/5 https://www.mhc.tn.gov.in/judis