Madras High Court
Commissioner Of Income Tax Ii vs M/S.E-Lights Techno Park Pvt Ltd on 24 March, 2021
Author: M.Duraiswamy
Bench: M.Duraiswamy, T.V.Thamilselvi
T.C.A.No.1005 of 2015
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 24.03.2021
CORAM
THE HON'BLE MR. JUSTICE M.DURAISWAMY
AND
THE HON'BLE MRS.JUSTICE T.V.THAMILSELVI
T.C.A.No.1005 of 2015
Commissioner of Income Tax II,
No.121, Mahatma Gandhi Road,
Chennai. ... Appellant
Vs.
M/s.E-Lights Techno Park Pvt Ltd.,
Pacifica Tech Park,
Survey No.23, Rajiv Gandhi Salai,
Old Mahabalipuram Road, Navallur,
Chennai – 603 103. ... Respondent
Appeal preferred under Section 260A of the Income Tax Act,
1961, against the order of the Income Tax Appellate Tribunal, Madras,
“C” Bench, dated 22.05.2015 in I.TA.No.236/Mds/2015, Assessment
Year 2011-12.
For Appellant : Mr.Karthik Ranganathan
Senior Standing Counsel
For Respondent : Mr.R.Sivaraman
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T.C.A.No.1005 of 2015
JUDGMENT
(Judgment was delivered by M.DURAISWAMY, J.) We have heard Mr.Karthik Ranganathan, learned Senior Standing Counsel for the appellant/Revenue and Mr.R.Sivaraman, learned counsel for the respondent/assessee.
2.The appeal, filed by the Revenue under Section 260A of the Income Tax Act, 1961 (for short, the Act) is directed against the order dated 22.05.2015 made in I.TA.No.236/Mds/2015 on the file of the Income Tax Appellate Tribunal, Chennai, “C” Bench (for brevity, the Tribunal) for the Assessment Year 2011-12.
3.The appeal was admitted on 30.11.2015 on the following substantial questions of law:
“1.Whether on the facts and in the circumstances of the case, the Appellate Tribunal was right in holding that the income from letting out of builidng comprising of separate modules with Page 2/5 https://www.mhc.tn.gov.in/judis/ T.C.A.No.1005 of 2015 uplinking facility with VSNL as income from 'business' assessable under Section 28 of the Income Tax Act?
2.Whether on the facts and in the circumstances of the case, the Appellate Tribunal was right in treating the payment received for amenities from the persons to whom it had let out its modules as business income?”
4.The learned Senior Standing Counsel for the appellant submits that the above appeal is not pursued by the Revenue on account of the Low Tax Effect in terms of Circular No.17/2019 dated 08.08.2019 issued by the Central Board of Direct Taxes. By the said Circular, the monetary limit for filing or pursuing an appeal before the High Court has been increased to Rs.1 crore. It is further submitted that the tax effect in this case is less than the threshold limit.
5.In the light of the said submissions, the above Tax Case Appeal is dismissed as withdrawn on account of the Low Tax Effect. The substantial questions of law framed are left open. In the event the tax Page 3/5 https://www.mhc.tn.gov.in/judis/ T.C.A.No.1005 of 2015 effect in this case is above the threshold limit fixed in the said Circular, liberty is granted to the Revenue to make a mention to this Court to restore the appeal to be heard and decided on merits. No costs.
[M.D., J.] [T.V.T.S., J.]
Index : Yes/No 24.03.2021
Internet : Yes
mkn
To
1.The Income Tax Appellate Tribunal, Chennai, “C” Bench
2.The Commissioner of Income Tax II, No.121, Mahatma Gandhi Road, Chennai.
Page 4/5https://www.mhc.tn.gov.in/judis/ T.C.A.No.1005 of 2015 M.DURAISWAMY, J.
and T.V.THAMILSELVI, J.
mkn T.C.A.No.1005 of 2015 24.03.2021 Page 5/5 https://www.mhc.tn.gov.in/judis/