Madras High Court
The Commissioner Of Income Tax vs Shri P. Mohanraj on 22 August, 2022
Author: R. Mahadevan
Bench: R. Mahadevan, Mohammed Shaffiq
TCA.No.217 of 2014
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 22.08.2022
CORAM
THE HONOURABLE MR. JUSTICE R. MAHADEVAN
and
THE HONOURABLE MR. JUSTICE MOHAMMED SHAFFIQ
T.C.A.No. 217 of 2014
The Commissioner of Income Tax,
Salem .. Appellant
Versus
Shri P. Mohanraj,
5/83, Teachers Colony,
Mohanur Road,
Namakkal .. Respondent
Tax Case Appeal filed under Section 260-A of the Income Tax Act,
1961 against the order of the Income Tax Appellate Tribunal Madras “C”
Bench, dated 21.03.2013 passed in IT(S.S.)A No.53/mds/2007 in respect of
Block Assessment Period 01.04.1996 to 14.11.2002.
For Appellant : Mr. M. Swaminathan &
M/s.V. Pushpa
Standing Counsel
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https://www.mhc.tn.gov.in/judis
TCA.No.217 of 2014
JUDGMENT
(Judgment of the Court was delivered by R. MAHADEVAN, J.) This Tax Case Appeal has been filed by the appellant / revenue, questioning the correctness of the order dated 21.03.2013 passed by the Income Tax Appellate Tribunal Madras “C” Bench in IT(S.S.)A No.53/mds/2007 for the Block Assessment Period 01.04.1996 to 14.11.2002.
2. On 14.07.2014, this tax case appeal is admitted by this Court on the following substantial questions of law;
' In a specific case of department that the loan credit extended by Sri Loganathan, Sri. P. Muthuswamy and M/s.PMT Transport are only name lenders and not a regular credit whether the Income Tax Appellate Tribunal was justified in accepting the assessee's plea that the said amount should be assessed only in the hands of the loan creditors and not that of the assessee?
2. Whether the Income Tax Appellate Tribunal was right in discharging the assessee from the liability to tax, merely on the statement recorded under section 132(4) of the Income Tax Act without supporting and corroborated statement?” 2/4 https://www.mhc.tn.gov.in/judis TCA.No.217 of 2014
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 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.
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.]
22.08.2022
msr
Index : Yes / No
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https://www.mhc.tn.gov.in/judis TCA.No.217 of 2014 R. MAHADEVAN, J.
and MOHAMMED SHAFFIQ, J.
msr To
1. The Deputy Commissioner of Income Tax, Central Circle, Salem.
2. The Commissioner of Income Tax (Appeals), Salem-7.
3. The Income Tax Appellate Tribunal Madras “C” Bench, Chennai, T.C.A.No. 217 of 2014 22.08.2022 4/4 https://www.mhc.tn.gov.in/judis