Madras High Court
Commissioner Of Income Tax vs Tt Krishnamachari & Co on 22 August, 2022
Author: R. Mahadevan
Bench: R. Mahadevan, Mohammed Shaffiq
TCA.No.900 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. 900 of 2014
Commissioner of Income Tax,
Chennai .. Appellant
Versus
TT Krishnamachari & Co.
6 Cathedral Road,
Cennai 600 086 .. 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
“B” Bench, dated 19.10.2011 passed in I.T.A.No.1185/Mds/2009 in
respect of assessment year 2001- 02.
For Appellant : M/s.M. Swaminathan and
V. Pushpa
Standing Counsel
For Respondent : Mr.R.Venkata Narayanan
for M/s. Subbaraya Aiyar
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https://www.mhc.tn.gov.in/judis
TCA.No.900 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 19.10.2011 passed by the Income Tax Appellate Tribunal Madras “B” Bench, in I.T.A.No.1185/Mds/2009 for the assessment year 2001-02.
2. On 22.12.2014, this tax case appeal is admitted by this Court on the following substantial questions of law;
' 1. Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in holding that the assessee was entitled for deduction of interest on the loan obtained from ICICI Bank which was diverted tot he sister company TTK Textile Ltd.
2. Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee is entitled for deduction of commission and 50% of professional fee paid to late Shri.T.T.Vasu?”
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 2/4 https://www.mhc.tn.gov.in/judis TCA.No.900 of 2014 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
To
1. The Deputy Commissioner of Income Tax, Circle -XV, Chennai.
2. The Commissioner of Income Tax (Appeals) XII Chennai-34..
3. The Income Tax Appellate Tribunal Madras “B” Bench, Chennai.
R. MAHADEVAN, J.
3/4https://www.mhc.tn.gov.in/judis TCA.No.900 of 2014 and MOHAMMED SHAFFIQ, J.
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