Madras High Court
Commissioner Of Income Tax vs M/S.Iskraemeco Regent Limited on 26 August, 2019
Author: T.S.Sivagnanam
Bench: T.S.Sivagnanam, V.Bhavani Subbaroyan
T.C.A.Nos.937 & 938 of 2014
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 26.08.2019
CORAM
THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM
and
THE HONOURABLE MRS.JUSTICE V.BHAVANI SUBBAROYAN
Tax Case Appeal Nos.937 and 938 of 2014
Commissioner of Income Tax,
Trichy. .. Appellant in both Appeals
-vs-
M/s.Iskraemeco Regent Limited,
(Now known as Simco Engineering Limited),
126, K.Sathanoor Road,
Trichy-620 021. .. Respondent in both Appeals
APPEALS under Section 260A of the Income Tax Act, 1961 against the
common order dated 28.03.2014, made in I.T.A.Nos.1829 & 1915/Mds/2013
on the file of the Income Tax Appellate Tribunal 'C' Bench, Chennai for the
assessment year 2004-05.
For Appellant : Mr.M.Swaminathan,
(In both Appeals) Senior Standing Counsel &
: Ms.V.Pushpa
Standing Counsel
For Respondent : Mr.R.Sankaranarayanan
(In both Appeals)
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T.C.A.Nos.937 & 938 of 2014
COMMON JUDGMENT
(Delivered by T.S.Sivagnanam, J.) These appeals filed by the Revenue under Section 260A of the Income- tax Act, 1961 are directed against the common order dated 28.03.2014, made in I.T.A.Nos.1829 & 1915/Mds/2013 on the file of the Income Tax Appellate Tribunal 'C' Bench, Chennai for the assessment year 2004-05.
2.T.C.A.No.937 of 2014 was admitted on 19.01.2016, on the following substantial question of law:-
“Whether on the facts and in the circumstances of the case the Tribunal was right in holding that penalty under Section 271AA cannot be levied on the assessee?”
3.T.C.A.No.938 of 2014 has been filed raising the following substantial question of law:-
“Whether on the facts and in the circumstances of the case the tribunal was right in holding that penalty under Section 271G cannot be levied on the assessee?”
4.Heard Mr.M.Swaminathan, learned Senior Standing Counsel and Ms.V.Pushpa, learned Standing Counsel for the appellant – and Mr.R.Sankaranarayanan, learned counsel for the respondent. 2/4 http://www.judis.nic.in T.C.A.Nos.937 & 938 of 2014
5.The learned Senior Standing Counsel for the appellant submits that the above appeals are 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.
6.In the light of the said submissions, the above tax case appeals are dismissed on account of the low tax effect. The substantial questions of law framed are left open. In the event the tax effect 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 appeals to be heard and decided on merits. No costs.
(T.S.S., J.) (V.B.S., J.)
26.08.2019
Index : Yes/No
Speaking/Non-Speaking Order
abr
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T.C.A.Nos.937 & 938 of 2014
T.S.Sivagnanam, J.
and
V.Bhavani Subbaroyan, J.
(abr)
To
1.M/s.Iskraemeco Regent Limited,
(Now known as Simco Engineering Limited), 126, K.Sathanoor Road, Trichy-620 021.
2.The Income Tax Appellate Tribunal 'C' Bench, Chennai.
T.C.A.Nos.937 and 938 of 2014 26.08.2019 4/4 http://www.judis.nic.in