The Commissioner of Income-tax, Central II, Chennai v. R.S. Suriya
[Citation -2019-LL-0819-128]
| Citation | 2019-LL-0819-128 |
|---|---|
| Appellant Name | The Commissioner of Income-tax, Central II, Chennai |
| Respondent Name | R.S. Suriya |
| Court | HIGH COURT OF MADRAS |
| Relevant Act | Income-tax |
| Date of Order | 19/08/2019 |
| Assessment Year | 2006-07 |
| Judgment | View Judgment |
| Keyword Tags | cash system of accounting • professional services • low tax effect • monetary limit |
| Bot Summary: | 1329/Mds/2009 on the file of the Income Tax Appellate Tribunal, Chennai 'D' Bench for the assessment year 2006-07. This appeal, filed by the Revenue under Section 260A of the Income Tax Act, 1961 is directed against the order dated 19.1.2010 made in ITA.No. The appeal was admitted on 17.8.2010 on the following substantial question of law : Whether, on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in holding that the amounts received in advance as per the agreements entered into by the assessee with different entities, promising to render professional services were not taxable as income, even though the assessee was following the cash system of accounting 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 08.8.2019 issued by the Central Board of Direct Taxes. It is further submitted that the tax effect in this case is less than the threshold limit. In the light of the said submissions, the above tax case appeal is dismissed on account of the low tax effect. 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 appeal to be heard and decided on merits. |