Commissioner of Income-tax, Chennai v. Sri Sakthi Cold Storage Pvt. Ltd
[Citation -2019-LL-1216-89]

Citation 2019-LL-1216-89
Appellant Name Commissioner of Income-tax, Chennai
Respondent Name Sri Sakthi Cold Storage Pvt. Ltd.
Court HIGH COURT OF MADRAS
Relevant Act Income-tax
Date of Order 16/12/2019
Assessment Year 2002-03
Judgment View Judgment
Keyword Tags manufacture or production • monetary limit • tax effect
Bot Summary: 716 of 2019: Appeal under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, Madras B Bench, dated 03.02.2016 passed in ITA.No. 719 of 2019: Appeal under Section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal, Madras B Bench, dated 03.02.2016 passed in ITA.No. For Appellant :Mr.J.Narayanaswamy Senior standing counsel For Respondent :Mr.A.S.Sriraman COMMON JUDGMENT These Tax Case Appeals have been preferred by the Revenue against the order dated 03.02.2016 passed in ITA.No. 716, 718 719 of 2019 220/CIT-15/13-14 under Section 143(3) r.w.s 147 250 of the Income Tax Act, 1961, where the Tribunal rejected the plea of the Revenue and dismissed the Appeals. 716, 718 719 of 2019 5.This Court perused the circular dated 08.08.2019 and Paragraph No.2 of the said Circular, which prescribes monetary limit for filing appeal is usefully extracted as follows: 2.As a step towards further management of litigation, it has been decided by the Board that monetary limits for filing of appeals in income-tax cases be enhanced further through amendment in Para 3 of the Circular mentioned above and accordingly, the table for monetary limits specified in Para 3 of the Circular shall read as follows: S.No. Before Supreme Court 2,00,00,000 6.In view of the submissions made by the learned counsel appearing on behalf of the appellant and also in view of the Circular No.17/2019 dated 08.08.2019 issued by the Director, Central Board of Direct Taxes, Delhi, these Tax Case Appeals are dismissed on account of tax effect. In the event the tax effect is above the 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.


IN HIGH COURT OF JUDICATURE AT MADRAS DATED : 16.12.2019 CORAM : HONOURABLE MR.JUSTICE N.KIRUBAKARAN and HONOURABLE MR.JUSTICE P.VELMURUGAN T.C.A.Nos.716, 718 & 719 of 2019 and C.M.P.Nos.21094 & 21100 of 2019 Commissioner of Income Tax, Chennai. ... Appellant (in all appeals) Vs M/s.Sri Sakthi Cold Storage Pvt. Ltd., 6/9, Nehru Nagar III Street, Adyar, Chennai 600 020. PAN: AABCS2172H ... Respondent (in all appeals) PRAYER in TCA.No.716 of 2019: Appeal under Section 260A of Income Tax Act, 1961 against order of Income Tax Appellate Tribunal, Madras B Bench, dated 03.02.2016 passed in ITA.No.1817/Mds/2015. PRAYER in TCA.No.718 of 2019: Appeal under Section 260A of Income Tax Act, 1961 against order of Income Tax Appellate http://www.judis.nic.in 1/6 T.C.A.Nos.716, 718 & 719 of 2019 Tribunal, Madras B Bench, dated 03.02.2016 passed in ITA.No.1819/Mds/2015. PRAYER in TCA.No.719 of 2019: Appeal under Section 260A of Income Tax Act, 1961 against order of Income Tax Appellate Tribunal, Madras B Bench, dated 03.02.2016 passed in ITA.No.1818/Mds/2015. For Appellant :Mr.J.Narayanaswamy (in all appeals) Senior standing counsel For Respondent :Mr.A.S.Sriraman (in all appeals) COMMON JUDGMENT (Judgment of Court was delivered by N.KIRUBAKARAN, J) These Tax Case Appeals have been preferred by Revenue against order dated 03.02.2016 passed in ITA.No.1817 to 1819/Mds/2015 on file of Income Tax Appellate Tribunal, Chennai 'B' Bench for assessment years 2002-03 to 2004-05 2.The impugned order was filed by Revenue aggrieved by orders of CIT(A)-15, dated 29.05.2015 in ITA Nos.217, 218 & http://www.judis.nic.in 2/6 T.C.A.Nos.716, 718 & 719 of 2019 220/CIT (A)-15/13-14 under Section 143(3) r.w.s 147 & 250 of Income Tax Act, 1961, where Tribunal rejected plea of Revenue and dismissed Appeals. 3.These Appeals are admitted on following substantial question of law : Whether on facts and in circumstances of case, Tribunal was justified in granting deduction u/s.80IB when assessee had not filed its audit report before completion of assessment and when activity of cold storage of sea foods does not involve manufacture or production of any article or thing and when assessee had not earned any income from cold storage business? " 4.Mr.J.Narayanaswamy, learned Senior Standing Counsel appearing on behalf of appellant would submit that tax effect in these cases are less than Rs.1 crore and is covered by Circular No.17/2019 dated 08.08.2019 issued by Director, Central Board of Direct Taxes, Department of Revenue, Ministry of Finance, Government of India, Delhi. As per said circular, monetary limit to file appeal before High Court is fixed at Rs.1 crore. In these cases, tax effect is less than Rs.1 crore and therefore, these cases have to be dismissed. http://www.judis.nic.in 3/6 T.C.A.Nos.716, 718 & 719 of 2019 5.This Court perused circular dated 08.08.2019 and Paragraph No.2 of said Circular, which prescribes monetary limit for filing appeal is usefully extracted as follows: 2.As step towards further management of litigation, it has been decided by Board that monetary limits for filing of appeals in income-tax cases be enhanced further through amendment in Para 3 of Circular mentioned above and accordingly, table for monetary limits specified in Para 3 of Circular shall read as follows: S.No. Appeals / SLPs in Income- Monetary Limit tax matters (Rs.) 1. Before Appeallate Tribunal 50,00,000 2. Before High Court 1,00,00,000 3. Before Supreme Court 2,00,00,000 6.In view of submissions made by learned counsel appearing on behalf of appellant and also in view of Circular No.17/2019 dated 08.08.2019 issued by Director, Central Board of Direct Taxes, Delhi, these Tax Case Appeals are dismissed on account of tax effect. However, substantial question of law framed is left http://www.judis.nic.in 4/6 T.C.A.Nos.716, 718 & 719 of 2019 open. In event tax effect is above limit fixed in said circular, liberty is granted to Revenue to make mention to this Court to restore appeals to be heard and decided on merits. No costs. Consequently, connected Miscellaneous Petitions are closed. (NKKJ) (PVJ) 16.12.2019 sai To 1.The Commissioner of Income Tax, Chennai. 2.Income Tax Appellate Tribunal 'B' Bench, Chennai. 5/6 T.C.A.Nos.716, 718 & 719 of 2019 N.KIRUBAKARAN, J. and P.VELMURUGAN, J. sai T.C.A.Nos.716, 718 & 719 of 2019 Dated : 16.12.2019 6/6 Commissioner of Income-tax, Chennai v. Sri Sakthi Cold Storage Pvt. Ltd
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