Judgt. dt. 7.2.2020 in T.C.(A) 146/2013 CIT v. L.J. International Ltd. 1/4 IN HIGH COURT OF JUDICATURE AT MADRAS DATED: 7.2.2020 CORAM HON'BLE DR.JUSTICE VINEET KOTHARI AND HON'BLE MR.JUSTICE R.SURESH KUMAR Tax Case (Appeal) No.146 of 2013 Commissioner of Income Tax Chennai Appellant Vs. M/s.L.J.International Ltd., 60 Rukmani Lakshmipathy Salai, Egmore, Chennai. Respondent Tax Case filed under Section 260A of Income Tax Act, 1961 against order of Income Tax Appellate Tribunal, 'B' Bench, Chennai, dated 5.10.2012 made in ITA No.1142/Mds/2012. For Appellant Mr.Karthik Ranganathan Senior Standing Counsel JUDGMENT (Delivered by DR.VINEET KOTHARI,J) This Tax Case has been filed by Revenue, calling in question correctness of order passed by Income Tax Appellate Tribunal, 'B' Bench, Chennai, dated 5.10.2012 made in ITA No.1142/Mds/2012, for Assessment Year 2007-2008, by raising following substantial questions of law: Judgt. dt. 7.2.2020 in T.C.(A) 146/2013 CIT v. L.J. International Ltd. 2/4 "(i) Whether on facts and in circumstances of case, Income Tax Appellate Tribunal was right in nullifying order passed under Section 263 of Act? (ii) Whether on facts and in circumstances of case, Income Tax Appellate Tribunal was right in holding that assessee was entitled to deduction claimed under Section 10B as assessee was manufacturing and producing tissue culture plant? iii) Whether on facts and in circumstances of case, Income Tax Appellate Tribunal was right in holding that assessee was entitled to claim deduction under Section 10B especially when raising of plants through tissue culture does not involve any manufacturing activity as living organism does not come under purview of Act?" 2. When matter is taken up for hearing, learned Senior Standing Counsel brought to our notice Circular instruction issued by Central Board of Direct Taxes vide Circular No.17/2019 dated 8th August 2019, wherein, it is stipulated that appeals shall not be filed/pursued by Department before High Court in cases where Judgt. dt. 7.2.2020 in T.C.(A) 146/2013 CIT v. L.J. International Ltd. 3/4 tax effect does not exceed Rs.1,00,00,000/- (Rupees One Crore). 3. In instant case, tax effect is said to be less than monetary limit imposed and therefore, Appeal filed by Revenue is dismissed, as withdrawn, keeping open substantial questions of law for determination in appropriate cases. No costs. (V.K.,J.) (R.S.K.,J.) 7.2.2020. Index : Yes/No Internet : Yes/No ssk. To 1. Commissioner of Income Tax Chennai 2. Income Tax Appellate Tribunal, 'B' Bench, Chennai. 3. M/s.L.J.International Ltd., 60 Rukmani Lakshmipathy Salai, Egmore, Chennai. Judgt. dt. 7.2.2020 in T.C.(A) 146/2013 CIT v. L.J. International Ltd. 4/4 DR.VINEET KOTHARI, J. and R.SURESH KUMAR, J. ssk. TC(A) No.146 of 2013 7.2.2020 Commissioner of Income-tax Chennai v. L.J.International Ltd