Principal Commissioner of Tax-4, Chennai v. Mallika Battery Company Ltd
[Citation -2020-LL-0320-38]
| Citation | 2020-LL-0320-38 |
|---|---|
| Appellant Name | Principal Commissioner of Tax-4, Chennai |
| Respondent Name | Mallika Battery Company Ltd. |
| Court | HIGH COURT OF MADRAS |
| Relevant Act | Income-tax |
| Date of Order | 20/03/2020 |
| Judgment | View Judgment |
| Keyword Tags | share certificate • monetary limit • book profits • tax effect |
| Bot Summary: | In Judgment in TCA No.264 of 2017 dated 20.03.2020 JUDGMENT This Tax Case Appeal has been filed by the Revenue calling in question the correctness of the order passed by the Income Tax Appellate Tribunal, 'B' Bench, Chennai, by raising the following substantial questions of law: 1.Whether on the facts and in the circumstances of the case, the Tribunal was right in deleting the addition of sale proceeds of shares of M/s.Numeric Power Systems Ltd., while computing the book profits for the purpose of Section 115 JB of the Income Tax Act 2. Whether in the facts and circumstances of the case and in law, the Appellate Tribunal was correct and justified in holding that the assessee company is not the owner of shares of M/s.Numeric Power Systems Ltd., even though name of assessee appears as owner/holder in the share certificate as well as share register of the said company 3. When the matter was taken up for hearing, the learned Standing Counsel brought to our notice the Circular instruction issued by the 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 the Department before the High Court in cases where the tax effect does not exceed Rs.1,00,00,000/-. In the instant case, the tax effect is said to be less than the monetary limit imposed and therefore, the appeal filed by the Revenue is dismissed as not pressed, keeping open the substantial questions of law for determination in an appropriate case. |