Commissioner of Income-tax-I, Coimbatore v. Lakshmi Industries
[Citation -2020-LL-0615-28]
| Citation | 2020-LL-0615-28 |
|---|---|
| Appellant Name | Commissioner of Income-tax-I, Coimbatore |
| Respondent Name | Lakshmi Industries |
| Court | HIGH COURT OF MADRAS |
| Relevant Act | Income-tax |
| Date of Order | 15/06/2020 |
| Assessment Year | 05/04/1995-31/03/1996, 1996-97, 1997-98, 1998-99, 01/04/1999-29/07/1999 |
| Judgment | View Judgment |
| Keyword Tags | substantial question of law • undisclosed income • block assessment • monetary limit • low tax effect |
| Bot Summary: | These appeals, filed by the Revenue under Section 260A of the Income Tax Act, 1961, are directed against the common order dated 09.4.2010 made respectively in IT(SS)A.Nos. The appeals were admitted on 25.1.2011 on the following substantial question of law : Whether, on the facts and circumstances of the case, the Appellate Tribunal was right in holding that the proceedings initiated by the Assessing Officer under Section 158BC was null and void and accordingly, annulled the block assessment even though the issue of notice under Section 158BC is merely an act within the jurisdiction of the Assessing Officer to assess the undisclosed income and hence, any error in issuing such notice will not render the undisclosed income and hence, any error in issuing such notice will not render the entire proceedings invalid, such errors are rectifiable under Section 292B of the Act 4. 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 08.8.2019 issued by the Central Board of Direct Taxes. 1341 1342/2010 pursuing an appeal before the High Court has been increased to Rs.1 Crore. It is further submitted that the tax effect in the respective cases is less than the threshold limit. In the light of the said submissions, the above tax case appeals are dismissed on account of the low tax effect. In the event the tax effect in the respective cases 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. |