TCA.Nos.262 to 268/2012 In High Court of Judicature at Madras Dated : 15.6.2020 Coram : Honourable Mr.Justice T.S.SIVAGNANAM and Honourable Mrs.Justice PUSHPA SATHYANARAYANA Tax Case Appeal Nos.262 to 268 of 2012 Commissioner of Income Tax, Chennai ...Appellant Vs M/s.Lakshmi Machine Works, Periyanayakanpalayam, Coimbatore ...Respondent APPEALS under Section 260A of Income Tax Act, 1961 against common order dated 16.11.2007 made respectively in ITA.Nos.1464, 1465, 2356, 2468, 2660, 2661 and 1479/Mds/2005 on file of Income Tax Appellate Tribunal, Chennai 'D' Bench respectively for assessment years 2000-01, 2000-01, 2001-02, 2001-02, 2000-01, 2000-01 and 2001-02. For Appellant: Mr.T.R.Senthilkumar, SSC assisted by Ms.K.G.Usharani, SC For Respondent: Mr.Vikram Vijayaraghvan for M/s.Subbaraya Aiyer Padmanabhan COMMON JUDGMENT (Judgment was delivered by T.S.Sivagnanam,J) We have heard Mr.T.R.Senthilkumar, learned Senior Standing Counsel 1/4 http://www.judis.nic.in TCA.Nos.262 to 268/2012 assisted by Ms.K.G.Usharani, learned Standing Counsel appearing for appellant Revenue and Mr.Vikram Vijayaraghavan, learned counsel appearing for respondent assessee. 2. These appeals, filed by Revenue under Section 260A of Income Tax Act, 1961, are directed against common order dated 16.11.2007 made respectively in ITA.Nos.1464, 1465, 2356, 2468, 2660, 2661 and 1479/Mds/2005 on file of Income Tax Appellate Tribunal, Chennai 'D' Bench respectively for assessment years 2000-01, 2000-01, 2001-02, 2001-02, 2000-01, 2000-01 and 2001-02. 3. appeals were admitted on 29.10.2012 on following substantial questions of law : 1. Whether, on facts and circumstances of case, Tribunal was right in holding that amount paid to employees under VRS is allowable as deduction on grounds of commercial expediency as against provisions of Section 35D as per which said expenses have to be allowed over period of 5 years and not to be allowed as deduction in full ? 2. Whether, on facts and circumstances of case, Tribunal was right in holding that remanding issue relating to inclusion of special training receipt, repair/service charges, scrap sale, 2/4 http://www.judis.nic.in TCA.Nos.262 to 268/2012 to profits eligible for deduction under Section 80HHC to Assessing Officer to decide in light of case decided in Virudhunagar Textiles Mills 97 ITD 306 ? 3. Whether, on facts and circumstances of case, Tribunal was right in holding that remanding issue relating to inclusion of income from windmill generation in total turnover/eligible profits for computing deduction under Section 80HHC to Assessing Officer to decide in light of case decided in Virudhunagar Textiles Mills 97 ITD 306 ? and 4. Whether on facts and circumstances of case, Tribunal was right in holding that interest under Section 234B and C had to be computed after setting off brought forward MAT credit, Tribunal also held that interest under Section 234B and C had to be computed after setting off brought forward MAT credit? 4. learned Senior Standing Counsel for appellant submits that above appeals are not pursued by Revenue on account of low tax effect in terms of Circular No.17/2019 dated 08.8.2019 issued by Central Board of Direct Taxes. By said Circular, monetary limit for filing or pursuing appeal before High Court has been increased to Rs.1 Crore. It is further submitted that tax effect in respective cases is less than threshold limit. 3/4 http://www.judis.nic.in TCA.Nos.262 to 268/2012 T.S.SIVAGNANAM,J AND PUSHPA SATHYANARAYANA,J RS 5. In light of said submissions, above tax case appeals are dismissed on account of low tax effect. substantial questions of law framed are left open. In event tax effect in respective cases is above threshold 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. 15.6.2020 To Income Tax Appellate Tribunal, Chennai 'D' Bench. TCA.Nos.262 to 268 of 2012 4/4 http://www.judis.nic.in Commissioner of Income-tax, Chennai v. Lakshmi Machine Work