TCA.No.577 of 2014 In High Court of Judicature at Madras Dated : 18.06.2020 Coram : Honourable Mr.Justice T.S.SIVAGNANAM and Honourable Mrs.Justice PUSHPA SATHYANARAYANA Tax Case Appeal No.577 of 2014 Commissioner of Income Tax, Coimbatore. ...Appellant -vs- M/s.Sri Baba Theatres Pvt Ltd., No.36/52, Devanga High School Road, R.S.Puram, Coimbatore. ...Respondent APPEAL under Section 260A of Income Tax Act, 1961 against order dated 07.12.2012 made in I.T.A.No.478/Mds/2012 on file of Income Tax Appellate Tribunal 'B' Bench, Chennai for assessment year 2008-09. For Appellant : Mr.T.R.Senthil Kumar, Senior Standing Counsel & Ms.K.G.Usha Rani, Standing Counsel For Respondent : Mr.R.Sivaraman ****** 1/5 http://www.judis.nic.in TCA.No.577 of 2014 Judgment (Judgment of Court was delivered by T.S.Sivagnanam, J.) We have heard Mr.T.R.Senthil Kumar, learned Senior Standing Counsel and Ms.K.G.Usha Rani, learned Standing Counsel appearing for appellant- Revenue and Mr.R.Sivaraman, learned counsel for respondent-assessee. 2. This appeal, filed by Revenue under Section 260A of Income Tax Act, 1961 is directed against order dated 07.12.2012, made in I.T.A.No.478/Mds/2012 on file of Income Tax Appellate Tribunal 'B' Bench, Chennai for assessment year 2008-09. 3. appeal was admitted on 27.10.2014 on following substantial questions of law:- 1. Whether on facts and in circumstances of case, Tribunal was right in holding that there is no income accrued from purchase and sale of satellite rights through irrevocable agreement for period of 99 years? 2.Whether on facts and in circumstances of case, Tribunal was right in holding that income from transfer of satellite rights does not arise in year of transfer but in 2/5 http://www.judis.nic.in TCA.No.577 of 2014 later year only? 3.whether on facts and in circumstances of case, Tribunal was right in holding that accrual of income will take place only after date of release, though there is actual purchase and sale of rights on which consideration was received? 4.Whether on facts and in circumstances of case, Tribunal was right in not holding that income accrued in purchase and sale of satellite right in year of transfer of right, when assessee is following mercantile system of accounting? 4. learned Senior Standing Counsel for appellant submits that above appeal is 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 this case is less than threshold limit. 5. In light of said submissions, above tax case appeal is 3/5 http://www.judis.nic.in TCA.No.577 of 2014 dismissed on account of low tax effect. substantial questions of law framed are left open. In event tax effect is above threshold limit fixed in said circular, liberty is granted to Revenue to make mention to this Court to restore appeal to be heard and decided on merits. No costs. (T.S.S., J.) (P.S.N., J.) 18.06.2020 Internet: Yes/No To Income Tax Appellate Tribunal 'B' Bench, Chennai. abr 4/5 http://www.judis.nic.in TCA.No.577 of 2014 T.S.SIVAGNANAM,J AND PUSHPA SATHYANARAYANA, J. abr TCA.No.577 of 2014 18.06.2020 5/5 http://www.judis.nic.in Commissioner of Income-tax, Coimbatore v. Sri Baba Theatres Pvt. Ltd