The Commissioner of Income-tax, Chennai v. SKM Animal Feeds & Foolds India Ltd
[Citation -2020-LL-0706-25]
| Citation | 2020-LL-0706-25 |
|---|---|
| Appellant Name | The Commissioner of Income-tax, Chennai |
| Respondent Name | SKM Animal Feeds & Foolds India Ltd. |
| Court | HIGH COURT OF MADRAS |
| Relevant Act | Income-tax |
| Date of Order | 06/07/2020 |
| Assessment Year | 2002-03 |
| Judgment | View Judgment |
| Keyword Tags | commercial expediency • monetary limit • low tax effect • sister concern • claim of loss • suppression of sales |
| Bot Summary: | Respondent APPEAL under Section 260A of the Income Tax Act, 1961 against the order dated 15.2.2008 made in ITA.No. 2442/Mds/2005 on the file of the Income Tax Appellate Tribunal, Chennai 'D' Bench for the assessment year 2002-03. For Appellant: Mr.T.R.Senthilkumar, SSC Ms.K.G.Usharani, SC For Respondent: Mr.G.Baskar Judgment was delivered by T.S.Sivagnanam,J We have heard Mr.T.R.Senthilkumar, learned Senior Standing Counsel and Ms.K.G.Usharani, learned Standing Counsel appearing for the appellant Revenue and Mr.G.Baskar, learned counsel appearing for the respondent. The appeal has been admitted on 09.4.2012 on the following substantial questions of law : i. Whether, on the facts and circumstances of the case, the assessee had not made deliberate suppression of sale by under invoicing of sale with its sister concern without adhering to the agreements and consequent claim of loss to the extent of Rs.51.27 lakhs can be allowed and Whether, on the facts and circumstances of the case, the Tribunal was right in holding that the claim of loss on account of sale to its sister concern is allowable on commercial expediency 4. The learned Senior Standing Counsel for the appellant submits that the above appeal is 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. In the light of the said submissions, the above tax case appeal is dismissed on account of the low tax effect. In the event the tax effect 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 appeal to be heard and decided on merits. |