TCA NO. 524 of 2013 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 19-02-2025 CORAM THE HONOURABLE MR JUSTICE S. S. SUNDAR AND THE HONOURABLE MR JUSTICE C. SARAVANAN TCA NO. 524 of 2013 The Commissioner Of Income Tax Chennai ..Appellant Vs M/s Pallava Resorts Pvt Ltd Rain Tree Plac 5th Floor, Mcnichols Road, Chetpet, Chennai ..Respondent Prayer : This Appeal is filed under Memorandum of Appeal under Section 260-A of the Income Tax Act 1961 agains the order of the Income Tax Appellate Tribunal dated 24.05.2011 in ITA No. 2219/Mds /2010. For Appellant(s) : Mrs.V.Pushpa, Sr Standing Counsel For Respondent(s): Mr.A.S.Sriraman JUDGMENT (Order of the Court was made by the Hon'ble S.S.Sundar J.) This appeal is directed against the formal order of the Income Tax Appellate Tribunal dated 24.05.2011 in ITA No. 2219/Mds /2010.. In this appeal the appellant has raised the following substantial question of law to be answered; 1 https://www.mhc.tn.gov.in/judis “i. Whether on the facts and in the circumstances of the case, the Income Tax Tribunal was right in upholding the action of CIT (A) in holding that the deemed divident has to be assessed only upto the accumulated profits of the assessee as on the opening balance during the year and not the closing balance? ii. Whether on the facts and circumstances of the case, the Income Tax Appellate Tribunal was right in restricting the claim to an extent of Rs.21,77,062/- being the opening figure as on 01.04.2005 instead of Rs.1,26,18,935/- (closing figure as on 31.03.2006) is to be charged as deemed divident u/s 2(22) (e) of the Income Tax Act? Iii. Whether on the facts and circumstances of the case, the Income Tax Appellante Tribunal was right in holding that the Income tax demand raised subsequently can be reduced from the accumulated profits for the purpose of quantifying the deemed divident?” 2. Learned senior standing counsel appearing for the appellant submitted that the amount involved in the present appeal is below the monetary limit as per the circulars issued by the Government of India, Ministry of Finance, Department of Revenue, Central Board of Direct Taxes in Circular No. 5/2024 and 09/2024 dated 15.03.2024 and 17.09.2024 respectively. 2 https://www.mhc.tn.gov.in/judis 3. In view of the aforesaid submissions made by the learned senior standing counsel for the appellant, the appeal is dismissed as withdrawn. However, the substantital question of law is left open. No costs. (S.S.SUNDAR J.) (C.SARAVANAN J.) 19-02-2025 Index : Yes Internet :Yes/No ak 3 https://www.mhc.tn.gov.in/judis S.S.SUNDAR,J.) and C.SARAVANAN, J. ak TCA No. 524 of 2013 19-02-2025 4 https://www.mhc.tn.gov.in/judis