Author: ksalegal

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Hitachi Hi Rel Power Electronics P. Ltd. v ACIT ( 2019) 106 CCH 0421 / (2020)421 ITR 574 (Guj) (HC)

S.147: Reassessment-After the expiry of four years- Share premium- No failure to disclose material facts- Reassessment notice on mere surmise that the assessee had received amounts as share premium is held to be not valid .[ S.148 ]

Jayesh S. Mehta v .Dy. CIT (2020)421 ITR 353 /313 CTR 721 / 273 Taxman 469(Karn)(HC)

S.143(3): Assessment – Estimation of rate of gross profit- Direction of the Tribunal – AO has followed the direction of Appellate Tribunal – Addition made by the AO is held to be valid . [ S.132 , 158BC, 254(1) ]

Torry Harris Sea Foods P. Ltd. v. Dy. CIT (2019) 104 CCH 0729 /(2020)421 ITR 555 / 193 DTR 377/ 316 CTR 656(Ker) (HC)

S. 92C : Transfer pricing – Arm’s length price – Comparable uncontrolled price method- The arm’s length price determined was not in excess of the invoice price by more than 5 per cent. The price fixed by the Transfer Pricing Officer was justified . [ S. 92A, 92B ]

PCIT v. Equant Solutions India Pvt. Ltd (2019) 106 CCH 0722 / (2020)421 ITR 655 (P&H)(HC) PCIT v .Orange Business Services India Solutions Pvt. Ltd (2020)421 ITR 655 (P&H)(HC) Orange Business Services India Solutions Pvt. Ltd. v. Dy. CIT (2020)421 ITR 655 (P&H)(HC)

S. 92C : Transfer pricing – Arm’s length price -Selection of comparables —Exclusion of dissimilarities of function is held to be justified- Appellate Tribunal- Additional evidence -Tribunal directed to examine issue of asessee’s involvement in activity of software development considering additional evidence produced .[ S.254(1)

Swabhimani Souharda Credit Co-Operative Ltd v. GOI (2020)421 ITR 670 / 107 CCH 0442 (Karn) (HC) Karnataka State Souharda Federal Co-Operative Limited v. GOI (2020)421 ITR 670 (Karn) (HC)

S. 80P : Co-operative societies – Entitle to deduction – Reassessment notice is held to be not valid . [ S.2(19) , 147, 148, Constitution of India , Art , 226 , Karnataka Co-Operative Societies Act, 1959, S. 2(D-2) ]

CIT (LTU) v. Reliance Industries Ltd. (2019) 104 CCH 0730 / (2020) 421 ITR 686 (Bom) (HC) Editorial: SLP is granted to the revenue CIT v. Reliance Industries Ltd. [2019] 418 ITR 13 (st) (SC)

S. 80IA :Industrial undertakings – Generation of Power- Captive Consumption — Valuation of profits to be taken at rate distribution companies allowed to supply electricity to consumers.

Avm Cine Products v. Dy. CIT (2020)421 ITR 431 (Mad)(HC)

S. 80IA :Industrial undertakings – Business income -Income from other sources – Interest on deposit of margin money and interest on belated payments by customers is assessable as business profits – Entitle to deduction . [ S.28(i) , 56 ]

Parwaz Food Packer (PFP) v. Dy. CIT (2019) 107 CCH 0419 / (2020) 421 ITR 377 (Mad)(HC) Editorial : SLP of the assessee is dismissed , Parwaz Food Packer (PFP) v. Dy. CIT [2020] 421 ITR (St.) 14 ( SC)

S. 80HHC : Export business – Supporting manufacturer – Certificate by main exporter and report of Chartered Accountant is mandatory- Failure to comply the same deduction is not available. [ S.80HHC(IA) ]

CIT (E) v. Shree Tapeshwar Hanumaji Bajrang Charity Trust (2020)421 ITR 358 /189 DTR 237 /314 CTR 622 (Guj) (HC)

S. 80G : Donation – Charitable Trust – Charitable Trust should be registered under Section 12A for availing the benefit .[ S.(2(15), 11, 12A, 12AA ]

PCIT v. Nageshwar Enterprises (2020)421 ITR 388/ 107 CCH 0418/ 277 Taxman 86 (Guj)(HC)

S. 69 :Unexplained investments -Income from undisclosed sources — Addition is held to be not justified merely on the basis of statement made by partner before Custom authorities . [ Customs Act, 1962, S. 108 ]