Author: ksalegal

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PCIT v. Remfry and Sagar (2025) 307 Taxman 490 (Delhi)(HC)

S. 37(1): Business expenditure-Licence fee-Use of goodwill-Travelling and entertainment expenses-Ad-hoc disallowance of 5 per cent-Provision for discount-Order of Tribunal deleting the disallowance is affirmed.[S. 260A]

Hinduja Foundries Ltd. v. ACIT (2025) 307 Taxman 336 /(2026) 486 ITR 117 (Mad.)(HC)

S. 37(1): Business expenditure-lease of plot-Long-term lease of 99 years-Development charges-Deduction allowable at 5% of contribution towards the development charges at the end of each year-Allowable as revenue expenditure.[S. 260A]

Apollo Tyres Ltd. v. ACIT (2025) 307 Taxman 170 (SC) Editorial : Apollo Tyres Ltd. v. ACIT(2022) 284 Taxman 687 (Ker)(HC)

S. 35: Scientific research-Agreement was granted on 17-6-2009 from 1-4-2007-Order of the High Court affirming the disallowance is affirmed-SLP dismissed earlier and refiled once again by a delay of 1251 days is also dismissed. [S. 35(2AB), Art. 136]

PCIT v. Sony India (P.) Ltd. (2025) 307 Taxman 173 (Delhi)(HC)

S. 32 : Depreciation-Assets discarded-Entitle to depreciation-Order of Tribunal affirmed. [S. 260A]

Hinduja Foundries Ltd. v. ACIT (2025) 307 Taxman 336 /(2026) 486 ITR 117 (Mad.)(HC)

S. 32 : Depreciation-lease of plot-Long-term lease of 99 years-Plot deposit-Depreciation not allowable. [S. 32(1)(ii), 260A]

PCIT v. Paschim Gujarat Vij Company Ltd. (2025) 307 Taxman 572 (Guj.)(HC)

S. 28(i): Business income-Income from other sources-Interest income on a loan given to staff-Matter remanded to the Assessing Officer-Order of Tribunal affirmed.[S. 56, 260A]

CIT (E) v. Bhojaram Leuva Patel Seva Samaj Trust (2025) 307 Taxman 86 (Guj.)(HC)

S. 12A : Registration-Trust or institution-Benefit of a particular religious community or caste, i.e., ‘Leuva Patel’ community-Provisions of section 13 could be invoked only at the time of assessment and not at the time of grant of registration-Remanded matter back to Commissioner (E) for reconsideration-Order of Tribunal affirmed. [S.12AB, 13, 260A]

British Agro Products (India) (P.) Ltd. v. PCIT (2025) 307 Taxman 1 (SC) Editorial : Notice issued in SLP filed by the assessee, PCIT v. British Agro Products (India) (P.) Ltd (2025) 175 taxmann.com 618 (Mad)(HC)

S. 2(1A) : Agricultural income-Cultivation and sale of white button mushrooms-High court held that the assessee is not entitled to exemption-Notice was to be issued in SLP filed by assessee against the order of High Court. [S. 10(1)]

National Co-Operative Development Corporation v. ACIT (2026) 484 ITR 193/ 308 Taxman 168 / 348 CTR 83 (SC) Editorial : Editorial : National Co-operative Development Corporation v. ACIT [2012] 204 Taxman 6 /[2013] 356 ITR 184 (Delhi) (HC) affirmed.

Interpretation of taxing statutes-Strict interpretation-Precedent-Judgment based on old, broader law cannot be used to interpret new, stricter provision.[S.36(1)(vii)]

DIT (IT) v. American Express Bank Ltd. (2026) 484 ITR 137/ 308 Taxman 246 / 348 CTR 38 / 256 DTR 497 (SC) DIT(IT) v. Oman International Bank S.A. O.G (Now Doha Bank) 2026) 484 ITR 137/ 308 Taxman 246 / 348 CTR 38 / 256 DTR 497 (SC) Editorial : CIT v. Emirates Commercial Bank Ltd. [2003] 262 ITR 55/[2004] 134 Taxman 682 (Bom) (HC) disapproved. DIT (IT) v. American Express Bank Ltd. [IT Appeal No. 1294 of 2013, dated 1-4-2015(Bom)(HC) set aside

Interpretation of taxing statues-Strict interpretation-Where words are plain and unambiguous, court bound to give effect to their plain meaning-Whether language is “plain and unambiguous” to be determined within context-Legislative intent-Crucial where language is ambiguous and capable of multiple constructions-Legislative purpose primarily to be gathered from specific words used by Legislature-Where language plain and unambiguous, court cannot read words into statute on notion that they would better serve legislative purpose-Aids to construction-Memorandum Explaining Provisions of Bill can be used to derive meaning of provision.[S.44C, 37 (1)]