Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


DCIT v. Manish Vijay Mehta ( Mum)( Trib) www.itatonline .org DCIT v. Urvi Manish Mehta ( Mum)( Trib) www.itatonline .org

S. 68: Cash credits – Foreign bank deposits – HSBC account – Non -Resident – Merely on the basis of ‘base note’ addition cannot be made in the hands of non -Resident – Deletion of addition is affirmed . [ S. 5(2), 6 , 147, 148]

Nusli N. Wadia v. ACIT (2022)447 ITR 363 / 142 taxmann.com 333 (Bom)( HC) Editorial: SLP of assessee dismissed, Nusli N. Wadia v. ACIT (2022) 142 taxmann.com 334 (SC)

S. 148 : Reassessment –Notice – Reasons recorded not furnished – Directions issued to Department to furnish the reasons recorded [ S. 147, Art , 226 ]

Golden Tobacco Ltd. v. ACIT (2022)447 ITR 736/ 285 Taxman 688 (Bom) (HC)

S. 147 : Reassessment –With in four years- Reason must be based on tangible material —Change of opinion -Assessment order did not mention these issues not material — Reasons cannot be improved or supplemented or substituted by affidavit or oral submissions- Notices and order rejecting objections quashed and set aside .[ 142(1), 143(2), 148 , Art , 226 ]

B. Braun Medical (India) Pvt Ltd v. DCIT (Mum)(Trib) www.itatonline .org

S. 144C: Reference to dispute resolution panel – Transfer pricing – No variation in Arm’s Length Price – Barred by limitation – No draft order as assessee is not an “eligible assessee” – Draft order and final assessment order is quashed. [ S.92CA(3), 144C(15)(b) ]

ACIT v. Suratchandra B. Thakkar (HUF) (2022) BCAJ -October -P. 56 (Mum )( Trib)

S. 145 : Method of accounting –Project competition method – Development agreement – Stock in trade – Advances received by an assessee landlord who has converted land in to stock in trade , following project completion method are not taxable on receipt basis [ S. 4 , 28(i), 45 ]

Sai Bhargavnath Infra v. ACIT (2022) BCAJ -October -P. 69 (Pune )( Trib)

S.43CA: Transfer of assets- other than capital assets- Full value of consideration- stock in trade-Agreement value – Stamp valuation- Proviso to section providing for tolerance limit of 10 percent , being beneficial in nature is , retrospective . [ S.50C ]

CIT v.SSL-TTK Ltd. (2022) 209 DTR 331 (Mad) (HC)

S. 271G : Penalty – Documents – International transaction – Transfer pricing – Conduct of Assessee can be considered as a reasonable act of an organization acting with prudence under normal circumstances without negligence or inaction or want of bonafides, hence no penalty u/s 271G can be invoked.

PCIT v. Hyrcon Electronics (2022) 209 DTR 61 / 324 CTR 614 (HP) (HC)

S. 268A : Appeal – Application – Reference – Instructions -CBDT Circular – Low tax effect – Tribunal dismissed the appeal on disallowance u/s. 14A. Since the Tribunal recorded findings only on the interpretation of the contents of the Circular No. 5/2014 dealing with disallowance u/s. 14A, the said findings cannot be regarded as the Tribunal declaring the CBDT Circular No. 5/2014 either as illegal or ultra vires.[ S. 253, 260A ]

Bimal vs.Pala( Legal heir of Late Smt. Ranjana Paala) v. ACIT (2022) BCAJ -October -P. 69 ( Bom)(HC)

S. 260A : Appeal – High Court – Additional ground – Revision order was passed in the name of dead person – Matter remanded . [ S. 263 ]

Volvo India Pvt. Ltd. (Rep by its Managing Director Sri Kamal Bali) v. ITO (TDS) (2022) 210 DTR 299 / 327 CTR 299 (Karn)(HC)

S. 201: Deduction at source – Failure to deduct or pay – assessee made ad-hoc provisions of expenses in respect of various services received to facilitate closing of the books without reference to any particular party – No deduction towards the expenditure was claimed under these provisions – Proceedings under section 201 / 201(1A) unjustified. [S. 40(a)(ia)]