Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


S. Annamalai (BHUF) v. ITO (2020)82 ITR 68 (Chennai)(Trib.)

S. 14A : Disallowance of expenditure-Exempt income-Investment was made in earlier year-No interest expenditure was claimed-Matter remanded to the AO for fresh consideration. [R. 8D]

Abhinav International P. Ltd. v. Dy.CIT (2020) 82 ITR 258 (Delhi)(Trib.)

S. 14A : Disallowance of expenditure-Exempt income-Investment made in earlier years-Disallowance to be restricted to extent of funds invested. [R. 8D]

Kalyan Educational Society v. CIT (2020) 82 ITR 1/194 DTR 49/207 TTJ 505 (Kol.)(Trib.)

S. 12AA : Procedure for registration-Trust or institution-Running Educational Institutions imparting engineering courses-Recognised by All India Council for technical Education and Establishing Polytechnic College-Genuineness established-Eligible for grant of Registration-Grant of approval u/s. 80G only after satisfying conditions. [S.2(15), 80G]

Society for Indian Automobile Manufacturers v. ITO (E) (2020)82 ITR 279 (Delhi)(Trib.)

S. 11 : Property held for charitable purposes-Object of promoting growth of Automobile Industry In India and also to improve and protect environment-Entitled to exemption-Corpus fund-Amount transferred is not application of income-Foreign grants-Pending for approval-Characterisation of receipt as taxable income only at time of appropriation and not at time of receipt-Not income of assessee-No quantum additions-Penalty not leviable. [S. 2(15), 12, 12A, 271 (1)(c), Foreign Contribution (Regulation) Act of 2010, S.11 (1)]

Hamdard National Foundation (India) v. ACIT (E) (2020) 82 ITR 164 (Delhi)(Trib.)

S. 11 : Property held for charitable purposes-Corpus donations-Capital receipt-Market rent-Rent received far more than valuation of Municipal Corporation of Delhi-Rent increased to 10% every three years as per Delhi Rent Control Act, 1958-Exemption cannot be denied. [S. 11(1)(d), 13(2)(b), 13(3)]

Teradata Operations Inc. v. Dy. CIT (2020) 82 ITR 338 (Delhi)(Trib.)

S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Employees of Non-Resident assessee deputed to manage affairs of its associated enterprise in India and provide technical Knowledge-Employees continuing to make social security contributions in their country and their salaries distributed to their bank accounts-There-Revenue received by assessee by way of reimbursement constitutes fees for included services-DTAA-India-USA. [Art. 7]

Exotica Housing and Infrastructure Co. Pvt. Ltd. v. ITO (2020) 82 ITR 46 / 207 TTJ 992 (Delhi)(Trib.)

S. 2(22)(e) : Deemed dividend-Current account transactions outside purview of deemed dividend-Rule of consistency is followed.

CIT v. Chekkattu Chitty Funds (2020) 113 taxmann.com 604 (Ker) (HC) Editorial: SLP of assessee dismissed , Chekkattu Chitty Funds v. CIT (2020) 113 taxmann.com 606 / 269 Taxman 373 (SC)

S.132: Search and Seizure – Firm – Person actively involved in the activities of the firm – Search is held to be valid – Order of Tribunal is affirmed . [ S.40A(3), 68 )

Shri Saibaba Sansthan Trust (Shirdi) v. UOI ( 2020) 114 taxmann.com 489 / 270 Taxman 197 / 316 CTR 587 (SC) Editorial : Order of High Court is affirmed Shri Saibaba Sansthan Trust (Shirdi) v.UOI (2018) 100 taxmann.com 77/ 168 DTR 364/ 304 CTR 444 (Bom)(HC)

S. 147: Reassessment – Anonymous donations -Appeal pending on similar issue in another issue- Notice not to be quashed – Order of High Court remanding the matter was affirmed [ S. 115BBC , 148 ]

Audhut Timblo v. ACIT (2020) 420 ITR 62 / 196 DTR 335 (Bom) (HC)

S. 147 : Reassessment – After the expiry of four years- Block assessment- Addition deleted by CIT (A) – Notice to reassess the same is held to be not valid [ S. 132, 148 ,158BC , Art , 226 ]