Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


ITO v. Sabre Travel Technologies (P) Ltd (2021) 186 ITD 164 (Bang) (Trib)

S. 92C : Transfer pricing – Arm’s length price – Working capital adjustment is to be allowed on actual without making adjustment to average working capital component of comparables . [ S.10A, 92CA ]

Tata Consultancy Services Ltd. ACIT / (2020) 121 taxmann.com 190 / (2021) 186 ITD 721 (Mum)( Trib.)

S. 90: Double taxation relief – Credit for foreign taxes on income eligible for deduction u/s 10A/10AA – Allowed as per the treaties-DTAA- India -USA [ S. 10A, 10AA, 90(1)(a)(ii), 91 ]

SCAHygiene Products AB v. Dy. CIT (IT) (2021) 187 ITD 419/ 197 DTR 401 / 209 TTJ 545/ 123 taxmann.com 152/ 85 ITR 607 (Mum)(Trib)

S. 90: Double taxation relief – Most Favourable Nation clause – Applied automatically – No separate notification.- Not assessabke as fees for technical services – DTAA -India – Sweden [ S.9(1)(vii), Art , 12 (4)(a) ]

Sant Motiram Maharaj Sahakari Pat Sanstha Ltd. v. ITO (2021) 186 ITD 220 (Pune)(Trib.)

S. 80P: Deductions – Income of co-operative societies (Credit Societies) – interest earned on short term deposits eligible for deduction .[ S. 80P (2) (d)]

Thane Zilla Madhyamik Shikshak Sangh Sahakari Patpedhi Maryadit v. ACIT (2021) 187 ITD 291 / 124 Taxmann.com 75 / 197 DTR 81 / 209 TTJ 571 (Mum) (Trib)

S. 80P: Co-operative societies – Deposit only from Members – Determination based on Charter documents – Not based on mere admission – Deduction allowable.[ S.80P(2)(a)(i), 269SS, 271D]

ACIT v. El Dorado Biotech Pvt. Ltd (2020) 208 TTJ 817/ (2021) 186 ITD 661 (Ahd )(Trib)

S. 68: Unexplained cash credit-Not providing an opportunity to cross examine the witness-violation of principles of natural justice-when all the requisite documents and information is provided by the assesse onus shifts to the Revenue to cross verify the details furnish-otherwise no addition can be made [ S. 132, 147 , 148 ]

Rich Paints Ltd. v. ITO(2021) 186 ITD 425 / 210 TTJ 532/ 199 DTR 1 (Ahd)(Trib.)

S.68 : Cash credit -Share capital- Manipulated accounts by way of bogus/fictitious entries, transactions did not involve actual cash inflow, it was unrealizable for assessee to discharge onus of establishing identity and creditworthiness of parties and genuineness of transaction, addition cannot be made as cash credits – maxim is “Lex non cogitadimpossibilia” – theory of impossibility of performance applied – Addition was deleted .

Savita Bhasin (Smt.) v. ITO (2020) 84 ITR 602/ (2021) 186 ITD 195 (Delhi)( Trib.)

S. 54F : Capital gains – Investment in a residential house – Joint Ownership cannot come in way of claiming exemption [ S.45 ]

Noida Cyber park (P.) Ltd v. ITO (2021) 186 ITD 593 (Delhi) (Trib)

S. 50C : Capital gains – Full value of consideration – Stamp valuation – Addition cannot be made under section 50C on the transfer of leasehold rights in land or building.[ S.45 ]

Maria Fernandes Cherly v. ITO (IT )(2021) 187 ITD 738/ 123 Taxmann.com 252 /209 TTJ 850 /198 DTR 137/ 85 ITR 674 (Mum)(Trib) www.itatonline.org

S. 50C: Capital gains – Full value of consideration – Stamp valuation – Sale Consideration – Third proviso- Retrospective- Difference between the stated consideration vis -a -vis stamp duty valuation is less than 10 % of the stated consideration , section 50C is not applicable . [ S.45 ]