Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Global Health (P.) Ltd. v. DCIT (2021) 191 ITD 279 (Delhi)(Trib.)

S. 48 : Capital gains-Computation-Cost of acquisition-Indexation cost-Joint Development agreement-Accounting treatment in books of account cannot determine the taxability under income-tax Act-Indexed cost of acquisition-Indexation was allowed till the taxable event of capital gains and not till the date of entering in to development agreement with developer-Provision of section 45(2) cannot be applicable to the assessee who is not a developer. [S 45, 45(2), 145]

InterGlobe Aviation Ltd. (IndiGo) v. ACIT (2021) 191 ITD 1/(2022) 216 TTJ 265 / 95 ITR 586/ 211 DTR 233(SB) (Delhi)(Trib.)

S. 48 : Capital gains-Computation-Assignment of rights-No consideration was received from lessor-Not taxable as capital gains. [S. 45]

Amit Vishnu Pashankar v. DCIT (2021) 191 ITD 576 (Pune) (Trib.)

S. 45(5A) : Capital gains-Joint development agreement-Ready reckoner value-Actual consideration-Fair market value-Value of consideration shown as per agreement has to be accepted-Provision of section 45(5A)) cannot be made applicable for the Assessment year 2015-16. [S. 45, 48, 50C]

JCIT v. Adrus Estate and Properties LLP. (2021) 191 ITD 166 / 213 TTJ 1 (UO) (Pune)(Trib.)

S. 45 : Capital gains-Land dealings-Stock in trade-Shown as investment for seven years-Assessable as capital gains and not as business income. [S. 2(13), 28(i)]

Shapers India (P.) Ltd. v. DCIT (2021) 191 ITD 700/ 214 TTJ 238 / 206 DTR 303 (Pune) (Trib.)

S. 43(6) : Written down value-Block of assets-Waiver of loan-Asset purchased in earlier year-Written back from capital reserve-No adjustment can be made. [S. 2(11), 2(24)(xviii), 32, 41(1), 43 (1)]

Dolphin Drilling Ltd. v. DCIT (IT) (2021) 191 ITD 181 / 204 DTR 209 / 212 TTJ 662 (Dehradun)(Trib.)

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Presumptive taxation-Remission of income tax liability of employees borne by assessee pertaining to earlier years-Not chargeable to tax-Claimed deduction and allowed-The income would be chargeable to tax-Matter remanded. [S.44BB(2)]

Ravindra Arunachala Nadar v. ACIT (2021) 191 ITD 520 (Chennai)(Trib.)

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Sundry creditors-Not claimed as deduction in earlier years-Addition cannot be made.

Dy. CIT v. Surbhit Impex (P.) Ltd. (2021) 191 ITD 711 / 206 DTR 105 / 214 TTJ 406 (Mum.)(Trib.)

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Payment was not made due to supply of inferior quality goods-Recovery of proceedings were pending-Addition cannot be made as cessation of liability.

Bright Enterprises (P.) Ltd. v. DCIT (2021) 191 ITD 740 / 90 ITR 394 (Amritsar)(Trib.)

S. 40A(2) : Expenses or payments not deductible-Excessive or unreasonable-Consultancy and technical services from sister concern-Disallowance was restricted only t0 10 per cent of total expenses.

ACIT v. India Power Corporation Ltd. (2021) 191 ITD 250 (Kol.)(Trib.)/Tasty Bite Eatables Ltd v .ACIT (2021) 89 ITR 699/ 214 TTJ 643 (Pune) (Trib)

S. 40(a)(ii) : Amounts not deductible-Rates or tax-Education cess is not income tax-Allowable deduction. [S. 37(1)]