Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Dy. CIT v. Dee Development Engineers Ltd. (2021) 87 ITR 38 (SN) (Delhi)(Trib.)

S. 43B : Deductions on actual payment-Contributions to provident fund and employee’s state insurance-contributions made late but before filing return-allowable. [S. 2(24)(x), 37(1)]

Honda Motorcycle and Scooter India (P.) Ltd. v. DCIT (2021) 187 ITD 264 (Delhi)(Trib.)

S. 43A : Rate of exchange-Foreign currency-Fixed asset-Foreign currency loan-Adjustment against foreign exchange gain against capital work in progress and net amount of gain was to be offered to tax.

Hothur Traders v. ACIT (2021) 87 ITR 20 (SN) (Bang.)(Trib.)

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Purchaser written off Advance paid as bad debts-Advance received is taxable.

ITO v. Suresh Kumar (2021)187 ITD 311 (Delhi)(Trib.)

S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Travel agency-Cash payments exceeding prescribed limits-business contingency-Payment genuine-Not disallowable. [Rule 6DD]

CIMS Hospital (P.) Ltd. v. DCIT (2021) 187 ITD 449 (Ahd.)(Trib.)

S. 40A(2) : Expenses or payments not deductible-Excessive or unreasonable-Diversion of income-Matter remanded-lockdown was in force was to excluded for purpose of time limits set out in rule 34(5) of ITAT Rules for pronouncement of orders. [ITAT R. 34(5)]

Rajesh Bajaj v. DCIT (2021) 187 ITD 230 / 211 TTJ 750/ 201 DTR 310 (All.)(Trib.)

S. 40A(2) : Expenses or payments not deductible-Excessive or unreasonable-Related parties-Fair market value of rent-Failure to conduct any enquiry-No disallowance can be made-Sister-in-law of an individual does not fall under definition of relative under section 2(41)-Rental payment on account of godowns / shop made to sisters-in-law could not be disallowed. [S. 2(41), 56(2)]

Mac Industries v. ITO (2021) 187 ITD 322 / 211 TTJ 597 / 201 DTR 264(Surat)(Trib.)

S. 40(b) : Amounts not deductible-Book profit-Remuneration-Interest income-included for computation of Book profit for computing partner’s remuneration. [S. 40(b)(v)]

Quality Traders v. ITO (2021) 87 ITR 26 (SN) (Delhi)(Trib.)

S. 40(b) : Amounts not deductible-Partnership-Remuneration payable to partners. Partnership Deed not specify manner of computation. Disallowance accepted. [S. 40(b)(v)]

R. K. Associates. v. ITO (2021) 187 ITD 827 (Bang.)(Trib.)

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Long term capital gains on sale of immoveable property-Commission paid without deduction of tax at source-No disallowance can be made while computing the income under the head capital gain. [S. 45, 194H]

Modern Threads India Ltd. v. ACIT (2021) 187 ITD 815 / 211 TTJ 1 (UO) (Jaipur)(Trib.)

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Commission to non-resident entities-Services rendered outside India-Not liable to deduct tax at source-Article 7 of the OECD Model Convention. [S.195]