Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


CIT v. T. Ani Chandra Kala (Smt.) (2020) 429 ITR 179 (Mad.)(HC) CIT v. Pauldhas Regin (2020) 429 ITR 179 (Mad.)(HC)

S. 68 : Cash credits -Advances received in cash for supply of materials- Confirmation letter furnished along with PA No- Deletion of addition is held to be justified. [S. 131]

CIT v. VVA Hotels Pvt. Ltd. (2020) 429 ITR 69 / (2021) 276 Taxman 330 (Mad.)(HC)

S. 56 : Income from other sources-Shares-Method of valuation-Discounted Free Cash Flow Method -Net Asset Value- Deletion of addition is affirmed. [S. 56(2)(viib), R.11UA(ii)]

Fabsun Engineering Pvt. Ltd. v. ITO (2020) 429 ITR 540/ (2021) 277 Taxman 328 (Karn.)(HC)

S. 54G : Capital gains-Shifting of industrial undertaking from urban area-Notification in April 2006-Notification did not have retrospective effect-Not entitled to exemption.

CIT v. Vummudi Amarendran (2020) 429 ITR 97 / (2021) 277 Taxman 243/ 199 DTR 137/ 319 CTR 437 (Mad.)(HC)

S. 50C : Capital gains-Full value of consideration-Stamp valuation Amendment with effect from 1-4-2017-Statutory amendment is made to remove an undue hardship-Amendment retrospective. [S. 45]

Chittharanjan A. Dasannacharya v. CIT (2020) 429 ITR 570 / 195 DTR 433/ (2021) 318 CTR 74/ 276 Taxman 433 (Karn.)(HC)

S. 45 : Capital gains-Stock option is a capital asset-Gains on exercising option-Stock option given to consultant-Assessable as capital gains -Rule of consistency to be followed when other assesses assessment the claim was accepted as capital gains. [S. 2(14), 2(42A) 2(47), 17(2)(iia)]

Magadh Stock Exchange Association v. CIT (2020) 429 ITR 75 / 195 DTR 22 / 317 CTR 434 / 275 Taxman 45 (Pat.)(HC)

S. 43B : Deductions on actual payment-Mercantile system of Accounting-Securities Transaction Tax-Amount not deposited with authorities or returned to person from whom deducted-Disallowance of the amount -Neither perverse nor illegal. [Art. 226]

PCIT v. Ajit Ramakant Phatarpekar (2020) 429 ITR 319 / 196 DTR 296 /( 2021 ) 277 Taxman 543 (Bom.)(HC) PCIT v. Neelam Ajit Phatarpekar (2020) 429 ITR 319 / 196 DTR 296/ (2021 ) 277 Taxman 543 (Bom.)(HC)

S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Confirmation was filed-Deletion of addition is held to be justified.

PCIT v. Ajit Ramakant Phatarpekar (2020) 429 ITR 319 / 196 DTR 296 /( 2021 ) 277 Taxman 543 (Bom.)(HC) PCIT v. Neelam Ajit Phatarpekar (2020) 429 ITR 319 / 196 DTR 296/ ( 2021 ) 277 Taxman 543 (Bom.)(HC)

S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Books of account not rejected- Transactions involving less than Rs.20,000 – H Forms obtained-Deletion of addition is held to be justified. [S. 37(1)]

Tamil Nadu State Marketing Corporation Ltd. v. UOI (2020) 429 ITR 327 / 196 DTR 289 / 317 CTR 961 / (2021) 276 Taxman 378 (SC)

S. 40(a)(iib) : Amounts not deductible-Validity of provision-Exclusive Jurisdiction of High Court to consider-Cause of action for challenge to vires of provision arose on issue of show-cause notice-High Court is directed to dispose of writ petition on merits. [Art. 14, 226]

India Furniture Products Ltd. v. CIT (2020) 429 ITR 432 / 196 DTR 345 / (2021) 318 CTR 57 / 276 Taxman 427 (Bom.)(HC)

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Non-resident-Interest-Usance charges paid on letters of credit issued by Indian Banks for import of raw materials-Income of non-Resident- Liable to deduct tax at source. [2(28A), 5(2), 9(1)(v)(b), 195(1)]