Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Faqir Chand (Through Legal heir Sh. Kapil Muni) v. NEAC (2022)449 ITR 603 (Delhi)(HC)

S. 144B : Faceless Assessment-Violation of the principle of natural justice-Unable to respond due to technical glitch-Order was set aside and matter remanded. [S. 143(3), Art. 226]

Kalaignar TV Pvt. Ltd. v. CIT (2022) 449 ITR 492/(2023) 290 Taxman 334 (Mad.)(HC)

S. 143(3) : Assessment-Principle of natural justice-Guidelines for passing assessment order-Cash credits-2 G scam-Procedure for assessment laid down in Manual of office procedure issued by Directorate of Income-Tax must be followed-Assessing Officer must furnish to assessee all copies of documents referred to in order of assessment-Direction of the Tribunal must be followed-Prayer for one more opportunity to respondents was rejected-The assessment order was annulled. [S. 68, 254(1), Art. 226]

Steel and Industrial Forgings Ltd. v. Dy. CIT (2022) 449 ITR 164 / 220 DTR 482 /(2023) 291 Taxman 448/ 331 CTR 94(SC) Editorial: Decision in Steel and Industrial Forgings Ltd. v. Dy. CIT (2009) 318 ITR 18 (Ker)(HC), reversed.

S. 143(1)(a) : Assessment-Intimation-Prima facie adjustment-Additional tax-Depreciation-Reduction of loss-Leviable only where attempt to evade tax proved-Department was to be set aside [S. 143(IA).

PCIT v. Macquarie Global Services Pvt. Ltd. (2022)449 ITR 306 (Delhi)(HC)

S. 92C : Transfer pricing-Arm’s length price-Selection of comparables-Functional dissimilarities and non-availability of segmental data-Finding of fact. [S. 92CA, 260A]

Polyflex (India) Pvt. Ltd. v. CIT (2022) 449 ITR 244 / 219 DTR 521 / 329 CTR 587 / (2023) 290 Taxman 366 (SC) Editorial: CIT v. Polyflex (India) Pvt. Ltd (2014) 363 ITR 224(Karn)(HC), affirmed.

S. 80IB : Industrial undertakings-Manufacture of article falling under Eleventh Schedule-Polyurethane foam-Manufacturing polyurethane foam and supplying it in different sizes and designs to assembly operator for use ultimately for car seats-Not entitled to deduction. [S. 80IB(2)(iii), Sch. XI, Entry 25.]

CIT v. Mansukh Dyeing and Printing Mills (2022) 449 ITR 439 /220 DTR 189 / 329 CTR 673 / 145 taxmann.com 151 / (2023) 290 Taxman 277 (SC) Editorial: Review petition of assessee is dismissed , Mansukh Dyeing and Printing Mills v.CIT ( 2023) 293 Taxman 516 ( SC) / Order of Bombay High Court, CIT v. Mansukh Dyeing and Printing Mills (ITA Nos. 1074 and 1147 of 2009 dt. 24-6-2013 (Bom)(HC), reversed.

S. 45(4) : Capital gains-Distribution of capital asset-Transfer-Dissolution of firm-Revaluation of assets and credit to capital accounts of partners-Introduction of new partners-Withdrawal of credit from capital account-Otherwise-Firm is liable to pay capital gains tax. [S. 2(47)(ii), 47(ii), 50]

PCIT v. Dakshin Haryana Bijli Vitran Nigam Ltd. (2022) 449 ITR 605 (P&H)(HC).Editorial: SLP of Revenue is dismissed , PCIT v. Dakshin Haryana Bijli Vitran Nigam Ltd ( 2023) PCIT v. Dakshin Haryana Bijli Vitran Nigam Ltd( 2023) 454 ITR 801 ( SC)

S. 43B : Deductions on actual payment-Mercantile system of accounting-Electricity duty-Agency to collect electricity duty-Provision is not applicable. [S. 43B(a), Electricity Act, 2003]

SRC Aviation P. Ltd. v. ACIT (2022)449 ITR 169 /(2023) 290 Taxman 3 (SC) Editorial : SRC Aviation P. Ltd. v. ACIT (2022) 445 ITR 40/ 140 taxmann.com 193/ 288 Taxman 159 (Delhi)(HC), affirmed.

S. 36(1)(ii) : Bonus or commission-Bonus paid-Avoid payment of dividend distribution tax-Disallowance affirmed.

PCIT v. PTC India Financial Services Ltd. (2022)449 ITR 309 (Delhi)(HC)

S. 32 : Depreciation-Based on evidence-No question of law. [S. 260A]

Equity Intelligence India Pvt. Ltd. v. ACIT (2022) 449 ITR 396 / 329 CTR 793 / 220 DTR 193 (SC) Editorial : Equity Intelligence India Pvt. Ltd. v. ACIT(2015) 376 ITR 321 (Ker)(HC), partly affirmed.

S. 28(i) : Business income-Capital gains-Purchase and sale of shares-Short period of holding and frequency of transactions-Assessable as business income. [S. 45]