Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


PCIT v. Jagat Pravinbhai Sarabhai ( 2022) 142 Taxmann.com 247 ( Guj)(HC)

S.68 : Cash credits – Capital gains – Penny stock –Shell company – Investment in shares were held for more than 10 years – Addition cannot be made as cash credits . [ S. 10(38) ,45 ]

CIT v. Mukund Bhavan Trust ( Bom)( HC) (UR)

S. 13 : Denial of exemption-Trust or institution-Investment restrictions –Rent charged to trustee less than market rate – Violation of section 13 exemption cannot be denied- Only the income to the extent of violation is liable to tax at maximum marginal rate .[ S. 11, 12 ,12A, 13(1)(c)(ii)]

ACIT v. Parsons Brinckershoff India (P)Ltd ( 2022) 140 taxmann.com 645 ( Delhi)( Trib)

S. 271C : Penalty – Failure to deduct at source –Mercantile system of accounting – Provision made on estimate basis – Tax was deducted and deposited TDS upon crystallization of liability to pay expenses on receipt of invoices- Penalty is not leviable .[ S. 40(a)(ia), 145 ]

Ishwar Dewlling Pvt Ltd v .PCIT ( 2022) The Chamber’s Journal -July – P. 124 ( Lucknow ) ( Trib)

S. 263 : Commissioner – Revision of orders prejudicial to revenue – Capital gains – Agricultural land – Issue scrutinized in the assessment proceedings and under rectification proceedings – revision is bad in law [ S. 45 , 154 ]

Mattapali Ram Kumar v. ACIT ( 2022) The Chamber’s Journal -April – P. 103 ( Vishakha ) ( Trib)

S. 263 : Commissioner – Revision of orders prejudicial to revenue – Compensation received under compulsory acquisition is not chargeable to capital gains – Revision is not valid [ S. 45(5), Right to Fair Compensation and Transparency in Land Acquisition Act , 2013, S.96 ]

Nagardas Kanji Shah ( 2022) The Chamber’s Journal -March – P. 115 ( Mum) ( Trib)

S. 263 : Commissioner – Revision of orders prejudicial to revenue – Bogus purchases – Addition of 12. 5% of alleged bogus purchases – Revision is not valid [ S. 143(3) ]

Manjulaben Tomar v.ITO ( 2022) The Chamber’s Journal – July -P. 123 ( Ahd )( Trib)

S. 254(2): Appellate Tribunal-Rectification of mistake apparent from the record – Ex -parte order – Dismissed for non-prosecution without dealing with the merits of the case – Time limit of six months does not apply – Application was filed after 678 days of passing of order- Order recalled [ S. 254(1), ITAT Rule 24, 25 ]

The Raibag Taluka Primary Co -Operative Agriculture & Rural Development Bank Ltd ( 2022) The Chamber’s Journal -April – P. 102 ( Panji ) ( Trib)

S. 251 : Appeal – Commissioner (Appeals) – Powers – CIT(A) does not have power to dismiss an appeal for non-prosecution-Order set aside and restored the matter to decide on merits . [ S. 251(2)]

Interglobe Enterprises Pvt Ltd v. ACIT ( 2022) The Chamber’s Journal -August – P. 156 ( Delhi ) ( Trib)

S. 199 : Deduction at source – Credit for tax deducted – Credit of TDS should be availed in the year in which income is assessed [ S. 199(3), Rule 37BA(3), Form No. 26AS. ]

DCIT v. Anjana Modi ( 2022) The Chamber’s Journal -March – P. 114 ( Mum) ( Trib)

S. 153A: Assessment – Search or requisition- No addition can be made in the absence of an incriminating material even if return of income is processed u/s 143(1) of the Act . [ S. 132, 143(1)]