S. 271C : Penalty – Failure to deduct at source -Failure or delay in remittances of tax deducted at source -Attracts interest and prosecution- No provision for levy of penalty- Interpretation Of Taxing statutes -Penal provisions -Strict construction. [S. 115O(2), 194B, 201(1A), 271C, 276B]
S. 271(1)(c) : Penalty -Concealment -Cash sales – Value Added Tax Authorities accepting cash Sales- Independent finding of fact that the assessee had introduced unaccounted income as cash sales —Inaccurate particulars of income -Levy of penalty affirmed by High court -SLP of assessee is dismissed. [S.80IAC, Art, 136]
S. 268A : Appeal -Instructions – Monetary Limits- Audit objection was not on the issue in the appeal – Appeal was dismissed in Limine. [S. 143(3) 260A, 263]
S. 263 : Commissioner – Revision of orders prejudicial to revenue – Commissioner holding view different from that of Assessing Officer on a particular issue -Revision is not justified- High Court cannot set aside finding of Appellate Tribunal unless finding is perverse.[S. 260A]
S. 263 : Commissioner – Revision of orders prejudicial to revenue -Capital gains -Cost of improvement -Paid to shareholders under Family Settlement – Discharge encumbrances-Cost of improvement -Relinquishment of rights – Assessing Officer accepting claim -Order erroneous and prejudicial to Revenue -Revision is justified- Order of High Court reversed. [S. 45, 48, 55(1)(b)]
S. 263 : Commissioner – Revision of orders prejudicial to revenue -Total income -Eligible profit -Export profit -Deduction under Section 80HHC to be computed on eligible profits only after reducing profits on which deduction availed of under Section 80IB of the Act -Revision was affirmed -Special Leave to appeal of the assessee was dismissed. [S.80HHC, 800IA(9), 80IB(13)]
S. 234A : Interest – Default in furnishing return of income – Levy of interest is mandatory. [S. 2(35), 5, 6(3)(ii), 131, 142(1), 143(2), 148, 282]
S. 197 : Deduction at source – Certificate for lower rate -Non -Resident – Payments under distributor agreement —Certificate for withholding tax at rate of 9.99 Per Cent- Order set aside- Precedent -Supreme Court -Binding on Authorities. [S. 195, Rule 28AA, Art. 226]
S. 195 : Deduction at source – Non-resident -Observations of High Court that if in assessment proceedings of Netherlands company, that company held liable to be taxed in India and assessee would also be treated as in default -Observation was quashed. [S.40(a)(i)), Art. 136]
S. 158BE : Block assessment – Time limit – Search and seizure – Limitation -From date of last Panchnama and not date of last warrant of authorisation [S. 132, 158C]