Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Archana Traders Pvt. Ltd. v. ITO (2021) 189 ITD 626 / 214 TTJ 231 / 206 DTR 393 (Bang.)(Trib.)

S. 28(iv) : Business income-Value of any benefit or perquisites-Forfeiture of advance money-Benefit or perquisite arising from the business shall not be in monetary form-Not taxable-Amount would go to reduce the cost of property. [S. 51]

Pricewaterhouse Coopers (P.) Ltd. v. ACIT (2021) 189 ITD 329 (Kol.)(Trib.)

S. 28 (iv) : Business income-Grant received for specific purpose i.e., for procuring a capital asset, this receipt being in cash could not have been taxed u/s. 28(iv) [S.4]

Kumar Properties and Real Estate (P.) Ltd. v. DCIT (2021) 190 ITD 212 / 87 ITR 169 (SN)/ 212 TTJ 227/ 202 DTR 425 (Pune)(Trib.)

S. 23 : Income from house property-Annual value-Unsold flat as stock in trade-buildings or land appurtenant thereto-Occupied by owners for the purpose of business-Excluded for the purpose of computing notional rent. [S. 22]

Pricewaterhouse Coopers (P.) Ltd. v. ACIT (2021) 189 ITD 329 (Kol.)(Trib.)

S. 14A : Disallowance of expenditure-Exempt income-Disallowance is restricted to extent of exempt income. [R.8D]

Navajbai Ratan Tata Trust v. PCIT (2021) 189 ITD 535 / 88 ITR 170 / 210 TTJ 921 / 200 DTR 9 (Mum.)(Trib.)

S. 12A : Charitable or religious trust-Registration-Cancellation of registration-Assessee unwilling to avail benefit of registration obtained u/s. 12A cannot be bound to, by action of or by inaction of revenue authorities, continue with said registration-Benefit could not be forced upon the assesseee. [S. 12A(3), 13(1)(d)]

Acharya Jiyalal Vasant Sangeet Niketan v. ITO(E) (2021) 189 ITD 1 / 211 TTJ 655 / 200 DTR 289 (SMC) (Mum.)(Trib.)

S. 11 : Property held for charitable purposes-Rental income derived from letting out studio to artists for teaching Indian classical music comes within the ambit of “education”-Assessee is entitled to exemption. [S. 2(15), 11(4A)]

Ansys Inc. v. ACIT (IT) (2021) 189 ITD 671 (Pune)(Trib.)

S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Income from sale of software license-Not assessable as royalty-DTAA-DTAA-India-USA. [Art. 5, 7, 12]

Interworld Shipping Agency LLC. v. DCIT (IT) (2021) 189 ITD 213 / 201 DTR 161 / 211 TTJ 385 (Mum.)(Trib.)

S. 9(1)(i) : Income-Deemed to accrue or arise in India-Shipping, Inland waterways transport-Wholly managed or controlled from the UAE-satisfied requirement of article 4-Entitled to treaty benefit-DTAA-India-UAE. [S. 90, 144C, Art. 4(1)(b), 8(1), 29]

Mon Mohan Kohli v. ACIT (2021] 133 taxmann.com 166 ( Delhi ) (HC)www.itatonline.org

S. 148: Reassessment – Notice-Constitutional validity – The delegation authorized being only for the purpose of enlarging limitation under a valid law, such delegation could not be exercised to resurrect the provision of law that stood omitted from the statute book by virtue of its substitution made by the Finance Act, 2021, w.e.f. 01.04.2021 – Reassessment notices issued under section 148 of the Act are quashed-It is left open to the assessing authority to initiate – re-assessment proceedings in accordance with the provisions of the Act, as amended by the Finance Act, 2021 after making due compliance as required under the law. [S. 147, 148A, 149, 151, 151A, 153, 292 Relaxation of Certain Provisions) Act, 2020 (TOLA), S. 3(1) of the Act 38 of 2020, Art. 226]

Bhupendra Bhikhalal Desai v. ITO (2021) 320 CTR 289/ 200 DTR 313/130 taxmann.com 196 (Guj)(HC).Editorial : SLP of revenue dismissed , ITO v. Bhupendra Bhikhalal Desai (2021) 283 Taxman 189 / 283 Taxman 376 (SC)

S. 292B : Notice not to be invalid on certain grounds – Notice issued in the name of a dead person is a nullity. [ S.153C ]