Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Nisarg Lifespace LLP v. ITO (2021) 89 ITR 22 (SN) (Mum.)(Trib.)

S. 68 : Cash credits-Loans-Alleged accommodation entries-Opportunity of cross examination was not provided-Summons was not issued-Loans received and repaid by account payee cheques-Tax was deducted at source-Addition was held to be not valid-Interest on said loans are allowable as deduction. [S. 36(1)(iii), 133(6)]

Dy. CIT v. Gogoal Hydro Pvt. Ltd. (2021) 89 ITR 65 (SN) (Delhi)(Trib.)

S. 68 : Cash credits-Share application money-Summons Issued twice returned unserved-Report of inspector that no companies existed at given address-Forfeiture of share application money in immediately succeeding year-Addition is held to be proper.

Ekta Housing Pvt. Ltd. v. Dy. CIT (2021) 89 ITR 56 (Mum.)(Trib.)

S. 68 : Cash credits-Loose sheets and data retrieved from mobile phones are not books of account-It may be assessed as business receipts and not as cash credits. [S. 2(12A)]

TSI Yatra (P.) Ltd v. ACIT (2021) 209 TTJ 596 (Delhi)(Trib.)

S. 56 : Income from other source-When the Assessee has adopted DCF method, one of the methods prescribed by the Act to determine fair value, then the AO cannot discard the same and adopt other method-The matter was restored back to the file of AO for afresh decision. [S. 56(2)(vii)(b), R. 11UA]

Usekiwi Infolabs (P.) Limited v. ITO (2021) 209 TTJ 59 / 197 DTR 66 (Delhi)(Trib.)

S. 56 : Income from other sources-Not applicable where the sum has been received from non-resident-Addition was deleted. [S. 56(2)(viib), 68, Companies Act, 2013, S. 102]

ITO v. Shrilekha Business Consultancy Pvt. Ltd. (2021) 210 TTJ 34 / 202 DTR 361 (Hyd.)(Trib.)

S. 56 : Income from other sources-Money kept in capital reserve account was invested in shares-Entire transactions were only in capital field no incidence of tax. [S. 2(47), 45(3), 45(4), 56(2)(viia), 186]

Chandrakala Shashidhar (Smt.) v. ITO (2021) 89 ITR 67 (SN) (Bang.)(Trib.)

S. 54F : Capital gains-Investment in a residential house-Purchased-Constructed-Completion of house within three years is not mandatory-Capital gains Account Scheme-Investment made till date for filing return u/s 139(4) is eligible for exemption. [S. 45, 54F(4), 139(4)]

Rita Chandiok v. ACIT (2021) 89 ITR 30 (SN) (Delhi)(Trib.)

S. 54 : Capital gains-Profit on sale of property used for residence-Failure to follow the direction of CIT(A)-Assessing Officer is directed to give effect to the order of the CIT(A). [S. 45, 250, 254(1)]

Atluri Padma (Smt.) v. ITO (2021) 89 ITR 26 (SN) (Vishakha) (Trib.)

S. 54 : Capital gains-Profit on sale of property used for residence-Allegation that the amount was withdrawn from sellers bank account-Reply by seller showing receipt of full sum-Denial of exemption was held to be not valid. [S. 45]

ACIT v. Investment trust of India Ltd. (2021) 211 TTJ 777 (Chennai) (Trib.)

S. 45 : Capital gains-Amalgamation-sale of shares prior to transfer of business by way of slump sale and amalgamation-scheme of amalgamation approved by High Court and shareholders-allegation of scheme of amalgamation as an afterthought without any basis-capital gains already offered for tax by the amalgamating company-same cannot be taxed again in the hands of amalgamated company.