Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Enfinity Solar Solutions Pvt. Ltd. v. Dy.CIT (2021) 436 ITR 188 / 204 DTR 201 / 321 CTR 716 / 282 Taxman 210 (Mad.)(HC)

S. 144C : Reference to dispute resolution panel-Arm’s length price-Remand by Tribunal-Order is valid-Entire procedure under section 144C need not be repeated. [S. 254(1), Art. 226]

RKKR Foundation v. National Faceless Assessment Centre. (2021) 436 ITR 49 / 282 Taxman 76 (Delhi) (HC)

S. 144B : Faceless Assessment-Natural justice-Final assessment order was passed before disposal of request for grant of time to file objections to draft assessment order-Order and notice was quashed. [S. 143(3) 156, 270A, 274, Art. 226]

Gurgaon Realtech Ltd. v. National Faceless Assessment Centre, Delhi (2021) 436 ITR 280 / 203 DTR 129 / 321 CTR 266 (Delhi) (HC)

S. 144B : Faceless Assessment-A notice-cum-draft assessment was to be issued and a personal hearing was to be accorded if there was variation in income-Notification issue by Central Board of Direct Taxes is binding on department-Order was set aside. [143(3), Art. 226]

CIT v. Karnataka Power Corporation Ltd. (No. 1) (2021)436 ITR 285 (Karn.)(HC)

S. 115JB : Book profit-Amendment in Law-Explanation 3-Not Applicable.

CIT(IT) v. IBM World Trade Corporation (No. 2) (2021) 436 ITR 647 (Karn.)(HC)

S. 115A : Foreign companies-Tax-Royalty-Different agreements-The assessee can opt to be either under statutory provisions or the Double taxation avoidance agreement-DTAA-India-USA [S.90]

CIT v. Karnataka Power Corporation Ltd. (No. 1) (2021) 436 ITR 285 (Karn.)(HC)

S. 80IA : Industrial undertakings-Loss-Setting off of Loss of loss-making units against profits of profit-making units-Entitle to benefit.

Psit Pty Ltd, in re. (2021)436 ITR 474 (AAR)

S. 50D : Fair market value deemed to be full value of consideration in certain shares-Non-Resident-Capital gains-Sale of share-Not slump sale-Capital gains chargeable to taxable ten percent. [S. 45, 55A, 56(2)(viia), 112(1)(c)(iii)]

Sakthi Metal Depot v. CIT (2021) 436 ITR 1 / 204 DTR 440 / 322 CTR 9 / 282 Taxman 384 (SC) Editorial : Decision in CIT v. Sakthi Metal Depot (2011) 333 ITR 492 (Ker.) (HC) affirmed. Refer, Sakthi Metal Depot v. ITO (2005) 3 SOT 368 (Cochin) (Trib.)

S. 50 : Capital gains-Depreciable assets-Block of assets-Depreciation allowed for 21 years-Not used for business for two years-Asset shown as investment in balance sheet-Gains assessable as short term capital gains. [S. 2(11), 2(29A), 2(29B) 45, 50A]

M. M. Aqua Technologies Ltd. v. CIT (2021) 436 ITR 582 / 204 DTR 337 / 321 CTR 753 / 282 Taxman 281 (SC) Editorial : Decision of the Delhi High Court in CIT v M. M. Aqua Technologies Ltd. (2015) 376 ITR 498 (Delhi) (HC) and CIT v. M. M. Aqua Technologies Ltd. (2016) 386 ITR 441 (Delhi) (HC), reversed.

S. 43B : Deductions on actual payment-Interest payable to Financial Institutions-Rehabilitation plan and accepting debentures in discharge of outstanding interest-Explanation 3C, cannot be invoked-Interest is allowable as deduction-Interpretation of taxing statutes-Retrospective provision for the removal of doubts Cannot be presumed to be retrospective if it alters or changes law as it stood-Ambiguity in language to be resolved in favour of assessee. [S.43D]

CIT v. Jubilee Plot and Housing Pvt. Ltd. (2021) 436 ITR 424 (Mad.)(HC)

S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Payment genuine-Necessitated by circumstances-No disallowance can be made-Block assessment-Addition deleted on facts-No question of law. [S. 260A]