Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


M. George Joseph v. Dy. CIT (2021) 282 Taxman 386 / 206 DTR 51 / 322 CTR 563 / ( 2022) 440 ITR 589 (Karn.)(HC)

S. 54F : Capital gains-Investment in a residential house-Relevant is date of acquisition of property and not on date of payment-It is not necessary that same sale consideration should be used for construction of a new house property-Allowed exemption.-Interpretation of taxing statutes- Beneficial provision -Interpreted liberally . [S. 45]

CIT v. Venkata Dilip Kumar (2021) 437 ITR 137 (Mad.)(HC) Editorial : Decision of single judge in Venkata Dilip Kumar v. CIT (2019) 419 ITR 298 (Mad) (HC), affirmed.

S. 54 : Capital gains-Profit on sale of property used for residence-Additional cost-On appeal to division bench from order of single judge-Appeal became infructuous. [S. 48, Art. 226]

Trimm Exports (P.) Ltd. v. Dy.CIT (2021) 282 Taxman 392 / 204 DTR 393/ 322 CTR 212 (Karn.)(HC)

S. 48 : Capital gains-Computation-Compensation paid to lessee to vacate land-Allowable as deduction. [S. 45]

Nataraju (HUF) v. PCIT (2021) 282 Taxman 396 (Karn.)(HC)

S. 47 : Capital gains-Capital asset-Transaction not regarded as transfer-Transfer of land under joint development agreement-Order was set aside. [S. 2(14), 2(15)(iii)(a), 2(15)(iii)(b), 2(47), 246A, 264, Art. 264]

PCIT v. Parasben Kasturchand Kochar (2021) 130 taxmann.com 176 (Guj.)(HC) Editorial : SLP of revenue was dismissed; PCIT v. Parasben Kasturchand Kochar (2021) 282 Taxman 301 (SC)

S. 45 : Capital gains-Penny stocks-Alleged bogus transactions-Denial exemption was held to be not justified. [S. 10(38)]

CIT v. Exim Rajathi India Pvt. Ltd. (2021) 438 ITR 19/ 283 Taxman 480/ 206 DTR 249/ 323 CTR 121 (Mad.)(HC)

S. 45 : Capital gains-Long-term or short-term capital asset-Period of holding-No distinction between unlisted and listed shares for classifying as short-term capital asset. [S. 2(42A), Securities Contracts (Regulation) Act, 1956, S (h)]

Merck Ltd. v. Dy. CIT (2021)438 ITR 220 /2022) 284 Taxman 220 (Bom.)(HC)

S. 43B : Deductions on actual payment-Purchase tax paid on raw materials and packing materials-Set off is allowed against sales tax payable on finished goods manufactured out of them-Deemed actual payment-Allowable as deduction.

Apollo Tyres Ltd. v. ACIT (2021) 438 ITR 536/ 283 Taxman 427 (Ker.)(HC)

S. 43A : Rate of exchange-Foreign currency-Cancellation of forward contract-Capital receipt-Interest portion assessable as revenue receipt-Actual cost of assets-Amendment with effect from 1-4-2003 is not retrospective-Actual payment not condition precedent for adjustment in cost of fixed asset acquired in foreign Currency. [S. 4, 28(1)]

PCIT v. M. Abdul Zahid (2021)437 ITR 132 (Karn.)(HC) PCIT v. Jay Minerals (2021)437 ITR 132 (Karn.)(HC)

S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Purchases from unregistered dealers-Matter remanded.

Swan Silk (P) Ltd. v. ACIT (2021) 282 Taxman 191 (Karn.)(HC)

S. 40(a)(iia) : Amounts not deductible-Wealth tax-Matter remanded.