This Digest of case laws is prepared by KSA Legal and AIFTP from judgements reported in BCAJ, CTR, DTR, ITD, ITR, ITR (Trib), Chamber's Journal, SOT, Taxman, TTJ, BCAJ, ACAJ, www.itatonline.org and other journals
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S. 147 : Reassessment-Survey-Unexplained investments-Departmental Valuation Officer showing significant difference between declared costs and actual construction value-Tangible material-Reassessment valid. [S. 131, 133A, 142(1), 143(2), 148, Art. 226]

Dr. Pradeep Sihare v. ITO (2025) 475 ITR 599 / 175 taxmann.com 301 (Chhattisgarh)(HC)

S. 147 : Reassessment-Capital gains-Gift of shares
Gift of shares without consideration not liable to capital gains-Notice of reassessment invalid. [S. 45, 47(iii), 50CA, 50D, 143(1), 148, Art. 226]

Jai Trust v. UOI [2024] 160 taxmann.com 690 / (2025) 475 ITR 568 (Bom)(HC)

S. 147 : Reassessment-Change of opinion-No new tangible material-Reassessment notice and order disposing the objection. was quashed-Existence of alternate remedy-Not an absolute bar on issue of writ.[S. 148, Art.226]

Bimalkumar Karshanbhai Tank v ITO and Ors. [2024] 159 taxmann.com 711 / (2025) 475 ITR 348 (Guj)(HC)

S. 147 : Reassessment-After the expiry of four years-Failed to electronically upload Form 10CCB along with return of income within the timeframe prescribed under section 139-Reassessment notice and order disposing the objection were quashed and set aside. [S. 80IA(7), 139, 148, Form 10CCB, R.12, Art. 226]

Shree Bhavani Power Projects Pvt. Ltd. v. ITO (2024) 165 taxmann.com 733 / (2025) 475 ITR 155 (Delhi)(HC)

S. 145 : Method of accounting-Solicitor-Client’s money-Amounts received by solicitor from clients for specific tasks-Amounts received in fiduciary capacity-Not assessable as income. [S.4, 260A]

CIT v. Sanderson and Morgans (2025) 475 ITR 473 (Cal)(HC)

S. 144B : Faceless Assessment-Subsequent notice indicating the Department’s intention to make assessment in a faceless manner and requiring the assessee to file a reply on the online portal rather than to the jurisdictional AO-Notice need not be interfered with. [S. 147, 148, 151(1), Art. 226]

Dhiraj Lakhotia v. UOI (2025) 475 ITR 290 (Cal)(HC)

S. 143(3) : Assessment-Jurisdiction to assess-Formation of Centralised Processing Centre-CPC acts as facilitator and does not take away jurisdiction of Assessing Officer under section 120. [S. 120, 143(1A), 154, 263, 264, Art. 226]

Sarda Paper Ltd. v. PCIT [2024] 161 taxmann.com 362 / (2025) 475 ITR 641 (Bom)(HC)

S. 143(3): Assessment-Pendency of appeal-Writ-Alternative remedy-Suppressing material information of filing of statutory appeal-Pursuing parallel remedies amounted to treating extraordinary remedy as an alternate remedy to appellate remedy-Petition dismissed and cost of Rs. 1 lakh was imposed to be paid to the High Court Employees Medical Welfare Fund at Mumbai. [S. 246A, Art, 226]

Sawai Fragrances v. UOI (2025) 475 ITR 429/ 175 taxmann.com 302 (Bom)(HC)

S. 132 : Search and seizure –Stock in trade-Burden of proving goods constituted stock-in-trade of business, lies on assessee.[S. 131(IA), 132(1)(iii),132(4) Art. 226]

Paras Jewelers v.PCIT (2025) 475 ITR 134 (Chhattisgarh)(HC)

S. 132 : Search and seizure-Satisfaction note-Reasons recorded-Non-compliance with statutory requirements under section 132(1) vitiated search and seizure operations. [S. 132(1), Art. 226]

Balkrushna Gopalrao Buty v. PDIT (Inv) [2024] 164 taxmann.com 1056 / (2025) 475 ITR 323 (Bom)(HC)