S. 68: Cash credits-Identity, creditworthiness and genuineness established-Source of source explained-Non-furnishing of lender’s return of income not fatal.
Convenica Textiles v. NFAC (2025) 125 ITR 422 (Chd.)(Trib.)
Digest of case laws
Online digest of latest case laws
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
Click here to download the pdf versions of the Digest of case laws S. 68 : Cash credits-Unsecured loans-Identity, creditworthiness and genuineness established-Addition deleted- Penny stock- Long-term capital gains-Penny stock-Essar (India) Ltd-Purchase and sale supported by demat account and banking records-Exemption allowable.[S 10(38), 45]
Dy. CIT v. Sanjay Gaurishankar Agrawal (2025) 125 ITR 455 (Nagpur)(Trib.)S. 56 : Income from other sources-Share premium-Fair market value-Valuation report not examined by Assessing Officer-Matter remanded. [S.56(2)(viib), R. 11UA]
Tajshree Autowheels (P.) Ltd. v. Asst. CIT (2025) 125 ITR 198 / 177 taxmann.com 210 (Nagpur)(Trib.)S 45: Capital gains-Rights entitlement not taxable in India-Short-term capital loss not to be set off against exempt gain- DTAA-India-Ireland [S.2(42A), 2(42B). 70, 71, 74 Art. 13(5), 13(6)]
Vanguard Emerging Markets Stock Index Fund, A Series of VISPLC v. Asst. CIT (2025) 125 ITR 128 / 172 taxmann.com 515 (Mum.)(Trib.)S. 41(1) : Profits chargeable to tax- Remission or cessation of trading liability-Lease deposit outstanding for several years-No cessation of liability-Addition deleted- Booking advances received in earlier years-No remission or cessation-Addition deleted. [S.28(i)]
ITO v. N. Kumar Housing and Infrastructure (P.) Ltd. (2025) 125 ITR 401 / 172 taxmann.com 428 (Nagpur)(Trib.)S. 37(1): Business expenditure-Technology licensing agreement-Payment initially capitalised as intangible asset-Expenditure held allowable as revenue expenditure- Foreign exchange loss-Expenditure arising from same business agreement-Revenue expenditure allowable. [Expln. 3 to S. 32(1)]
Cheers Interactive (India) (P.) Ltd. v. Asst. CIT (2025) 125 ITR 149 / 173 taxmann.com 308 (Mum.)(Trib.)S. 37(1): Business expenditure-Employees’ Stock Option Plan-Discount on issue of shares-Revenue expenditure allowable- Entertainment and guest house expenses-No finding that expenditure was not incurred for business-Disallowance deleted.
HDFC Bank Ltd. (Successor to Housing Development Finance Corporation Ltd.) v. Dy. CIT (2025) 125 ITR 629 (Mum.)(Trib.)S. 35: Expenditure on scientific research- Normal deduction under section 35(1) not dependent upon DSIR quantification-Weighted deduction restricted to expenditure approved by DSIR. [S. 35(2AB), 37(1) R.6(7A)]
Mankind Pharma Ltd. v. Dy. CIT [2024] 162 taxmann.com 235 / (2025) 125 ITR 263 (Delhi)(Trib.)S. 32 : Depreciation-Lease transaction-Commercial expediency cannot be questioned-Depreciation allowable.
Growmore Research and Assets Management Ltd. v. Dy. CIT (2025) 125 ITR 44 (Mum.)(Trib.)S. 28(va) : Business income- Cash or kind-Under an agreement- Non-compete fee-Negative covenant-Capital receipt-Amendment taxing such receipt prospective-Not taxable.[S. 4]
HDFC Bank Ltd. (Successor to Housing Development Finance Corporation Ltd.) v. Dy. CIT (2025) 125 ITR 629 (Mum.)(Trib.)