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. 251 : Appeal-Commissioner (Appeals)-Powers-Ex Parte-Should have called for assessment records and thereafter should have passed the order-Matter remanded for disposal afresh.

AP Garments P. Ltd. v. Dy. CIT (2020) 80 ITR 42 (SN) (Kol.)(Trib.)

S. 154 : Rectification of mistake-Incorrect set of off Minimum alternate tax credit-Prima Facie Mistake Apparent From Record-Not A Debatable Issue-Levy of interest is held to be valid. [S. 115JB, 234B]

Fiserv India P. Ltd. v. ACIT (2020)80 ITR 3 (SN) (Delhi)(Trib.)

S. 147 : Reassessment-Unexplained money-Cash deposits in bank account-Reasons for reopening of assessment recorded by concealing order-sheet entries-Reassessment not valid. [S. 69, 148]

Gulshan Harbans Dhingra v. ITO (2020) 80 ITR 21 (SN) (Delhi)(Trib.)

S. 143(3) : Assessment-Bogus purchases-No ad hoc addition can be made-Only difference between gross profit rate on genuine purchases and hawala purchases can be made. [S. 37 (1)]

Anil Jairam Goel v. ITO (2020) 80 ITR 47 (SN) (Pune)(Trib.)

S. 133A : Power of survey-Stock discrepancy and unexplained cash Offered for taxation in earlier year but Commitment retracted-Once statements accepted by survey team tax should be calculated for relevant year accepted by assessee-Addition made for the year under consideration was deleted.

Laxmi Narayan Jewellery v. ITO (2020) 80 ITR 17(SN) (Cuttack) (Trib.)

S. 92C : Transfer pricing-Arm’s length price-Outstanding receivables -Working capital adjustment allowed to assessee-No adjustment called for. [S. 92B]

Valuelabs LLP v. ACIT (2020) 80 ITR 19 (SN)(Hyd.)(Trib.)

S. 92C : Transfer pricing-Arm’s length price-Advertising, marketing and promotion expenses-Not international transaction-No adjustment can be made. [S. 92CA]

JCIT v. General Mills India P. Ltd. (2020) 80 ITR 45 (SN) (Mum.)(Trib.)

S. 68 : Cash credits-Excise contractor-Demand drafts taken from certain parties-Not furnishing Permanent Account Number not a reason for making addition. [S. 69A]

Venkatesh K. I. v. ACIT (2020)80 ITR 40 (SN) (Bang.)(Trib.)

S. 68 : Cash credits-Undisclosed bank accounts-Grocery business-Cross deposits and withdrawals-Combined peak credit of both bank accounts to be taken to work out element of undisclosed investments for undisclosed transactions.

Laxmi Yadav (Smt.) v. ITO (2020) 80 ITR 22 (SN) (Kol.)(Trib.)

S. 56 : Income from other sources-Business income-Director of company purchased one unit in a Hotel, had given for being run by a managing company, said unit could not be construed to be a business of assessee-loss from hotel unit assessed under head income from other sources and not as business loss. [S. 28 (i), 57]

Rohit Kapur v. Add. CIT (2020) 80 ITR 7 (SN) / 191 DTR 11 / (2021) 186 ITD 466 (Delhi)(Trib.)