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. 263 : Commissioner-Revision of orders prejudicial to revenue-Branch to head office-Interest paid by Indian branch of assessee non-resident bank to its Head Office and overseas branches being a payment to self would be governed by principle of mutuality and, therefore, same could not be brought to tax as per provision of section 9(1)(v)(c)-Revision is held to be not valid-DTAA-India-USA. [S. 9(1)(v)(c), Art. 11]

JP Morgan Chase Bank N.A. v. DCIT (IT) (2020) 183 ITD 190/185 DTR 305/203 TTJ 443 (Mum.)(Trib.)

S. 254(2A) : Appellate Tribunal –Stay-Power of Tribunal to stay-Matter referred to larger Bench. [S. 254(1)]

Tata Education and Development Trust v. ACIT (2020) 183 ITD 883 (Mum.)(Trib.)

S. 254(2) : Appellate Tribunal-Rectification of mistake apparent from the record-Income deemed to accrue or arise in India-Business connection-Stay of employees in India-Issue referred to AO for verification-No mistake Apparent on record-DTAA-India-UK. [S. 9(1)(i), Art. 5(2)(k)(i)]

Link Laters LLP. v. DCIT(IT) (2020) 183 ITD 156/195 DTR 140/208 TTJ 20 (Mum.)(Trib.)

S. 254(1) : Appellate Tribunal-Duties-Passing order-Rules for pronouncement-Period of lockdown to prevent spread of Covid-19 epidemic, has to be exclude. [ITAT R. 34(5)]

Bhavesh Valjibhai Maraviya v. ITO (2020) 183 ITD 563 (Rajkot)(Trib.)

S. 250 : Appeal-Commissioner (Appeals)-Ex parte dismissal of appeal-Matter remanded to CIT(A) to re adjudicate the appeal on merit. [S. 80P(2)(a)(i)]

Children Aid Society Employees Co-operative Credit Society Ltd. v. ITO (2020) 183 ITD 616 (Mum.)(Trib.)

S. 244A : Refund-Interest on refunds-Assessable under head income from other sources-Taxable in which right to such refund had been recognised or date on which it was actually received.

R. Pratap v. CIT (2020) 183 ITD 750/195 DTR 217/208 TTJ 24 (Cochin)(Trib.)/R. Prakash v. CIT (2020) 183 ITD 750/195 DTR 217/208 TTJ 24 (Cochin) (Trib.)/Ramesh Chandran Nair v ACIT CIT (2020) 183 ITD 750/195 DTR 217/208 TTJ 24 (Cochin) (Trib.) T.C .Usha v ACIT CIT (2020) 183 ITD 750/195 DTR 217/208 TTJ 24 (Cochin) (Trib.) Vijaylaxmi Cashew Co v. ACIT CIT (2020) 183 ITD 750/195 DTR 217/208 TTJ 24 (Cochin) (Trib.)

S. 234E : Fee-Default in furnishing the statements-Delay in submitting the return-Levy of late fee is mandatory. [S. 200(3)]

Block Development Officer v. ACIT (2020) 183 ITD 334/193 DTR 249/206 TTJ 862 (Jaipur)(Trib.)

S. 206C : Collection at source-Scrap-Purchase of scrap material from railways which was subjected to TCS, resale of same material by assessee would not partake a different character and he would be held-in default for non collection of tax at time of resale. [S. 206C(6A) 206C(7)]

Pramod Kumar Jain v. ITO (2020) 183 ITD 442/206 TTJ 25 (UO) (Jaipur)(Trib.)

S. 194I : Deduction at source-Rent-State Government-Krishi Upaj Mandi Samiti-Income exempt-Not liable to tax at source. [S.10(26AAB)]

M.P. Warehousing & Logistics Corporation v. ACIT (2020) 183 ITD 485 /195 DTR 89/ 84 ITR 75 / 207 TTJ 743 (Indore) (Trib.)

S. 194A : Deduction at source-Interest other than interest on securities-Interest payable to any of individual account holder did not exceed Rs. 2,500 in a Financial year-Not liable to deduct tax at source. [S. 201]

DCIT v. Sahara India Financial Corporation Ltd. (2020) 183 ITD 266 /194 DTR 153/207 TTJ 555 (Delhi)(Trib.)