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.32 : Depreciation — Unabsorbed depreciation — Carry forward and set off —Amendment ,Finance Act of 2001- Circular No. 14 of 2001 dt.9 -11 -2001- No time limit for carry forward and set off [ S.32(2) ]

CIT v. Sanmar Speciality Chemicals Ltd. (2020) 428 ITR 237/ ( 2021) 278 Taxman 94 (Mad) (HC)

S.32: Depreciation — Additional depreciation — Generating electricity Manufacture or production of article or thing —Business of generating electricity —Article or thing — Entitled to additional depreciation [ S. 32 (1)(iia) ]

PCIT v. NTPC Sail Power Co. Pvt. Ltd.(2019) 178 DTR 53/ 308 CTR 838 / (2020) 428 ITR 535 (Delhi) (HC)

S.32: Depreciation — Unabsorbed depreciation —Set off against long-term capital gains — Held to be justified [ S.32(2), 71, 72 ,73 ]

PCIT v. Gunnebo India Pvt. Ltd. (2020) 428 ITR 233 (Bom)(HC)

S. 28(i) : Business income – Income from house property – Rental income from technology park- Assessable as business income – Special Economic Zone -Appellate Tribunal – Remitting the matter is held to be not proper [ S.22, 80IAB , 254(1) ]

Lulu Tech Park Pvt. Ltd. v. PCIT (2020) 428 ITR 514 (Mad)(HC)

S. 15 : Salaries – Non -Compete fee – Service rendered outside India – Held to be not taxable – Cannot be treated as assessee in default – DTAA -India – USA [ S.5(2), 17 , 195(2) , 201(IA), Art, 16(1) , 23 ]

DIT (IT ) v. Sasken Communication Technologies Ltd. (2020) 428 ITR 194/193 DTR 214/ 315 CTR 320 / 117 taxmann.com 278 (Karn)(HC)

S. 14A : Disallowance of expenditure – Exempt income -No non-taxable income — No disallowance could be made [ R.8D ]

CIT v. Celebrity Fashion Ltd. (2020) 428 ITR 470 (Mad) (HC)

S. 12AA : Procedure for registration –Trust or institution-Gujarat Maritime Board — Entitled to exemption [ S.2(15, 11, 12 , 260A

CIT (E) v. Gujarat Maritime Board (NO. 2) (2020) 428 ITR 175 (Guj) (HC)

S. 12AA : Procedure for registration –Trust or institution- Charitable purpose – Amendment has not changed the law – Activities carried on by the assessee were genuine – Cancellation of registration is held to be not valid [ S.2(15) ]

CIT v. Gujarat Maritime Board (No. 1) (2020) 428 ITR 152 /(2021) 277 Taxman 376 (Guj) (HC)

S. 12AA : Procedure for registration –Trust or institution- At the time of granting registration commissioner is not required to examine whether income derives was spent for charitable trust or not [ S.260A ]

CIT v .Divine Shiksha Samiti (2020) 428 ITR 552/188 DTR 346/ 316 CTR 385 (MP)(HC)

S. 11 : Property held for charitable purposes – Accumulation of income – Error in claiming under wrong head – Denial of exemption not justified – Matter remanded [ S.11(2) , 12AA, 119(2) (b) , 139(4A), Form No 10 ]

St. Thomas Orthodox Syrian Church v. CIT (E) (2020) 428 ITR 30/ 185 DTR 326/ 312 CTR 430 (Bom) (HC)