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-With in four years-Change of opinion-One-time settlement with banker-Capital receipt- Notice based on audit report-Reassessment is held to be not valid. [S. 4, 148]
PCIT v. Everlon Synthetics (P.) Ltd. (2020) 424 ITR 232/269 Taxman 215 (Bom.)(HC)
S. 147 : Reassessment-After the expiry of four years-No failure to disclose material facts-Deduction is allowed in the original assessment proceedings-Notice of reassessment is held to be not valid. [S. 80IB(11A ), 148, Art. 226]
Dhirendra Hansraj Singh v. ACIT (2020) 421 ITR 176 (Guj.)(HC) Editorial : SLP of revenue is dismissed, CIT v. Dhirendra Hansraj Singh (2018) 409 ITR 15 (St.)(SC).
S. 147 : Reassessment-After the expiry of four years-Change of opinion-Interest income on fixed deposit assessed as business income-Re assessment on the ground that it has to be assessed as income from other sources. [S. 56,148, Art. 226]
DCIT v. MSEB Holding Co. Ltd. (2019) 102 taxmann.com 288 (Bom.)(HC) Editorial : SLP of revenue is dismissed, since tax effect is less than Rs. 2 Crore. DCIT v. MSEB Holding Co. Ltd. (2020) 269 Taxman 22 (SC)
S. 147 : Reassessment-After the expiry of four years-Reasons recorded there was no reference to any new tangible material-Financial statement-Reassessment notice is quashed. [S. 44, 148, Art. 226]
Bajaj Allianz Life Insurance Company Ltd. v. DCIT (2020) 269 taxman 208 (Bom.)(HC) Editorial: SLP of revenue dismissed , Dy.CIT v Bajaj Allianz Life Insurance Co. Ltd ( 2021)278 Taxman 104 (SC)
S. 145 : Method of accounting-Accommodation entries-Estimate of commission-Rejection of accounts and estimate of income-Discretion must be exercised in a judicious manner-Tribunal is not justified in confirming the addition. [S. 144, 145(3)]
Rameshchandra Rangildas Mehta, Prop. of M/s. Sunit Trading Co. v. ITO (2020) 421 ITR 109 (Guj.)(HC)
S. 127 : Power to transfer cases-Assessee was given opportunity to be heard-Order for transfer is valid-Notice sent by post to correct address of assesse-Presumption that notice had been served. [General Clauses Act, 1897, S. 27, Art. 226 ]
M. K. Rajendran Pillai v. CIT (2020) 421 ITR 274 / 189 DTR 172/ 315 CTR 656(Gau.)(HC) Editorial : Order of single judge is affirmed Varun Raj Pillai v. PCIT (2022) 440 ITR 47 (Gauhati )( HC)