S. 70 : Set off of loss-One source against income from another source-Same head of income-Tax avoidance-Long term capital gains set off against short term capital loss- Forfeiture of call monies-Set off loss is held to be allowable. [S. 4, 45]
CIT v. K.P.D. Sigamani (2020) 120 taxmann.com 254 (Mad.)(HC) Editorial : SLP of revenue is dismissed, CIT v. K.P.D. Sigamani (2020) 120 taxmann.com 255/ 275 Taxman 4 (SC)
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 -Advances received in cash for supply of materials- Confirmation letter furnished along with PA No- Deletion of addition is held to be justified. [S. 131]
CIT v. T. Ani Chandra Kala (Smt.) (2020) 429 ITR 179 (Mad.)(HC) CIT v. Pauldhas Regin (2020) 429 ITR 179 (Mad.)(HC)S. 56 : Income from other sources-Shares-Method of valuation-Discounted Free Cash Flow Method -Net Asset Value- Deletion of addition is affirmed. [S. 56(2)(viib), R.11UA(ii)]
CIT v. VVA Hotels Pvt. Ltd. (2020) 429 ITR 69 / (2021) 276 Taxman 330 (Mad.)(HC)S. 54G : Capital gains-Shifting of industrial undertaking from urban area-Notification in April 2006-Notification did not have retrospective effect-Not entitled to exemption.
Fabsun Engineering Pvt. Ltd. v. ITO (2020) 429 ITR 540/ (2021) 277 Taxman 328 (Karn.)(HC)S. 50C : Capital gains-Full value of consideration-Stamp valuation Amendment with effect from 1-4-2017-Statutory amendment is made to remove an undue hardship-Amendment retrospective. [S. 45]
CIT v. Vummudi Amarendran (2020) 429 ITR 97 / (2021) 277 Taxman 243/ 199 DTR 137/ 319 CTR 437 (Mad.)(HC)S. 45 : Capital gains-Stock option is a capital asset-Gains on exercising option-Stock option given to consultant-Assessable as capital gains -Rule of consistency to be followed when other assesses assessment the claim was accepted as capital gains. [S. 2(14), 2(42A) 2(47), 17(2)(iia)]
Chittharanjan A. Dasannacharya v. CIT (2020) 429 ITR 570 / 195 DTR 433/ (2021) 318 CTR 74/ 276 Taxman 433 (Karn.)(HC)S. 43B : Deductions on actual payment-Mercantile system of Accounting-Securities Transaction Tax-Amount not deposited with authorities or returned to person from whom deducted-Disallowance of the amount -Neither perverse nor illegal. [Art. 226]
Magadh Stock Exchange Association v. CIT (2020) 429 ITR 75 / 195 DTR 22 / 317 CTR 434 / 275 Taxman 45 (Pat.)(HC)S. 41(1) : Profits chargeable to tax-Remission or cessation of trading liability-Confirmation was filed-Deletion of addition is held to be justified.
PCIT v. Ajit Ramakant Phatarpekar (2020) 429 ITR 319 / 196 DTR 296 /( 2021 ) 277 Taxman 543 (Bom.)(HC) PCIT v. Neelam Ajit Phatarpekar (2020) 429 ITR 319 / 196 DTR 296/ (2021 ) 277 Taxman 543 (Bom.)(HC)S. 40A(3) : Expenses or payments not deductible-Cash payments exceeding prescribed limits-Books of account not rejected- Transactions involving less than Rs.20,000 – H Forms obtained-Deletion of addition is held to be justified. [S. 37(1)]
PCIT v. Ajit Ramakant Phatarpekar (2020) 429 ITR 319 / 196 DTR 296 /( 2021 ) 277 Taxman 543 (Bom.)(HC) PCIT v. Neelam Ajit Phatarpekar (2020) 429 ITR 319 / 196 DTR 296/ ( 2021 ) 277 Taxman 543 (Bom.)(HC)S. 40(a)(iib) : Amounts not deductible-Validity of provision-Exclusive Jurisdiction of High Court to consider-Cause of action for challenge to vires of provision arose on issue of show-cause notice-High Court is directed to dispose of writ petition on merits. [Art. 14, 226]
Tamil Nadu State Marketing Corporation Ltd. v. UOI (2020) 429 ITR 327 / 196 DTR 289 / 317 CTR 961 / (2021) 276 Taxman 378 (SC)