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-After the expiry of four years-Change of opinion-Details were furnished in response to questionnaires-Failure to deduct tax at source-Notice is not valid. [S. 40(a)(ia) 148, 194I, Art. 226]

BPTP Ltd. v. CIT (2020) 421 ITR 59/ 312 CTR 514/185 DTR 372 / 113 Taxmann.com 587 (Delhi)(HC) www.itatonline.org.Editorial : SLP of revenue is dismissed , PCIT v. BPTP Ltd. (2021) 277 Taxman 298 (SC)/PCIT v. BPTP Ltd. (2021) 278 Taxman 105 (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. 145 : Method of accounting-Valuation of shares-No question of law. [S. 260A]

PCIT v. Microfilm Capital (P.) Ltd. (2020)113 taxmann.com 88 / 269 Taxman 2 (Cal.)(HC) Editorial : SLP of revenue is dismissed; PCIT v. Microfilm Capital (P.) Ltd. (2020) 269 Taxman 1 (SC)

S. 145 : Method of accounting-Rejection of books of account-Remand order of Tribunal is up held by the High Court. [S. 144, 254(1)]

Madhur Vegoils (P.) Ltd. v. ITO (2020) 113 taxmann.com 248 / 269 Taxman 103 (Raj.)(HC) Editorial : SLP of assessee is dismissed; Madhur Vegoils (P.) Ltd. v. ITO (2020) 269 Taxman 102 (SC)

S. 132 : Search and seizure- Stock in trade- High Court directed to release of seized goods. [Art. 226]

Kundan Care Products Ltd. v. Dy.DIT (2020) 113 taxmann.com 90 (All.)(HC) Editorial : SLP of revenue is dismissed; DIT (Inv.) v. Kundan Care Products Ltd. (2020) 269 Taxman 12 (SC)

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)

S. 127 : Power to transfer cases-Reasons for transfer to be recorded and communicated and an opportunity of hearing is mandatory-Transfer order and consequent proceedings is quashed. [S. 127(2), 132(4), Art.226]

Athena Trade Winds Pvt. Ltd. v. CIT (2020) 421 ITR 267/ 186 DTR 347/ 316 CTR 219 (MP) (HC)

S. 115JB : Book profit-Agricultural income-Revenue derived from land-Profits from sale of agricultural land-Cannot be excluded from book profits. [S. 2(IA), 2(14)(iii), 10(1), 45]

Krish Homes Pvt. Ltd. v. ITO (2020) 421 ITR 105/ 193 DTR 165/ 316 CTR 443 (Raj.)(HC) Editorial : SLP of the assessee is dismissed Krish Homes Pvt. Ltd. v. ITO (2020) 420 ITR 2 (St) (SC)