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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Andhra Pradesh General Sales Tax Act , 1957
S. 3: Levy of a duty in certain sales of electrical energy – Levy of duty under AP/MP Electricity Duty Act-purported to be enacted under entry 53 in List II to the Seventh Schedule to Constitution- State not authorized to levy electricity duty on interState sales of electricity-Sixth Amendment to Constitution
– scope of entries 53 and 54 – Whether electricity is goods – whether interstate sales thereof taxable under CST Act, 1956 [S. 2, 6, Constitution of India Art, 132, 139A, 145, 245, 246,
269, 286, 287, 366, Central Sales Tax Act, 1956, S 3, Indian
Electricity Act, 1910, S. 39]

.State of A. P. v. National Thermal Power Corporation Ltd. (2002) 5 SCC 203/ AIR 2002 SC 1895/(2002) 127 STC 280 (SC)

S. 260A : Appeal – High Court -Dismissal of appeal on grounds of delay in fling of appeal – Cash credits -No substantial question of law [ S .68 254(1) ]

J. Stephen v. ITO ( 2018) 256 Taxman 172 / (2020)425 ITR 561 (Mad) (HC)

S.28(i):Business — Income from house property —Object of developing commercial complexes —Income earned assessable as business income [ S.22 ]

PCIT v. City Centre Mall Nashik Pvt. Ltd. (2020) 424 ITR 85 / 121 taxmann.com 87(Bom)(HC)

S.254(1) : Appellate Tribunal — Powers- Remand – Deduction at source – The Tribunal being the fact finding authority ought to look into the facts before ordering a remand on the basis of the directions issued by the Supreme Court. [ S. 194J , 201(1) 271C ]

CIT(TDS) v Jeevan Telecasting Corporation Ltd (2018) 171 DTR 145 / 305 CTR 1001/ (2020)423 ITR 496 (Ker)(HC)

S.45: Capital gains — Transfer of bonus shares — Bonus shares in respect of shares held as stock-in-trade — No presumption that bonus shares constituted stock-in-trade — Tribunal justified in treating bonus shares as investments [ S.28(i) ]

PCIT v. Ashok Apparels (P.) Ltd (2019) 264 Taxman 50 / (2020)423 ITR 412 (Bom) (HC)

S.32:Depreciation — Windmill —Additional depreciation – Trial run – Business of manufacture of matches- Windmill for production of electricity —Entitle to depreciation and additional depreciation .[ S.32(1)(iia) ]

Tenzing Match Works v. Dy CIT (2019) 182 DTR 1/ (2020) 423 ITR 312 / 314 CTR 679 (Mad)(HC)

S. 271C : Penalty – Failure to deduct at source – Land Acquisition Authority – Interest payment on delayed compensation voluntarily paid to farmers -Technical breach – Levy of penalty is held to be not valid [ S.194A , Rule 29C ]

Additional District Magistrate Land Acquisition. v. JCIT (TDS) (2020) 181 ITD 576 (Luck) (Trib.)

S. 271AAB:Peanlty -Search initiated on or after Ist day of July 2012- Disclosure of additional income in statement recorded under S. 132(4) itself is not sufficient to levy penalty unless income so disclosed falls in definition of undisclosed income defined in Explanation to S. 271AAB(1) [ S.69C , 132(4) 153 (B) (1)( b) ]

Padam Chand Pungliya. v. ACIT (2019) 71 ITR 562 / 201 TTJ 307/ (2020)181 ITD 261 / 188 DTR 258(Jaipur) (Trib.)

S. 263 : Commissioner – Revision of orders prejudicial to revenue -Best judgement assessment-Interest and remuneration paid to partners-Revision of order is held to be valid . [ S.144 , 184(5) ]

Saroj Print Arts. v. PCIT (2020) 181 ITD 502 (Mum) (Trib.)

S. 263 : Commissioner – Revision of orders prejudicial to revenue – TDS Mismatch – PCIT has issued show cause notice for seven issues and passed the revision order – Appellate Tribunal quashed the revision order after discussion all seven issues [ S .4 ,14A 37(1) 40A(2) 41(1) 43(6) 48 , 50C ,80IC ,92CA ]

Eveready Industries India Ltd. v. PCIT (2020) 181 ITD 528 / 114 taxmann.com 610 (Kol) (Trib.)