S. 68 : Cash credits -Commission business- Accommodation entries – Failure to explain the source of deposits in the bank – Addition cannot be made as cash credits – Estimation of commission income by the Tribunal is held go be justified . [ S.132 ]
PCIT v Alag Securities Pvt. Ltd. (Formerly known as Mahasagar Securities and Richmond Securities Pvt. Ltd.) (2020) 425 ITR 658/192 DTR 88/ 315 CTR 905/ 272 Taxman 241 (Bom) (HC) www.itatonline.org
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 Limitation Act, 1963
S.5: Appeal – Condonation of delay of 554 days -Mentally disturbed – Prolonged illness and hospitalization – Sufficient for condonation.
Benami Transactions (Prohibition) Act, 1988
S.4: Benami – Joint family property – Benami Transaction – Since the property is a joint family property and the claim only seeks to proclaim the property as joint family property and not to claim the property to be their own property, the rigor of S..4 of the Benami Act cannot have any application to the facts of the case.
Constitution of India 1949
Art .141 :Precedent – Judicial Discipline – Reference to Larger Bench in case of contradicting views. [ Central Excise Act , 1944 ]
Constitution of India 1949
Art .141 : Precedent – Ex-parte judgment without discussion is Per incurium hence not binding. [ Art .14, Banking Regulation Act 1949 , S,21A ]
Indian Registration Act, 1908
S.30 :Registration – Documents of sale or transfer of the properties must be registered at the place where the immovable property is situated. [ Bihar Amendment Act 1991 , S.30 , Transfer of Property Act ,1882, S.76 ]
State of Jharkhand and Ors. v. Lalita Devi Kejriwal and Ors. AIR 2018 JHARKHAND 7S. 80-O : Royalties – Foreign enterprises – services rendered in India and not the ‘services rendered from India -Merely having a contract with a foreign enterprise and mere earning foreign exchange does not ipso facto lead to the application of S. 80-O of the Act- Without any claim for expertise capable of being used abroad rather than in India, would not be entitled to deduction- The burden is on the assessee to prove eligibility to an incentive or exemption provision and it is subject to strict interpretation – Interpretation of taxing statutes – When there is ambiguity in exemption which is subject to strict interpretation, the benefit of such ambiguity cannot be claimed by the subject/assessee and it must be interpreted in favour of the revenue.
Ramnath and Co v. CIT ( 2020) 425 ITR 337/ 315 CTR 217/ 272 Taxman 275 / 190 DTR 1( SC) www.itatonline.org Editorial : CIT v Ramnath & CO (2016) 388 ITR 307/289 CTR 355/(2017) 79 taxmann.com 416 (Ker) (HC) is affirmed .Constitution of India 1949
Art .141 :Precedents – Binding nature -Decision delivered by a Bench of larger strength is binding on any subsequent Bench of lesser or co-equal strength- A Bench of lesser quorum cannot disagree or dissent from the view of the law taken by a Bench of larger quorum – Subject to discretion of the Chief justice to refer the matter to larger Bench or assign the matter to a particular Bench to decide the issue . [ Consumer Protection Act 1986 , S.13(2)(a) ]
New India Assurance Co. Ltd. v. Hill Multi purpose Cold Storage P. Ltd. AIR 2016 SC 86Transfer of property Act 1882
S.54: Sale – Power of Attorney – Sale of immovable property through execution of power of attorney sale agreement/general power of attorney/will instead of execution and registration of regular deeds of conveyance deprecated as illegal and irregular – The illegal and irregular process of `Power of Attorney Sales’ spawns several disputes relating to possession and title, and also results in criminal complaints and cross complaints and extra-legal enforcement and forced settlements by land mafia.Therefore request the Solicitor General to appear in the matter and give suggestions on behalf of Union of India. : [Indian Registration Act ,1908 , S.17, 49 ,Power of Attorney Act ,1882 S.2 ]
Suraj Lamp & Inds. (P) Ltd Thru DIR v. State of Haryana & Anr AIR 2009 SC 3077Indian Stamps Act,1899,
S.54: Stamp Papers – Use of old stamp papers i.e., stamp paper purchased more than six months prior to proposed date of execution may certainly be a circumstance that can be used as a piece of evidence to cast doubt on authenticity of agreement but that cannot be clinching evidence to invalidate the agreement. [ S.47, Indian Evidence Act , 1872 , S.45, 73 ]
Thiruvengadam Pillai v Navaneethammal and Anr (2008) 4 SCC 530.