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 – Subject matter of appeal- Merger – Bad debt – Matters which are subject matter of appeal, reference or revision cannot be reopened [ S. 36(1)(vii) ,37(1) , 148, 251 ]

Dy. CIT v. ICICI Bank Ltd ( 2019)202 TTJ 560 / ( 2020) 185 DTR 233 (Mum) (Trib)

S.147: Reassessment -Failure to file return- Huge loss – National and multi commodity exchange – Objections stating that no income was earned and suffered heavy loss not considered – Reassessment is held to be bad in law.[S.139, 148 Art. 226]

Mohanlal Champalal Jain v. CIT ( 2019) 102 taxmann.com 293 (Bom) (HC) Editorial: SLP of revenue is dismissed ITO v. Mohanlal Champalal Jain (2019) 267 Taxman 391 (SC)/417 ITR 61 (St.)(SC)

S.147: Reassessment-After the expiry of four years- In absence of any failure on part of assessee to disclose fully and truly all material facts at time of assessment- Reassessment proceedings is held to be bad in law . [ S.80IA , 148 ]

PCIT v. L&T Ltd. (2020) 113 taxmann.47 /268 Taxman 391 (Bom)(HC) Editorial: SLP of revenue is dismissed. PCIT v. L&T Ltd. (2020) 268 Taxman 390 (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.2Crore. DCIT v. MSEB Holding Co. Ltd. (2020) 269 Taxman 22 (SC)

S. 115JB: Book profit – Provision for bad and doubtful debt – Ascertained liability – No addition can be made.

CIT (LTU) v. ACC Ltd. (2019) 112 taxmann.com 402 / (2020) 269 Taxman 15 (Bom) (HC) Editorial: SLP of revenue is dismissed; CIT (LTU) v. ACC Ltd. (2020) 269 Taxman 14 (SC)

S. 80HHC : Export business – Entitle to deduction on gross total income without reducing it by the deduction allowed u/s 80IB of the Act .[ S. 80IA (9) , 80IB ]

IPCA Laboratories Ltd v ACIT (2019) 112 taxmann.com 331 / (2020) 268 Taxman 328 (Bom) (HC) Editorial: SLP of revenue is dismissed ACIT v IPCA Laboratories Ltd. (2020) 268 Taxman 327 (SC)

S.37(1): Business expenditure – Volckar Committee Report- Commission paid to Iraqi Government agency for purchase of oil – Held to be allowable expenditure .

CIT v. Reliance Industries Ltd (2019) 102 taxmann.com 142 (Bom.) (HC) Editorial: SLP of revenue is dismissed (SLP No.16937 of 2019 dt.19/07/2019)(2019) 416 ITR 124 (St.)(SC)

S. 37 (1): Business expenditure – Expenditure on temporary structure – Provision for deferred liability – Held to be allowable. [ S.115JB ]

CIT v ACC Ltd (2019) 112 taxmann.com 402 (Bom.)(HC) Editorial: SLP of revenue is dismissed, CIT (LTU) v. ACC Ltd. (2019)418 ITR 9 (St)(SC)/ (2020) 269 Taxman 14 (SC)

S. 35DDA : Amortisation of expenditure – Voluntary retirement scheme – Entitled to claim deduction only to extent of 1/5th only during impugned assessment year against aggregate payment. [ S.147 ]

Dy. CIT v. ICICI Bank Ltd ( 2019)202 TTJ 560 / ( 2020) 185 DTR 233 (Mum) (Trib)

S. 10A : Free trade zone – New Industrial undertaking – Advance pricing agreement – (APA) -As per saving clause contained in S. 92CD(2), if an assessee is otherwise entitled to deduction u/s 10A, or for that matter under any other provision of the Act, in respect of the income offered in the modified return, the same cannot be denied. [ S.92CD(1) ]

Dar Al Handasah Consultants (Shair & Partners) India P .Ltd v .Dy.CIT ( 2019) 76 ITR 669/ (2020) 185 DTR 66 / 203 TTJ 218 (Pune) ( Trib)