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. 254(1) : Appellate Tribunal–Duties- Ex -parte decision on first day of hearing–Issue covered in earlier years-Rejection of application for recalling the order is held to be not justified– Directed to hear the appeal on merits. [S.254(2), Art. 226]

Universal Cold Storage Ltd. v. DCIT (2020) 268 Taxman 178 (Mad.)(HC)

S. 251 : Appeal – Commissioner (Appeals)–Powers–CIT(A) has the power to decide stay petition-He should not direct the assessee to file stay petition before AO. [S.220(6), Art.226]

Kallettumkara Service Co-operative Bank Ltd. v. ITO (2020) 268 Taxman 10 (Ker.)(HC)

S. 251 : Appeal-Commissioner (Appeals)–Powers–Additional grounds–Power of the Appellate authorities is co-terminous with the power of the assessing authorities-Order of Tribunal holding that CIT(A) has no jurisdiction to admit addition grounds is set aside–Directed the CIT(A) to decide on merit considering the additional ground. [S. 254(1)]

Siva Equipment Pvt. Ltd. v. ACIT (2020) 423 ITR 20/ 187 DTR 249/ 313 CTR 787/ 274 Taxman 420 (Bom.)(HC)

S. 245D : Settlement Commission-Additional offer in addition to accepted liability-Cannot be termed as non-disclosure of full and true facts in application u/s. 245C of the Act–Writ of revenue is dismissed.[S. 245C, 245D (4), 245D(6) , 245D (7) Art. 226 ]

PCIT v. Shreyansh Corporation (2020) 421 ITR 153 /268 Taxman 334 (Guj.) (HC).Editorial : SLP of revenue is dismissed on ground of delay as there had been delay of 214 days in filing Special Leave Petitions without any satisfactory explanation in support of prayer for condonation . PCIT v . Shreyansh Corporation (2021) 277 Taxman 403 (SC)

S. 245C : Settlement Commission-Settlement of cases-Double taxation–Matter remanded to settlement Commission for reconsideration. [S. 143(2), 245D, Art. 226]

Kesaria Marketing (P.) Ltd. v. ITSC (2020) 268 Taxman 25 (Mad.) (HC) Umed Investments & Marketing Co. (P.) Ltd. (2020) 268 Taxman 22 (Mad.)(HC)

S. 244A : Refunds – Interest on refunds–Entitle to interest on excess self assessment tax from date of payments till refund. [S.14OA, 244(1)(b)]

PCIT v Bank of India (2019) 112 Taxmann.com 327 / (2020) 268 Taxman 318 (Bom.)(HC) Editorial : SLP is granted to the revenue PCIT v Bank of India (2020) 268 Taxman 318 (SC)

S. 237 : Refunds–Application for refund of excess amount paid is rejected–Remedy of revision application is maintainable-Writ is not maintainable. [S.197, 246A, 264, Art. 226]

Aditya Marine Ltd. v. DCIT (2020) 268 Taxman 230 (Bom.)(HC)

S. 153C : Assessment-Income of any other person-Search–No incriminating material or document found during the course of search- Deletion of addition is held to be justified.[S. 132, 144]

PCIT v. Star PVG Exports (2020) 268 Taxman 357 (Karn.)(HC)

S. 147 : Reassessment-Change of opinion- Business expenditure- Vacancy allowance-Expenditures for maintaining skilled staff for keeping machinery intact, minimum amounts to be paid for retaining electricity connection and so on during such period so as to keep machinery ready for use and assessee also commenced it manufacturing activities in subsequent year- Reassessment is held to be not valid-Vacancy allowance which was not claimed in the original assessment proceedings cannot be claimed in reassessment proceedings. [S. 22, 23, 37(1)]

CIT v. Punalur Paper Mills Ltd. (2020) 268 Taxman 47 (Ker.)(HC)

S. 147 : Reassessment-Dropping of reassessment proceedings by AO- Absence of challenge by the assseee–Held to be justified. [S.148, Art.226]

Menck GMBH v. ACIT (2020) 268 Taxman 176 (Bom.)(HC)