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. 68 : Cash credits–Bank deposits–Bank statement was produced before appellate authorities–Deletion of addition is held to be valid.

Dy.CIT v. Pushpak Merchants (P) Ltd. (2019) 108 taxmann.com 174/ 265 Taxman 433 (Chhatisgarh) (HC) Editorial : SLP of revenue is dismissed, DCIT v. Godavari TIE UP (P.) Ltd. (2019) 265 Taxman 432 (SC)

S. 68 : Cash credits–Loans-Confirmation was filed–Matter remanded to the AO. [S. 254(1)]

Bairappa Krishnappa v. CIT(A) (2019) 265 Taxman 446 (Karn.) (HC)

S. 37(1) : Business expenditure-Contribution to State Government towards construction of a bridge-Allowable as revenue expenditure.

CIT v. Salgaocar Mining Industries (P.) Ltd. (2019) 265 Taxman 317 (Bom.) (HC)

S. 36(1)(iii) : Interest on borrowed capital-Interest paid on decommissioning cost recovered from customers was rightly allowed as deduction-No substantial question of law. [S. 260A]

CIT LTU v. Nuclear Power Corpn. of India Ltd. (2019) 108 taxmann.com 310 / 265 Taxman 554 (Bom) (HC) Editorial : SLP of revenue is dismissed ,CIT LTU v. Nuclear Power Corpn. of India Ltd. (2019) 265 Taxman 553 (SC)/ 416 ITR 126 (St.)(SC)

S. 28(i) : Business income–Income from house property–Leasing of shops in a mall along with various other facilities-Assessable as business income and not as income from house property. [S. 22]

PCIT v. Krome Planet Interiors (P.) Ltd. (2019) 265 Taxman 308 / (2020) 423 ITR 62 (Bom.)(HC) (Editorial : Raj Dadarkar & Associates (2017) 394 ITR 592 (SC) is distinguished)

S. 12AA : Procedure for registration–Trust or institution-Object of assessee trust was to conduct work in area of research, studies, training, education, health etc.-Charitable in nature–Entitle to registration. [S. 2(15)]

CIT(E) v. Pratham Institute for Literacy Education & Vocational Training. (2019) 108 taxmann.com 312 / 265 Taxman 547 (Bom.)(HC) Editorial: SLP of revenue is dismissed , CIT ( E) v. Pratham Institute for Literacy Education & Vocational Training. (2019) 265 Taxman 546 (SC)/ 416 ITR 127 ( St) (SC)

S. 12AA : Procedure for registration–Trust or institution-A assessee is free to avail registration under any alternative provision if more than one alternatives were available-Rejection of application is held to be not valid. [S. 10(23C)(iiad)]

CIT v. Beant College of Engineering & Technology. (2019) 265 Taxman 449 (P & H) (HC)

S. 12AA : Procedure for registration–Trust or institution-Object to help of literary persons of different aptitudes or classes, plays written in different languages could be converted in to dramas or episodes or T.V. Plays–Cannot be regarded as commercial in nature –Denial of registration is not justified. [S. 2, 15, 12A.)

CIT ( E) v. Kanakia Art Foundation. (2019) 265 Taxman 281 (Bom.)(HC) (Editorial : Order in Kanakia Art Foundation v. Dy.CIT (2015) 59 taxmann.com 468/ 39 ITR 53 (Mum.)(Trib.) is affirmed)

S. 10AA : Special economic zones-Computation of profits and gains of eligible unit for grant of deduction would be independent of computation of profits and gains of ineligible unit-Permitted to carry forward losses of its ineligible unit-Amendment to section 10AA takes effect only from 1-4-2018-Direction is issued to the respondent to either accept the manual return of the assessee or alter the software to permit it to again file online its returns claiming the carry forward of losses of its ineligible unit for the assessment years in question. [S. 72]

Cosmo Films Ltd. v. CBDT (2019) 265 Taxman 102 (Mag.)(Delhi)(HC)

S. 10A : Free trade zone-Total turnover-Expenses excluded from export turnover were also to be excluded from total turnover.

CIT v. Intel Technology India (P.) Ltd ( 2019) 107 Taxmann.com 461/ 265 Taxman 240 (Karn.) (HC). Editorial: SLP of revenue is dismissed, CIT v. Intel Technology India (P.) Ltd. (2019) 265 Taxman 239 (SC)