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
S. 36(1)(vii) : Bad debt-Suspension of trading activity on NSEL plat form- Receivable from unrealised contract in commodities-Failure to produce documents to show that transactions undertaken by assessee were delivery based–loss is held to be speculative which cannot be set off against business income- Matter remanded to AO to examine a fresh. [S. 37(1), 43(5)]
ACIT v. A U Financiers (India) Ltd. (2019) 175 ITD 245 / 180 DTR 315(Jaipur) (Trib.)
S. 32 : Depreciation-Plant and machinery installed by city development authority for water supply project would be eligible for 100 per cent depreciation-Road developed by city development authority for water supply project would be eligible for 10 per cent depreciation. [S. 80IA(4)(1), R. 5]
ACIT v. Haldia Development Authority. (2019) 175 ITD 263/ 176 DTR 433 /199 TTJ 222(Kol.)(Trib.)
S. 14A : Disallowance of expenditure-Exempt income-Sufficient interest free funds to meet its investments yielding exempt dividend income- Disallowance is held to be not justified. [R. 8D]
ACIT v. A U Financiers (India) Ltd. (2019) 175 ITD 245 / 180 DTR 315(Jaipur) (Trib.)
S. 11 : Property held for charitable purposes – Registration granted to assessee cricket association, cancelled earlier, had been restored- Exemption cannot be denied- Amounts received by cricket association under TV subsidy from Board of Cricket Control of India (BCCI) being under a resolution which specifically stated that TV subsidies were towards corpus funds and not under any legal obligation were to be treated as corpus donations-Depreciation on capital asset is to be allowed as application of income. [S. 11(1)(d), 12AA, 32]
Gujarat Cricket Association. v. ITO (2019) 175 ITD 224/ (2020) 190 DTR 205/ 205 TTJ 767 (Ahd.)(Trib.)
S. 250 : Appeal-Commissioner (Appeals)–Delay in filing appeals- Delay was condoned and the CIT(A) was directed to hear the appeal with in three months. [S. 10(23C)(iiiab), 11]
Yadhava Kalvi Nithi v. ITO (2018) 167 DTR 422 (Mad) (HC)
S. 147 : Reassessment–Matter remanded to the AO for redoing the assessment after getting the reply from the assessee–Original order passed was set aside.[S. 148, 153C]
P. Thangaraju v. ITO ( 2018) 170 DTR 253 /( 2019) 306 CTR 89(Mad.)(HC)
S. 145A : Method of accounting–Valuation–Inclusion of excise duty in closing stock–Tribunal remanded the matter–No substantial question of law. [S. 145, 260A]
PCIT v. Bridgestone India (P) Ltd. (2018) 167 DTR 427 (MP) (HC)
S.145 : Method of accounting-Business expenditure–Provision for liquidated damages-Held to be not allowable as negotiation was in progress. [S. 37(1)]
FFE Minerals India (P) Ltd. v. JCIT (2018) 172 DTR 80 (Mad.)(HC)
S. 2(22)(e) : Deemed dividend-Registered and beneficial share holder – Assessee is not share holder-Addition cannot be made as deemed dividend.
CIT v. Net work Systems & Technologies (P) Ltd. (2018) 172 DTR 445 (Ker.) (HC)
S. 276B : Offences and prosecutions-Failure to pay to the credit tax deducted at source-Application for compounding of offence for delay in depositing tax deducted at source was dismissed only on ground that nobody attended proceedings when said application was taken up for hearing- order was to be set aside and, matter was remanded back for disposal on merits. [S. 278B, 279]
Durgeshwari Hi-Rise & Farms (P.) Ltd v. CCIT (2018) 172 DTR 343/( 2019) 103 taxmannn.com 292 (Bom.)(HC).