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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Interest-tax Act, 1974

S. 2(7) : Interest-Subsidy received from RBI-Export Credit-Subsidy Scheme-Not interest-Not chargeable to tax. [S. 4, 260A, Reserve Bank of India Act, 1934(2 of 1934) S.42(IB)]

Bank of India v. DCIT [2025] 175 taxmann.com 905 (Bom) (HC)

Direct Tax Vivad Se Vishwas Act, 2020
S. 3: Amount payable by declarant-Belated amendment of appeal memo after filing declaration under DTVSV Scheme was inadmissible-Amount payable by declarant-Case was treated as non-search case, amount payable under DTVSV Scheme was to be calculated at 100 per cent and not 125 per cent. [S.10(38), 45 68, 132, 271(1)(c), CBDT Circular No. 21 of 2020, Art. 226]

Umesh Navnitlal Shah HUF v. ITO [2025] 170 taxmann.com 674/2026] 489 ITR 537  (Bom.)(HC)

Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015]
S. 43: Penalty-Failure to furnish in return of income, an information or furnish inaccurate particulars about an asset-Non-disclosure of foreign investment in Schedule FA-Investment held in assessee’s name only for administrative convenience and disclosed by husband-Penalty deleted-Order of Tribunal affirmed. [S.260A]

PCIT v. Aditi Avinash Athavankar [2025] 180 taxmann.com 476 (Bom)(HC)

S. 278B: Offences and prosecutions-Companies-Liability of director-Part-time director-The criminal complaint against assessee was quashed and set aside. [S. 276C(2), 278B(2)]

Pinakin Kantilal Patel v. DCIT [2025] 177 taxmann.com 364 (Bom) (HC)

S. 278B: Offences and prosecutions-Companies-Offences by firms-Impleadment of partners-Sessions Judge erred in allowing application for impleadment of partners; accordingly, order directing impleadment of partners was set aside. [The Code of Criminal Procedure, 1973, 319.]

Shah Rameshchandra Nihalchand & Co. v. S. Bose Commissioner of Tax-13 [2025] 176 taxmann.com 756 / [2026] 490 ITR 518 (Bom)(HC)

S. 271(1)(c): Penalty-Concealment-Failure to record proper satisfaction regarding the applicable limb of the section-Penalty order invalid.[S. 10(23C)(vi)]

CIT (E) v. Maharashtra Academy of Engineering and Educational Research [2025] 180 taxmann.com 439 (Bom)(HC) Editorial: SLP of revenue dismissed, CIT (E) v. Maharashtra Academy of Engineering and Educational Research, [2025] 181 taxmann.com 288 (SC)

S. 271(1)(c): Penalty-Concealment-Bar of limitation for imposition-Pendency of quantum of appeal before Tribunal-Under section 275 as it stood prior to 1-4-2025, penalty order could not be passed during pendency of appeal against quantum assessment before ITAT; accordingly, ad-interim relief was granted restraining Revenue from taking any steps pursuant to penalty order. [S.254(1), 275(1)(a), Art. 226]

Maharashtra State Electricity Transmission Company Ltd. v. Assessment Unit [2025] 180 taxmann.com 186 (Bom) (HC)

S. 271(1)(c) : Penalty-Concealment-Charitable trust-Bona fide claim of exemption under section 11-No concealment or furnishing of inaccurate particulars-Order of Tribunal set aside. [S. 11, 12A, 260A]

Bhagwan Shri. Hamsa Trust v. ITO [2025] 172 taxmann.com 612 (Bom) (HC)

S. 271(1)(c): Penalty-Concealment-Validity of notice-Failure to specify charge-Notice invalid-Order of Tribunal affirmed. [S.260A]

PCIT v. Times Global Broadcasting Ltd. [2025] 172 taxmann.com 786 (Bom) (HC)

S. 268A: Appeal-Instructions-Circulars-Monetary limits-Revenue could not rely upon the exception contained in Circular No. 5/2024 dated 15-3-2024 to justify prosecuting an appeal filed prior to that Circular. The appeal was disposed of as the tax effect was below the prescribed monetary limit of 2 crores. [S.260A]

PCIT v. Seawoods Hospitality and Realty (P.) Ltd. [2025] 177 taxmann.com 154 (Bom)(HC)