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. 9(1)(vii): Income deemed to accrue or arise in India- Fees for technical services-Non-resident-DTAA-Most Favoured Nation clause-Relevant date is date of treaty and not subsequent OECD membership-Treaty benefit denied- Corporate guarantee fee-Not managerial, technical or consultancy service-Not Fees for Technical Services- Reimbursement of social security contribution of seconded employees-Fees for Technical Services-Surcharge and education cess-Not leviable where treaty prescribes tax rate.-India-France.[S.90, Art. 12, 13]

JC Decaux S.A. v. Asst. CIT (2025) 125 ITR 430 (Delhi)(Trib.)

S. 272A : Penalty-Failure to answer questions-Sign statements-Furnish information-Failure to comply with summons under section 131-Reasonable cause established-Penalty deleted.[S. 131, 272A(1)(c), 273B]

Deepak Kumar Samtani v. Add. DIT (2025) 122 ITR 617 (Jaipur)(Trib.)

S. 263: Commissioner-Revision of orders prejudicial to revenue-Assessing Officer conducted detailed enquiry-Mere absence of discussion in assessment order not sufficient-Revision quashed-Failure of Principal Commissioner to examine entire assessment record-Earlier reassessment order ignored-Revision without jurisdiction.[S. 143(3)]

Exotic Realtors and Developers v. Pr. CIT (2025) 122 ITR 556 (Chd.)(Trib.)

S. 263: Commissioner-Revision of orders prejudicial to revenue-Reassessment initiated to verify alleged accommodation loans-No evidence of receipt of loans found in books or bank accounts-Revision based on suspicion-Order quashed. [S. 68, 147, 148]

Sanguine Media Ltd. v. Pr. CIT (2025) 122 ITR 601 (Chd.)(Trib.)

S. 263: Commissioner-Revision of orders prejudicial to revenue-Survey-Surrender of excess cash and unaccounted advances as professional income-Assessing Officer after due enquiry accepting claim-Revision held invalid. [S.69A 115BBE, 133A]

Renu Singla (Smt.) v. Pr. CIT (2025) 122 ITR 631 / 175 taxmann.com 304 (Chd.)(Trib.)

S. 263: Commissioner-Revision of orders prejudicial to revenue-Capital introduced by partners-Burden to explain source lies on partners-Assessment of firm not erroneous-Cash deposits in bank-Cash sales recorded in books and accepted-Revision invalid-Audit objection-Internal audit information can form basis-Independent application of mind by Principal Commissioner sufficient-Unsecured loan-Issue not challenged by assessee-Matter restored to Assessing Officer.[S.68, 143(3)]

J M G Green Promoters and Developers v. Pr. CIT [2024] 164 taxmann.com 1018 / (2025) 122 ITR 426 (Chd.)(Trib.)

S. 263: Commissioner-Revision of orders prejudicial to revenue-Appeal pending before Commissioner (Appeals)-Revision on issues not forming subject matter of appeal-Revision valid-Penalty initiated under wrong provision-Correction through revision permissible where assessment otherwise erroneous-Addition under section 68 taxed at normal rate instead of mandatory rate under section 115BBE-Revision valid. [S.68,115BBE, 250, 271AAC]

Vijay Kumar Patel v. Pr. CIT (2025) 122 ITR 436 (Raipur)(Trib.)

S. 254(1) : Appellate Tribunal-Powers-Delay of 449 days-Delay was condoned and matter remanded to the file of CIT A) to decide on merits. [S. 250]

Prampreet Kaur v. ITO (2025) 122 ITR 14 (Armritsar)(Trib)

S. 251 : Appeal-Commissioner (Appeals)-Powers-Enhancement by Commissioner (Appeals)-Mandatory notice under section 251(2) not issued-Enhancement invalid-Company-Book profit-Recast financial statements-Adjustment not adjudicated-Matter remanded. [S. 115JB, 251 (2)]

Indian Railway Finance Corporation Ltd. v. Dy. CIT (2025) 122 ITR 161 / 175 taxmann.com 747 (Delhi)(Trib.)

S. 194C: Deduction at source-Contractors-Rent-Common Area Maintenance (CAM) charges-Separate agreements-CAM charges not part of rent-Tax deductible under section 194C at 1% and not at 10% u/s 194I. [S. 194I, 201(1), 201(1A)]

Bose Corporation India (P.) Ltd. v. Asst. CIT (2025) 122 ITR 412 / 175 taxmann.com 586 (Delhi)(Trib.)