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, and other journals
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S. 143(3): Assessment-Penalty-Tax in default-Covid 19-Notices were issued to the registered e-mail of assessee which was operated and accessed only by the Chartered Accountant-Matter was remanded to department to pass a fresh order.[S. 142(1), 221, Art. 226]

VKCN Realties LLP v. NFAC (2024) 296 Taxman 442 (Mad.)(HC)

S. 143(3) : Assessment-Search and seizure-Undisclosed profit-Loose papers and other documents-Failure to examine the Chartered Accountant-Matter remanded to the Tribunal for reconsideration. [S. 132, 132(4A), 292C]

CIT (Central) v. Ashok Kumar Poddar (2024) 296 Taxman 171 (Cal.)(HC)

S. 142(2A) : Inquiry before assessment-Special audit-Sufficient opportunity was afforded to assessee before sanction was granted for special audit-Writ petition is dismissed. [Art. 226]

Jabalpur Development Authority v. PCIT (2024) 296 Taxman 220 (MP)(HC)

S. 92C : Transfer pricing-Arm’s length price-Avoidance of tax-International transaction-Specified domestic transaction-Comparable-Functional similarity-Company engaged in marketing research and management activity was comparable to assessee-company, investment advisory services provider. [S. 260A]

PCIT v. Warburg Pincus India (P.) Ltd (2024) 296 Taxman 161 (Bom)(HC)

S. 90 : Double taxation relief-Foreign tax credit (FTC)-Form-67 filed before completion of assessment and after due date specified for furnishing return under section. 139(1)-Rejection of FTC is not justified-DTAA-India-Australia [S. 91, 139(1), 143(1), Rule 128, Form-67 Art. 24, Art. 226]

Duraiswamy Kumaraswamy v. PCIT (2024) 296 Taxman 502 (Mad.)(HC)

S. 48 : Capital gains-Mode of Computation-Sale of shares gifted by promoters-BIFR cannot sanction any modification to scheme directing the Income tax department to give further tax concession without department being consenting to grant additional concession-SLP is granted against the order of High Court. [S. 45, Sick Industrial Companies (Special Provisions) Act, 1985, 3(1)(o), 17, 18, 22A, Art. 136]

Indian Plywood Mfg. Co. (P.) Ltd. v. PDGIT (2024) 296 Taxman 576 (SC) Editorial : Refer, PDGIT v. Indian Plywood Mfg. Co. (P.) Ltd [2023] 153 416 / [2023] 240 COMP CASE 282 (Delhi)(HC)

S. 44BB : Mineral oils-Computation-Presumptive tax — Non-resident-Service tax collected-Not includible in gross receipt-SLP of Revenue is dismissed [S.44BB(2)]

CIT v. Vantage International Management Co. (2024) 296 Taxman 160 (SC) Editorial : Refer, CIT (IT) v. B.J. Services Co.Me Ltd (2022) 145 430/ (2023) 457 ITR 80 (Uttarkhand)(HC)

S. 37(1) : Business expenditure-Capital or revenue-Hotel-renovation, refurbishment and repairs-Consultancy payments-Allowable as revenue expenditure.[S.28((i)]

Asian Hotels Ltd. v. CIT (2024) 296 Taxman 69 (Delhi)(HC)

S. 10AA : Special Economic Zones-Constitutional validity-Explanation after sub-section (1) of section 10AA, inserted by amendment with prospective effect from 1-4-2018, applicable in respect of assessment year 2018-19 and subsequent years-Constitutionally valid. [Art. 14, 19(1)(g), 226 265]

IFGL Refractories Ltd. v. UOI (2024) 296 Taxman 553 (Cal.)(HC)

S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Sale of telecom equipment’s. i.e. mobile handsets-Supply of articles or goods-Not taxable as royalty-Review petition against SLP is dismissed-DTAA-India-China. [S. 9(1)(i), Art, 12]

CIT (IT) v. ZTE Corporation (2024) 296 Taxman 571 (SC) Editorial : Refer, CIT (IT) v. ZTE Corporation (2021) 282 Taxman 304 (SC)