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. 28(i) : Business loss-Amalgamation-Excess of liabilities over assets-Allowable as business loss /deduction-Matter remanded with direction. [S. 37(1)]

CIT, LTU v. Canara Bank. (2022) 142 taxmann.com 361 (Karn.)(HC) Editorial : Notice issued IN SLP filed by the Revenue, CIT, LTU v. Canara Bank. (2022) 289 Taxman 82 (SC)

S. 14A : Disallowance of expenditure-Exempt income-suo motu disallowance-Failure to give cogent reason for dissatisfaction-Deletion of addition is justified. [R. 8D(2)(iii)]

PCIT v. West Bengal Infrastructure Development Finance Corporation Ltd. (2022) 289 Taxman 312 (Cal.)(HC)

S. 14A : Disallowance of expenditure-Exempt income-Recording of satisfaction is mandatory-Disallowance cannot exceed exempt income. [R. 8D]

PCIT v. TV Today Network Ltd. (2022) 289 Taxman 132 / 217 DTR 1/ 328 CTR 204 (Delhi)(HC)

S. 14A : Disallowance of expenditure-Exempt income-Not incurred any expenditure in earning dividend income-No disallowance could be made. [R. 8D]

CIT, LTU v. Canara Bank. (2022) 142 taxmann.com 361 (Karn)(HC) Editorial : Notice issued IN SLP filed by the Revenue, CIT, LTU v. Canara Bank. (2022) 289 Taxman 82 (SC)

S. 11 : Property held for charitable purposes-Running educational institution to students and staff-Hostels for students-Incidental to providing education as per object of trust-Charitable purpose-Entitle to exemption. [S. 2(15)]

CIT v. Durga Charitable Society. (2022) 289 Taxman 706 (All)(HC)

S. 10(10C) : Public sector companies-Voluntary retirement scheme-Religuished charge as Managing Director and took over as advisor-Denial of exemption was not justified-Order of Tribunal was held to be utterly perverse, non speaking and without taking note of the factual position which has been brought out by the the CIT(A). [S. 254(1), 260A]

Premila Bhatia v. CIT (2022) 289 Taxman 527 (Cal.)(HC)

S. 10AA : Special Economic Zones-Special Economic Zones-Newly established Units-Export turnover-Telecommunication charges attributable to delivery of computer software outside India could not be excluded from export turnover-Telecommunication expenses and insurance charges, representing payment towards standard delivery and not delivery of software, being not incurred in foreign currency were to be excluded from export turnover. [S. 800HHC, 800HHE]

Subex Ltd v. Dy.CIT (2022) 142 taxmann.com 241 (Karn)(HC) Editorial: SLP of Revenue, dismissed, DCIT v. Subex Ltd. (2022) 289 Taxman 6 (SC)

S. 4 : Charge of income-tax-Retention money-Income to be booked in the year of actual receipt [S. 5, 145]

PCIT v. EMC Ltd. (2022) 289 Taxman 29 / (2023) 450 ITR 691 (Cal)(HC)

S. 4 : Charge of income-tax-Carbon credit-Capital or revenue-Receipt from sale of carbon credit was a capital receipt and hence not liable to tax. [S. 28(i)]

PCIT v. Chemplast Sanmat Ltd. (2022) 142 tamann.com 515(Mad.)(HC) Editorial: Notice issued in SLP filed by Revenue,PCIT v. Chemplast Sanmat Ltd. (2022) 289 Taxman 168 (SC)

S. 2(22)(e) : Deemed dividend-Unsecured loan from group company-Paid back with interest in same year-Deletion of addition is valid. [S. 260A]

PCIT v. Govind Promoters (P.) Ltd. (2022) 289 Taxman 42 (Cal.)(HC)