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. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Business service agreement (BSA)-Activities are interconnected-Matter was remanded-DTAA-India-Norway. [Art. 5(2)(1)]

Telenor ASA v. Dy. CIT (IT) (2021) 129 taxmann.com 198 / (2022) 215 TTJ 563 (Delhi)(Trib.)

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Profits derived from baggage screening services and aircraft handling services provided to other airlines-Will not come within ambit of ‘other activity directly connected to such transport-Not covered under article 8(1)-Technical Pool (IATP)-Services from airlines on reciprocal basis, profit derived from providing baggage screening services and aircraft handling services to other airlines as a participant of IATP pool would be covered under article 8(1) read with article 8(4) DTAA-India-USA. [Art.7, 8(1),8(2), 8(4)]

United Airlines v. Dy. CIT (2022) 218 TTJ 698 / 138 taxmann.com 137 (Delhi)(Trib)

S. 5 : Scope of total income-Accrual of income-Receipt of tuition fees-Services rendered next year-Income taxable in the year in which the service was rendered. [S. 4,5(1)(b), 145]

Dy. CIT v. Hyderabad Educational Institutions (P) Ltd (2022) 218 TTJ 487 (Hyd)(Trib)

S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Trading-Not furnished supporting documents-Matter remanded-DTAA-India-Japan. [Art. 5(7)(a)]

ITO v. CHU Corporation v. ACIT (IT) (2022) 215 TTJ 680 (Delhi)(Trib.)

S. 4 : Charge of income-tax-Subsidy-Industrial promotion scheme-Capital receipt. [S. 28(i)]

Mahindra Two Wheelers Ltd. v. Dy. CIT (2022) 219 TTJ 136 / 218 DTR 210 / 140 taxmann.com 367 (Mum.)(Trib.)

S. 4 : Charge of income-tax-Industrial undertakings-Incentive Scheme-Subsidy Intended to encourage Industrialization of State-Capital in nature. [S.80IB]

TATA Chemicals Ltd. v. Dy. CIT (2022) 95 ITR 134 / 216 TTJ 402 (Mum.)(Trib.)

S. 4 : Charge of income-tax-Co-Operative Sugar Factory-Sale of sugar at concessional rate to members-Matter remanded to the Assessing Officer. [S. 2(24)]

Sant Tukaram Sahakari Sakhar Karkhana Ltd. v. ITO (2022) 96 ITR 72 (SN) (Pune) (Trib.)

S. 4 : Charge of income-tax-Firm-Partner-Double taxation-Wrong person assessed-Sale to partner without registration in earlier years-Registration deed in latter years-taxable in the year of registration-Partner declaring the income is his hands and paying taxes-Department entitled to tax income in hands of correct person-Partner at liberty to take remedial action for exclusion of amount from his total income. [S. 2(24), 145, Registration Act, 1908, S. 17(1A) 49]

Prathamesh Developers v. ITO (2022) 96 ITR 75 (SN) (Pune) (Trib.)

S. 4 : Charge of income-tax-Capital or revenue-Subsidy-Incentive to encourage development of rural economy-Exemptions from payment of Sales tax/Entry Tax/Electricity dues-Capital receipt-Forfeited amount received in respect of preference shares-Credited receipt in capital reserve account-Capital receipt. [S. 5, 28(i)]

Jindal Steel and Power Ltd. v. Add. CIT (2022) 97 ITR 516 (Delhi) (Trib.)

S. 4 : Charge of income-tax-Capital or revenue-Sale of carbon credits-Capital receipts. [S. 28(i)]

ACIT v. Nahar Industrial Enterprises Ltd. (2022) 219 DTR 73 / 219 TTJ 544 / 99 ITR 562 / 142 taxmann.com 52 (Chd.)(Trib.) ACIT v. Nahar Spinning Mills Ltd (2022) 219 DTR 73 / 219 TTJ 544 / 99 ITR 562 / 142 taxmann.com 52 (Chd.)(Trib.) ACIT v. Oswal Woollen Mills Ltd. (2022) 219 DTR 73/ 219 TTJ 544 /99 ITR 562 / 142 taxmann.com 52 (Chd.)(Trib.)