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. 10B: Export oriented undertakings – Deduction allowable on the gross total income without setting off the carried forward business loss and unabsorbed depreciation of non -eligible unit – Matter remanded [ S. 32(2), 72 ]
International Agricultural Pricessing ( P) Ltd v.ACIT ( 2022) The Chamber’s Journal -July – P. 125 ( Chennai ) ( Trib)
S. 276CC : Offences and prosecutions – Failure to furnish return of income – Delay of 10 days – Department cannot launch prosecution in the absence of sanction u/s 278B of the Act – Prosecution was quashed [ S. 2(20) 2(35)(b), 278B, 278E, 279 ]
Vipul Aggarwal v.ITO ( 2022) 217 DTR 306 / 328 CTRR 550/ 289 Taxman 474/(2023) 450 ITR 254 ( Delhi)(HC)
S.270AA: Immunity from imposition of penalty ,etc- Object of the section to encourage / incentivize a tax payer to fast -track settlement of issue and to recover tax demand and reduce protracted litigation – Order set aside and directed the Department to grant immunity under the Act .[ S. 270A, 274, Art . 226 ]
Nirman Overseas Pvt Ltd v. NFAC( 2022) The Chamber’s Journal -May – P. 79 ( Delhi)(HC)
S. 195 :Deduction at source – Non-resident – Other sums – Reimbursement of salaries – Intercompany master service agreement – Rejection of application is not justified .[ Art , 226 ]
Flipkart Internet Pvt Ltd v .DCIT ( 2022) The Chamber’s Journal -August – P. 146 ( Karn)(HC)
S. 154 : Rectification of mistake – Refund along with interest -CBDT instruction – Direction issued to dispose the application within six weeks by way of reasoned order and issue refund if any along with interest within said time . [ S. 119, 244A, 245 , Art , 226 ]
Nokia India Pvt Ltd v. ACIT(2022) The Chamber’s Journal -March – P. 325 ( Delhi)(HC)
S. 153 : Assessment – Reassessment – Limitation – Tribunal remanding back for denovo adjudication – Notice beyond limitation period was quashed – Directed to refund the amount in excess of admitted liability along with interest [ S. 92CA(3A), s153 (4), 240 , 244 , 254(1), Art , 226 ]
TE Connectivity India Pvt Ltd v. DCIT ( 2022) 138 taxmann.com 148 /The Chamber’s Journal –April – P. 96 ( Karn)(HC)
S. 148A: Reassessment – Conducting inquiry, providing opportunity before issue of notice – Assessment order not passed – Statement of entry provider – Case does not fall under the exceptional grounds – Alternative remedy – Writ petition was dismissed [S. 148 , Art, 226 ]
Gulmuhar Silk Pvt Ltd v. ITO ( 2022) 212 DTR 345/ 326 CTR 244 ( Delhi)( HC)
S. 148 : Reassessment –Notice -Name struck off – Notice served on person not authorised by the assessee is not valid service – Assessment order was quashed – Section 292BB is prospective and applicable from AY. 2009 -10 onwards [ S.147, 282, Code of Civil Procedure 1908, Order, 5 ]
PCIT v. Mahla Real Estate ( P) Ltd (2022) The Chamber’s Journal -March – P. 109 ( Raj)( HC)
S. 147 : Reassessment – Change of opinion –Depreciation on intangible – Acquisition of Brands – Information from Investigation Wing – All materials were before the Assessing Officer during original assessment proceedings – Once the query raised was subject to the consideration of the AO , while completing the assessment , it is not necessary that the assessment order should contain reference and / or discussion to disclose his satisfaction in respect of each of query raised – Reassessment based on same records quashed on the ground of change of opinion [ S. 32 , 92CA(4), 148 , Art , 226 ]
Prethi Kitchen Appliances Pvt Ltd v .ACIT ( 2022) ) The Chamber’s Journal – February -P. 180 ( Bom)( HC)
S. 147 : Reassessment – Borrowed cash loan – Violation of section 269SS – Reason did not mention that income that escaped assessment – Mechanical approval -Reassessment notice is invalid and quashed [ S. 148 , 151, 269SS, 269T , Art , 226 ]
Sanjeev Amritlal Chheda v. ITO (2022) The Chamber’s Journal – February -P. 176 ( Bom)( HC)