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. 113 : Tax-Block assessment-Search cases-Surcharge-Not leviable on undisclosed income pertaining to a period prior to 1-6-2002. [S. 132, 158BD, 158BFA]

K. L. Swamy v. CIT (2023) 451 ITR 1 / 221 DTR 401 / 330 CTR 457 (SC) K.L. Srihari v. CIT (2023) 451 ITR 1 / 221 DTR 401/ 330 CTR 457 (SC) Khoday Breweries Ltd v. CIT 2023)451 ITR 1 / 221 DTR 401/ 330 CTR 457 (SC)

S. 80P : Co-operative societies-No finding on question whether the assessee is a primary society-Matter remanded to the Assessing Officer. [Tamil Nadu Co-operative Societies Act, 1983, S.2(21)]

Salem District Co-Op. Milk Producers Union Ltd. v. CIT (2023)451 ITR 347 (Mad.)(HC)

S. 80IC : Special category States-Eligible business profits-Fluctuation of the rate of foreign exchange-Excise duty refund-Sale of scrap generated in the manufacturing process-Eligible for the deduction. [S. 10A, 56]

PCIT v. Reckitt Benckiser Healthcare India Ltd. (2023)451 ITR 403 (Guj.)(HC)

S. 80IBA : Profits and gains from housing projects-Constitutional Validity-Discrimination-Real estate developers-Timelines provided to start-up companies-No evidence of discrimination-Provision valid-Timelines could not be extended. [S. 80IAC, Art. 14, 226]

Credai-Banm v. UOI (2023) 451 ITR 418 (Bom.)(HC)

S. 69C : Unexplained expenditure-Bogus purchases-Books of account not rejected-Tribunal restricting the income at 6% of bogus purchases-No substantial question of law. [S. 260A]

PCIT v. Surya Impex (2023) 451 ITR 395/ 291 Taxman 591 (Guj.)(HC)

S. 37(1) : Business expenditure-Corporate social responsibility expenditure-Expenditure for earlier years allowable as a deduction-CBDT Circular binding on the department.

PCIT v. PEC Ltd. (2023) 451 ITR 436 / 221 DTR 481 / 330 CTR 593/ 291 Taxman 281 (Delhi)(HC) PCIT v. Rites Ltd. (2023) 451 ITR 436 / 221 DTR 481/ 330 CTR 593 (Delhi)(HC)/Editorial: SLP of Revenue dismissed, leaving question of lae open , PCIT v. Rites Ltd. (2024)460 ITR 593/297 Taxman 5 (SC)

S. 32 : Depreciation-Goodwill, Patent, Trade Mark and Intellectual Property Rights-Intangible assets-Entitled to depreciation-Trademark need not be registered in assessee’s name. [S. 32(1(ii)]

CIT v. Daikin Shri Ram Aircon Pvt. Ltd. (2023)451 ITR 133 (Delhi)(HC) CIT v. Daikin Air Conditioning India Pvt. Ltd. (2023)451 ITR 133 (Delhi)(HC)

S. 10(26AAAA): Income of Sikkimese – Individual- Old Indian settlers who had settled in Sikkim prior to the merger of Sikkim with India on April 26, 1975 were also entitled to the exemption-Proviso excludes from the provision of exemption a Sikkimese woman merely because she marries a non-Sikkimese after April 1, 2008 is discriminatory and violative of articles – Law declared by Court to be treated as law until legislation is made. [ Sikkim Income Tax Manual, 1948, Sikkim Citizenship (Amendment) Order, 1989 — Sikkim Work Permit Rules, 1965, Art. 14 15 142 371F ]

Association of Old Settlers of Sikkim v. UOI (2023)451 ITR 213 / 292 Taxman 73/ 330 CTR 481/ 222 DTR 1(SC) Rapden Lepcha v. UOI (2023)451 ITR 213/ 330 CTR 481/ 222 DTR 1 (SC)

Benami Property Transactions Act, 1988

S. 3: Benami Transactions — Notice in respect of transactions entered into prior to amendment in 2016 – Amendment to have effect only prospectively — Notice was quashed[ Benami Transactions (Prohibition) Amendment Act, 2016, S 53 ]

Rajesh Katyal v .IT Department (2023)451 ITR 455 (Delhi)(HC)

Benami Property Transactions Act, 1988

S. 3: Benami Property Transactions – Act not retrospective in operation — Not applicable to transactions entered into prior to coming into force of the Act ie. 25-10-2016. [S.2(9)(A)(b), 3(2), 5, Art .20(1) , Art, 226 ]

Jaladi Prasuna v. UOI (2023)451 ITR 477/ 290 Taxman 47 (Delhi)( HC)