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. 144B : Faceless Assessment-Natural justice-Order passed without giving opportunity to file reply to show-cause notice-Assessment order and consequent demand notice and penalty notice set aside. [S. 143(3), 156, 271(1)(c), Art. 226]

Fujiyama Power Systems v. ACIT (2023) 450 ITR 123 (HP)(HC)

S. 144B : Faceless Assessment-Failure to issue draft assessment order and give requested opportunity of hearing-Assessment order and consequent notices of demand and penalty set aside-Direction was issued to pass fresh assessment order. [S. 143(3), 144B(1)(xiv), 147, 156, 271(1)(c), 274, Art. 226]

Ellathkandi Khaleel Ahammad v. UOI (2023) 450 ITR 103 (Ker.)(HC)

S. 144B : Faceless Assessment-Assessment order passed without providing adequate opportunity to be heard-Order is held to be not valid-The matter was remanded back to the Assessing Officer. [S. 143(3), 144, 144B(9), Art. 226]

Atulbhai Kantilal Mehta v. ACIT (2023) 450 ITR 660 (Guj.)(HC)

S. 144B : Faceless Assessment-Opportunity of personal hearing was not given-Assessment order and consequential demand and penalty notices set aside-Matter remanded. [S. 143(3), 144B(7), 156, Art. 226]

Assotech Realty Pvt. Ltd. v. NEAC (2023) 450 ITR 645 (Delhi)(HC)

S. 144B : Faceless Assessment-Violation of principles of natural justice-Final order passed without issuing show-cause notice-cum draft assessment order-Assessment order and consequent notices of demand and penalty set aside. [S. 144, 156, 270A, 271AAC(1), Art. 226]

Anju Jalaj Batra v. NEACC (2023) 450 ITR 140 (Delhi)(HC)

S. 143(3) : Assessment-Income-Deduction of tax at source-discrepancy in tax deducted at source certificates-Receipts as in form 26AS generated by department to be taken into consideration and not receipts as in form 16a issued by payer-Order of Tribunal affirmed. [S. 4, 260A, Form 16A, Form 26AS]

PCIT v. Nirmali Bhadra (Smt.) (2023) 450 ITR 517 (Cal.)(HC)

S. 132 : Search and seizure-Reason to believe-Documents necessary for investigation-Search proceedings valid-Noting information received as well as recording of reasons followed-Notice under section 153A was valid-Satisfaction by jurisdictional Assessing Officer that books of account or documents seized relate to such third person-Notice under section 153C is valid-Transfer of case-Co-ordination and centralisation of assessment proceeding-Transfer is valid-Recovery of tax-Provisional attachment was valid. [S. 127, 153A, 153C, 281B, Code of Criminal Procedure, 1973, Rule 112, Art, 226]

Chandran Somasundaram v. PDIT (2023) 450 ITR 188 // 330 CTR 237/222 DTR 201/ 145 taxmann.com 6 (Mad.)(HC)/Editorial : Partially set aside by division Bench, SNJ Breweries (P) Ltd. v. PDIT (Inv ).(2024) 340 CTR 436 / 241 DTR 233 (Mad)(HC)

S. 92C : Transfer pricing-Arm’s length price-Bright Line test method-Advertising, marketing and promotion expenditure-Order of Tribunal deleting the addition was affirmed. [S. 92CA(3), 144C, 260A]

PCIT v. Moet Hennessy India Pvt. Ltd. (2023) 450 ITR 555/146 taxmann.com 55 / 330 CTR 609 / 225 DTR 361 (Delhi)(HC)

S. 80IA : Industrial undertakings-Infrastructure development-Construction of technology park-Leasing of industrial units-notification to be issued by central board of direct taxes is only a formality once approval is granted by government-Order of Tribunal deleting disallowance was affirmed.[S.80(IA)(4))(iii)]

PCIT v. Prasad Technology Park Pvt. Ltd. (2023) 450 ITR 564 (Karn.)(HC)

S. 69 : Unexplained investments-Search and seizure-Block assessment-Educational institution-Deletion of addition was held to be proper. [S. 10(22), 10(23C)(vi), 11, 132, 158BC, 260A]

CIT v. Orissa Trust of Technical Education and Training (2023) 450 ITR 276 (Orissa)(HC)