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. 13 : Denial of exemption-Trust or institution-Investment restrictions -Property held for charitable purposes -Transactions between trustee and related party —No evidence of diversion of funds — Transaction was at arm’s length- Denial of exemption is not justified .[ S. 11, 12, 13(3) ]

CIT (E) v.Shri Ramdoot Prasad Sewa Samiti Trust (2022) 217 DTR 396/ 328 CTR 588/ (2023) 450 ITR 288 (Raj)( HC)

S. 10 (23C): Educational institution – Amounts given as donation by relatives of students seeking admission to institution run by Charitable Trust to sister trust — Sister Trust giving amounts to assessee running educational institutions — Amounts given not voluntary contribution But In Reality Capitation Fees — Court Could lift veil of trusts — Not entitled to exemption on sums received from sister Trust – Activities of trust not charitable — Registration to be cancelled – The statements given to the Assessing Officer under section 132(4) had legal force. Unless retractions are made within a short span of time, supported by affidavit swearing that the contents were incorrect and that the statement was obtained under force, coercion and by lodging a complaint with higher officials, they could not be treated as retracted. . [ S.2((15) 11,12, 12AA , 13, 132(4), Tamil Nadu Educational Institutions (Prohibition Of Collection of capitation Fee) Act, 1992 , S.4 ]

CIT v. MAC Public Charitable Trust( 2022) 219 DTR 385 / (2023) 450 ITR 368/ 333 CTR 15 (Mad)(HC )

S. 139A : Permanent account number –Surrendering permanent account number card on obtaining new card — Notice issued under old card — Court directed the Commissioner to decide which permanent account number was to be used by the assessee for future transactions and Income-tax returns. [ S. 148, 148A(b) Art , 226 ]

Ramchandra Haryani v. UOI (2022) 218 DTR 258 /328 CTR 1085 (2023) 450 ITR 250 (MP)( HC)

S. 253: Appellate Tribunal – Maintainability – Consolidated order of CIT(A) for more than one year – One appeal cannot be filed against two reassessment orders for the same assessment year- Income-tax Appellate Tribunal Rules, 1963 –R. 9 -Appeal of revenue was dismissed . [ S. 132, 153C ,ITAT R, 9 ]

ACIT v. Ajit Anantrao Pawar (Mum)(Trib) www.itatonline .org

S. 201 : Deduction at source – Failure to deduct or pay – Late deposit of TDS payment – Payment of TDS to bank would relate to date of presentation of cheque to banker- Mistake of banker the assessee is not liable to pay the interest . [ S . 194A, 201(1), 201(IA) ]

Natma Securities Ltd v.ACIT (2022) 145 taxmann.com 291 (Delhi )( Trib)

S. 199 : Deduction at source – Credit for tax deducted -Credit for tax deducted at source has to be given even though the amount deducted is not reflected in Form No. 26AS of the payee . [ S. 22 , 143(3), 203 ]

Liladevi Dokania v. ITO ( 2022) BCAJ -January -P. 32 ( Surat )( Trib)

. 195 :Deduction at source – Non-resident – Deposit of TDS under wrong challan – Authorities directed to correct the demand due to deposit of TDS by wrong challan .

World Quant Research ( India) Pvt Ltd v .CIT , NFAC ( 2023 ) BCAJ – February -P.38( Mum)( Trib)

S. 194H : Deduction at source – Commission or brokerage – Exhibition of films – Survey – Theatre owner is not liable to deduct tax at source on convenience fee charged by BookMyshow to the end customer and retained by it- Matter remanded . [ S. 133A, 201(IA)) ]

Srinivas Rudrappa v.ITO ( 2022) BCAJ- February – P. 37 ( Bang)( Trib)

S. 143(3): Assessment – Civil construction -Stock in trade – Amount surrendered in the course of survey – Assessable as business income – Addition cannot be made as income from undisclosed income under section 69 of the Act . [ S. 69, 133A ]

Kulkarni & Sahu Buildcon Pvt Ltd v. DCIT (2023) BCAJ – February -P.39 ( Rajkot )( Trib)

S. 56 : Income from other sources -Gift from relative – There need not be any occasion for receipt of gift from relative [ S.56(2)(v), 68 ]

ITO v. Dr. Satish Natwarlal Shah ( 2023) BCAJ – January -P. 33( Ahd)( Trib)