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. 145 : Method of accounting-Non-issuance of sale memos-Mere non-issuance of sale memos could not have been a ground to reject entire account books particularly since it pertained to sale of country liquor to tribal populations.

Cresent Co. v. CIT (2022) 214 DTR 77 / 137 taxmann.com 408 / 334 CTR 339(Orissa)(HC)/Moinuddin Enterprises v. CIT (2022) 214 DTR 77/ (2023)334 CTR 339 (Orissa HC)/ Ganpur Wine v. CIT (2022) 214 DTR 77 /(2023) 334 CTR 339 (Ori) (HC)

S. 144C : Reference to dispute resolution panel-Draft assessment order-Order passed when the matter was pending before DRP-Order arbitrary, illegal and without jurisdiction. [Art. 226]

TT Steel Service India Pvt Ltd. (Rep. by Mr. Junichi Takamasu) v. Addl. CIT (2022) 209 DTR 408 / 325 CTR 113 / 137 taxmann.com 151 (Karn.)(HC)

S. 142(2A) : Inquiry before assessment-Special audit-Audit report is not binding on revenue-Reasons for discarding it have to be recorded by Assessing Authority after proper discussion and same could not have been discarded summarily-Matter remanded. [Art. 226]

SRS Mining v. UOI (2022) 328 CTR 510 / 217 DTR 321/ 141 taxmann.com 272 (Mad.)(HC).Notice is issued in SLP filed by the Revenue , ACIT v. SRS Mining (2023) 294 Taxman 604 (SC)

S. 132 : Search and seizure-Authorisation-Authorization for search should be of competent authority and it is on satisfaction of authority that search warrant can be issued and it can be only of Competent Officer-Where search warrant was not issued by Competent Officer, it would vitiate search-Matter remanded. [Art. 226]

SRS Mining v. UOI (2022) 328 CTR 510 / 217 DTR 321 /141 taxmann.com 272 (Mad.)(HC): Notice is issued in SLP filed by the Revenue , ACIT v. SRS Mining (2023) 294 Taxman 604 (SC)

S. 132 : Search and seizure-Retrospective amendments made under sections 132(1), 132(1A) and 132A by insertion of Explanations preventing disclosure of reason to believe and reason to suspect in proceedings upto Tribunal are constitutionally valid. [S. 132(1), 132(IA), 132A, Art, 14, 19, 21, 226]

SRS Mining v. UOI (2022) 328 CTR 510 / 217 DTR 321/ 141 taxmann.com 272 (Mad.)(HC)

S. 115WB : Fringe benefits-Limitation –Additional grounds-Notice issue under section 143(2) after six months from the end of relevant financial year-Notice is invalid-Tribunal is justified in admitting additional grounds. [S. 115WE(2), 143(2), 254(1)]

PCIT v. GJ Trading (P) Ltd. (2022) 218 DTR 225 / 328 CTR 865 / 145 taxmann.com 279 (Telangana)(HC)

S. 69A : Unexplained money-Assessment against yard owners was completed-Addition of same income in the hands of the petitioner was directed to be deleted-Matter remanded. [S. 153C, Art. 226]

SRS Mining v. UOI (2022) 328 CTR 510 / 217 DTR 321/ 141 taxmann.com 272 (Mad.)(HC)/Notice is issued in SLP filed by the Revenue , ACIT v. SRS Mining (2023) 294 Taxman 604 (SC)

S. 40(a)(ia) : Amounts not deductible-Deduction at source-Commission, brokerage, etc.-Passenger service fees (PSF)-Not liable to deduct tax at source-Matter remanded for verification. [S. 194H]

Delhi International Airport Ltd. v. PCIT (2022) 210 DTR 881 / 325 CTR 361 / 138 taxmann.com 541 (Karn.)(HC)

S. 36(1)(viii) : Eligible business-Special reserve-Agricultural development-Eligible business-Dairy or animal husbandry activities-Providing long term finance to various dairy co-operatives engaged in producing milk-Not eligible to claim deduction.

National Dairy Development Board v. Addl. CIT (2022) 220 DTR 273 / 143 taxmann.com 282 / (2023) 290 Taxman 181 / 330 DTR 273(Guj.)(HC)

S. 36(1)(v) : Contribution to approved gratuity fund-Gratuity trust-Deed of variation pending for approval-Not allowable as deduction.[S. 43B]

National Dairy Development Board v. Addl. CIT (2022) 220 DTR 273 / 143 taxmann.com 282 / (2023) 290 Taxman 181/ 330 CTR 464 (Guj.)(HC)