No New Tax Demands After Resolution Plan Approval: High Court Upholds Clean Slate Principle in IBC Cases Issue: Whether tax authorities can finalize a pending assessment and impose new tax liabilities on a resolution applicant after a resolution plan has been approved under the Insolvency and Bankruptcy Code (IBC). Decision: The High Court held that… Read More »
Transfer Order Under Section 127 Set Aside for Procedural Lapses and Lack of Justification Summary in Key Points: Issue: The assessee challenged a transfer order issued under Section 127 of the Income Tax Act, alleging procedural flaws and lack of justification. Facts: The Principal Commissioner initiated the transfer based on “incriminating material” found during a… Read More »
Advisory for Waiver Scheme under Section 128A Jan 14th, 2025 1. Taxpayer’s attention is invited to the advisory on the above subject issued by GSTN on 29.12.2024. The link for the said advisory is given here: https://services.gst.gov.in/services/advisoryandreleases/read/564 2. It is to inform that both Forms GST SPL 01 and GST SPL 02 are available… Read More »
Generation Date for Draft GSTR 2B for December 2024 Jan 14th, 2025 This is to inform you that, in light of the extended due dates for filing GSTR-1 and GSTR-3B returns for the month of December 2024 (Quarter Oct-Dec 2024) as per Notifications No. 01/2025 and 02/2025 dated 10th January 2025, the Draft GSTR-2B for… Read More »
No Addition for Explained Cash Deposits : No Addition for Explained Investments Fact I Section: 69A of the Income-tax Act, 1961 Title: No Addition for Explained Cash Deposits with Supporting Evidence Summary in Key Points: The Assessing Officer made an addition for cash deposits in the assessee’s bank account, considering the source unexplained. The assessee,… Read More »
No Addition for Explained Purchases Even if Suppliers are do not appear before AO : If interest expenditure is disallowed under Section 40(a)(ia) for not furnishing Form 15G/15H, the matter can be remanded for verification of the forms. Fact -1 Section: 69C, read with section 145, of the Income-tax Act, 1961 Title: No Addition for… Read More »
Contribution to Unrecognized PF Allowable as Business Expenditure : Sec 43B Liability can be Discharge by allotting Equity Shares Fact -1 Section: 37(1) of the Income-tax Act, 1961 Title: Contribution to Unrecognized Provident Fund Allowable as Business Expenditure Summary in Key Points: The case dealt with the allowability of contributions made by a company to… Read More »
Provision for Leave Salary Disallowed Under Section 43B; 8-Year Limit for Setting Off Unabsorbed Depreciation Upheld Summary in Key Points: Issue 1: Whether a provision for leave salary is deductible under Section 43B of the Income Tax Act. Decision 1: The High Court held that a provision for leave salary is not deductible under Section… Read More »
Voluntary Transfer Pricing Adjustment Eligible for Deduction Under Section 10AA for SEZ Units Summary in Key Points: Issue: Whether a voluntary transfer pricing (TP) adjustment made by an assessee operating in a Special Economic Zone (SEZ) is eligible for deduction under Section 10AA of the Income Tax Act. Facts: The assessee made a voluntary TP… Read More »
No Penalty Under Section 271-I for Non-filing of Form 15CA/CB for Import of Goods Not Subject to Withholding Tax Summary in Key Points: Issue: The assessee, engaged in diamond manufacturing, faced a penalty under Section 271-I for not furnishing Form 15CA/CB for outward remittances to a Belgium-based entity for raw material imports. Decision: The ITAT… Read More »