ITC Allowed Despite Delayed Returns Filed for FY 2017-18: Retrospective Amendment Provides Relief Summary in Key Points: Issue: Was the restriction on availing Input Tax Credit (ITC) within a specific timeframe, imposed by Section 16(4) and Rule 61(5), valid? Was the retrospective amendment of Rule 61(5) also valid? Facts: The petitioner challenged Section 16(4) and… Read More »
Income Tax Case Laws in January 2025 7 IMPORTANT INCOME TAX CASE LAWS 31.01.2025 7 IMPORTANT INCOME TAX CASE LAWS 30.01.2025 7 IMPORTANT GST CASE LAWS 29.01.2025 7 IMPORTANT GST CASE LAW 28.01.2025 8 IMPORTANT GST CASE LAWS 27.01.25 9 Important GST Case Laws 26.01.2025 7 IMPORTANT GST CASE LAW 25.01.2025 21 IMPORTANT GST CASE… Read More »
7 IMPORTANT INCOME TAX CASE LAWS 31.01.2025 Sr No Case Law Title Brief Summary Citation Relevant Act 1 Smt. Shantha Vidyasagar Annam v. Income-tax Officer Development agreement did not constitute a “transfer” under Section 2(47). Click Here Section 2(47) Income Tax Act, 1961 2 Patnala Srinivas v. Income-tax Officer Claim of agricultural income denied as… Read More »
Penalty Order Time-Barred: Reference to Additional Commissioner Initiates Proceedings Summary in Key Points: Issue: Was the penalty order time-barred under Section 275, given the timeline of the reference, show cause notice, and the penalty order itself? Facts: The assessee’s return was selected for scrutiny, and additions were made to the declared income. The Assessing Officer… Read More »
Income Tax Assessment Order Quashed: Denial of Personal Hearing Violates Natural Justice Summary in Key Points: Issue: Was the assessment order valid when the assessee’s explicit request for a personal hearing was denied? Facts: The assessee filed a writ petition challenging the assessment order passed under Section 148A(d) and the notice disposing of objections. The… Read More »
Reassessment notice quashed as it was issued by the Assessing Officer instead of NFAC. Summary in Key Points: Issue: Was the reopening notice issued by the Jurisdictional Assessing Officer valid, or did the power to issue such notices lie exclusively with the National Faceless Assessment Centre (NFAC)? Facts: For AY 2017-18, the Jurisdictional Assessing Officer… Read More »
Bogus Trading Allegations Unsubstantiated: Section 69A Addition Deleted Summary in Key Points: Issue: Was the addition under Section 69A justified based on allegations of bogus commodity trading due to client code modifications? Facts: The assessee filed returns, and assessments were completed under Section 143(3). The Assessing Officer, based on information from the Investigating Wing about… Read More »
Cash Deposits During Demonetization Explained: Section 68 Addition Invalid Summary in Key Points: Issue: Can the Assessing Officer invoke Section 68 or 69A when the assessee has declared the source of cash deposits in their books of account, and there is no contrary evidence? Facts: The assessee, trading in machinery parts/bearings, filed a return declaring… Read More »
Agricultural Income Exemption Denied: Land Not Under Cultivation Summary in Key Points: Issue: Was the assessee’s claim for agricultural income exemption justified? Facts: The assessee claimed an exemption for agricultural income. An Income Tax Inspector’s spot enquiry report stated the land was plotted and not cultivated. The assessee offered no explanation. The Commissioner (Appeals) noted… Read More »
Development Agreement Not a “Transfer”: Capital Gains Assessment Quashed Summary in Key Points: Issue: Did the development agreement constitute a “transfer” under Section 2(47) of the Income-tax Act, triggering capital gains tax? Facts: The assessee, an NRI, entered into a development agreement with a builder for constructing flats on a sharing basis. Lower authorities treated… Read More »