Daily Archives: May 24, 2025

I. Loss from NSEL Transactions for Availing Finance Not Speculative Loss. Issue: Whether a loss incurred by an assessee from transactions of cotton wash oil on the NSEL platform, where settlement occurred without actual delivery of goods, should be treated as a speculative loss under Section 43(5) read with Section 73 of the Income-tax Act,… Read More »

Educational Institution’s Exemption Under Section 10(23C)(vi) Allowed for AY 2017-18 Despite Non-Filing of Return, as Proviso Not Retrospective. Issue: Whether an educational institution, whose annual receipts exceeded the threshold for automatic exemption under Section 10(23C)(iiiad) and which obtained specific approval for exemption under Section 10(23C)(vi) from the Commissioner (Exemption), can be denied this exemption for… Read More »

Educational Institution’s Exemption Under Section 10(23C)(iiiab) Allowed on Interest from Government Grant Used for Institute’s Purpose. Issue: Whether an educational institution primarily funded by the Central Government is entitled to exemption under Section 10(23C)(iiiab) of the Income-tax Act, 1961, when the Assessing Officer denies it on the ground of not being “substantially financed by the… Read More »

Best Judgment Assessment Quashed for Lack of Opportunity of Hearing, Remanded for Fresh Consideration. Issue: Whether a best judgment assessment under Section 144 of the Income-tax Act, 1961, and a subsequent rejection of a revision petition under Section 264, are valid if the Assessing Officer (AO) and the Commissioner (while exercising revisional powers) fail to… Read More »

I. Service of Notice Under Section 143(2) on a Sunday Due to Post Office Closure: Valid Service. Issue: Whether the service of a notice under Section 143(2) of the Income-tax Act, 1961, on October 1, 2012, is considered valid and within the limitation period, even though the prescribed last date for service was September 30,… Read More »