ITAT Restores Ex-Parte Assessment to AO on Cost Due to Notices Sent to Wrong Email Issue Whether an ex-parte assessment and subsequent appellate dismissal can be set aside and remanded for fresh adjudication when the assessee claims non-receipt of statutory notices due to them being sent to a wrong email ID, despite a significant delay… Read More »
Assessment Quashed: No Approval u/s 148B for Pre-Search Year (A.Y. 2022-23) Issue Whether an assessment for an assessment year immediately preceding the search year (A.Y. 2022-23) can be framed under Section 143(3) without issuing a notice under Section 148 and obtaining the mandatory prior approval under Section 148B of the Income-tax Act, 1961. Facts Search… Read More »
Surrendered income from business discrepancies taxed at normal rates, not 60% under Section 115BBE. Issue Whether the additional income of Rs. 35 lakhs surrendered by the assessee during a survey operation (on account of discrepancies in cash, stock, etc.) should be taxed at the special flat rate of 60% under Section 115BBE or at normal… Read More »
ITAT Deletes Addition as AO Ignored “Genuineness” of Transaction Despite Clerical Error in Affidavit. Issue Whether an addition for unexplained cash deposits can be sustained when the Assessing Officer (AO) rejects the assessee’s explanation solely due to a clerical error in an affidavit, while ignoring substantial documentary evidence (sale deed, bank statement) that proves the… Read More »
Demonetization: ITAT Sustains Partial Addition of Cash Deposits in December 2016 Issue Whether the addition made by the Assessing Officer (and partly sustained by the CIT(A)) under Section 69A for unexplained cash deposits during the demonetization period is sustainable, when the assessee’s books are audited and sales have been accepted as genuine. Facts Assessee: Proprietor… Read More »
Penalty u/s 271(1)(c) Deleted as Quantum Additions Dropped in Fresh Assessment Issue Whether a penalty levied under Section 271(1)(c) for concealment of income can legally survive when the underlying assessment order has been set aside by the Tribunal, and in the subsequent fresh assessment, the returned income of the assessee has been accepted without any… Read More »
Reopening Notice u/s 148 by JAO instead of Faceless AO Quashed Issue Whether a notice for reopening assessment under Section 148 of the Income Tax Act, 1961, issued by the Jurisdictional Assessing Officer (JAO) on or after 29-03-2022, is valid in law, considering the mandatory provisions of Section 151A and the CBDT Notification No. 18/2022… Read More »
No TDS u/s 194-IA if Individual Share in Joint Property Purchase is Below ₹50 Lakhs Issue Whether the statutory threshold of Rs. 50 Lakhs for deducting Tax Deducted at Source (TDS) under Section 194-IA applies to the total consideration of the property or to the individual share of each buyer in the case of a… Read More »
Premium CAD Software expenses are Revenue in nature, not Capital; ITAT allows full deduction. Issue Whether expenditure incurred on procuring “Premium CAD Software” should be treated as Capital Expenditure (providing enduring benefit) or Revenue Expenditure (due to short shelf-life), and its consequent impact on the computation of deduction under Section 80IC of the Income Tax… Read More »
Reopening Notice u/s 148 by JAO instead of Faceless AO Quashed Issue Whether a notice for reopening assessment under Section 148 of the Income Tax Act, 1961, issued by the Jurisdictional Assessing Officer (JAO) on or after 29-03-2022, is valid in law, considering the mandatory provisions of Section 151A and the CBDT Notification No. 18/2022… Read More »