Writ petition against Show Cause Notice dismissed as premature; Adjudication must precede Writ Issue Whether a Writ Petition under Article 226 of the Constitution is maintainable against a Show Cause Notice (SCN) issued under Section 73 of the GST Act, or if the petitioner must first exhaust the alternative statutory remedy of participating in the… Read More »
Natural Justice plea fails if hearing opportunity ignored; Pre-deposit mandatory for stay despite Tribunal non-constitution I. Natural Justice in Second Round of Litigation Issue Whether an appellant can claim a violation of natural justice (lack of hearing) in a second round of litigation if they failed to appear for the hearing specifically directed by the… Read More »
Prior deposit of Rs. 2.01 Cr to be considered; Appeal to Tribunal allowed without further pre-deposit Issue Whether the Adjudicating and Appellate Authorities erred in confirming penalties for fraudulent ITC availment against the company and its directors without considering a substantial pre-notice deposit of Rs. 2.01 crore made during earlier registration restoration proceedings, and whether… Read More »
Pre-deposit of 10% via Electronic Credit Ledger (ITC) is valid; Appeal restoration ordered Issue Whether the mandatory pre-deposit of 10% required for filing an appeal under Section 107 of the GST Act can be validly paid by debiting the Electronic Credit Ledger (ITC), or if it must be paid only in cash. Facts The Appeal:… Read More »
IMPORTANT INCOME TAX CASE LAW 09.12.2025 Section Case Law Title Brief Summary Citation Relevant Act Section 10A Principal Commissioner of Income-tax v. Mahindra Engineering Services Ltd. Deduction under section 10A (Free Trade Zone/STP Unit) cannot be denied if the new unit is independent, set up with fresh infrastructure, new plant/machinery, new software, and a separately… Read More »
Mechanical approval under Section 153D on same day held invalid; Assessment void ab initio Issue Whether an approval granted by the Joint Commissioner/Additional Commissioner under Section 153D for passing a search assessment order is valid if it is granted on the same date as the application, without any evidence of independent application of mind. Facts… Read More »
Reopening based on ‘Bogus Investor’ allegations quashed; Investor accepted as genuine in subsequent years Issue Whether the Assessing Officer (AO) can validly reopen an assessment under Section 147 alleging that a foreign investor (‘GS’, Singapore) is a conduit providing unexplained cash credit (Section 68), when the same investor’s identity, creditworthiness, and the genuineness of its… Read More »
Cash deposits sourced from prior withdrawals are not “Unexplained Money”; Section 69A addition deleted Issue Whether cash deposits made by an assessee (including those during the demonetization period) can be treated as unexplained money under Section 69A when the assessee demonstrates, through audited financials and bank statements, that the source of such deposits was cash-in-hand… Read More »
Statement recorded during Survey u/s 133A has no evidentiary value without corroborative material; Addition deleted Issue Whether an addition for unexplained money/stock can be sustained solely based on a statement recorded during a survey under Section 133A, which was subsequently retracted by the assessee, in the absence of any other corroborative material evidence. Facts Assessee… Read More »
Reassessment based on unsigned third-party Excel sheet quashed; On-money allegations on plot purchase deleted Issue Whether additions made under Section 69B and 69C (as unexplained investment/expenditure) are sustainable when based solely on an unsigned, unverified Excel sheet found during a search on a third-party developer (“N Group”), especially when the assessee’s original assessment under Section… Read More »