Daily Archives: January 1, 2026

Renting of Residential Dwelling to Commercial Entity for Hostel Use Exempt from GST (Pre-18.07.2022); Exemption is Activity-Centric, Not Person-Centric

By | January 1, 2026
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Renting of Residential Dwelling to Commercial Entity for Hostel Use Exempt from GST (Pre-18.07.2022); Exemption is Activity-Centric, Not Person-Centric   ISSUE Whether leasing a residential building to a commercial entity (registered company), which sub-leases it as a hostel for students and professionals, qualifies for GST exemption under Entry 13 of Notification No. 9/2017-Integrated Tax (Rate)… Read More »

Category: GST

ECL Blocking Quashed: High Court Directs Immediate Unblocking to Enable Return Filing, Following ‘K-9 Enterprises’ Ruling

By | January 1, 2026
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ECL Blocking Quashed: High Court Directs Immediate Unblocking to Enable Return Filing, Following ‘K-9 Enterprises’ Ruling ISSUE Whether the blocking of the petitioner’s Electronic Credit Ledger (ECL) by the Revenue authorities, which prevented the filing of GST returns, was sustainable in law, considering the procedural safeguards and the precedent set by the Division Bench. FACTS… Read More »

Category: GST

Differential GST Reimbursement: Karnataka High Court Sets Formula for Transition of Ongoing Works Contracts (KVAT to GST)

By | January 1, 2026
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Differential GST Reimbursement: Karnataka High Court Sets Formula for Transition of Ongoing Works Contracts (KVAT to GST)   ISSUE How should the tax liability be determined for Government works contracts executed during the transition period (pre and post-01.07.2017), and is the contractor entitled to reimbursement/refund of the differential tax burden caused by the shift from… Read More »

Category: GST

IMPORTANT INCOME TAX CASE LAWS 31.12.2025

By | January 1, 2026
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IMPORTANT INCOME TAX CASE LAWS 31.12.2025 Relevant Act Section Case Law Title Brief Summary Citation Income-tax Act, 1961 Section 9 Informatica Business Solutions (P.) Ltd. v. Jt. CIT Secondment of employees to Indonesia where salary was routed through an Indonesian entity required fresh examination of the secondment agreement to determine the real employer and withholding… Read More »

ITSC Application Rejected: Settlement Commission Lacks Jurisdiction to Reclassify ‘Business Income’ as ‘Unexplained Investment’ (s. 69B) if Manner of Earning is Not Substantiated

By | January 1, 2026
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ITSC Application Rejected: Settlement Commission Lacks Jurisdiction to Reclassify ‘Business Income’ as ‘Unexplained Investment’ (s. 69B) if Manner of Earning is Not Substantiated ISSUE Whether the Income Tax Settlement Commission (ITSC) is required to reject a settlement application in its entirety if it finds that the disclosure of income (or a part thereof) is not… Read More »

Reassessment Set Aside: “Technical Glitch” No Excuse for AO Granting Only 2 Days to Reply; Minimum Time u/s 148A(b) Mandatory

By | January 1, 2026
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Reassessment Set Aside: “Technical Glitch” No Excuse for AO Granting Only 2 Days to Reply; Minimum Time u/s 148A(b) Mandatory ISSUE Whether an order passed under Section 148A(d) is valid when the Assessing Officer (AO), after admitting to a “technical glitch” in the initial notice, demanded specific details on 29-03-2023 and passed the final order… Read More »

MAT Computation: “Relevant Date” for Brought Forward Loss u/s 115JB is 1st April; Loss Wiped Out by Capital Reduction During the Year Still Available for Set-off

By | January 1, 2026
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MAT Computation: “Relevant Date” for Brought Forward Loss u/s 115JB is 1st April; Loss Wiped Out by Capital Reduction During the Year Still Available for Set-off   ISSUE Whether the “relevant date” for determining the quantum of brought forward loss or unabsorbed depreciation for reduction from Book Profit under Explanation 1(iii) to Section 115JB(2) is… Read More »

Low Tax Effect: Revenue’s Appeal Dismissed as Normal Tax Rate Applies for Threshold Calculation; Amended Section 115BBE Held Not Retrospective

By | January 1, 2026
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Low Tax Effect: Revenue’s Appeal Dismissed as Normal Tax Rate Applies for Threshold Calculation; Amended Section 115BBE Held Not Retrospective ISSUE Whether the tax effect for the purpose of maintainability of a Revenue appeal should be calculated using the higher tax rate (60%) introduced in Section 115BBE (w.e.f. 15-12-2016) or the normal tax rate, and… Read More »

Carry Forward of Demerger Losses: Section 72A(4) Applies; PCIT’s Revision Based on Amalgamation Conditions u/s 72A(2) Held Invalid

By | January 1, 2026
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Carry Forward of Demerger Losses: Section 72A(4) Applies; PCIT’s Revision Based on Amalgamation Conditions u/s 72A(2) Held Invalid   ISSUE Whether the Principal Commissioner of Income Tax (PCIT) was justified in invoking revisionary jurisdiction under Section 263 by applying the conditions of Section 72A(2) (which requires the transferor entity to exist for 3+ years) to… Read More »

High Court Dismisses Revenue’s Appeal: Tribunal’s Restriction of Disallowance to 6% on Bogus Purchases Upheld Following Precedent in Assessee’s Own Case

By | January 1, 2026
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High Court Dismisses Revenue’s Appeal: Tribunal’s Restriction of Disallowance to 6% on Bogus Purchases Upheld Following Precedent in Assessee’s Own Case ISSUE Whether the High Court should interfere with the Tribunal’s decision to restrict the disallowance on alleged bogus purchases to 6%, when the Assessing Officer (AO) had added 100% of the value (₹225.29 Crore),… Read More »