Karnataka HC Restores GST Registration and Remands Ex-Parte Order for Fresh Adjudication Key Highlights of the Case The Mismatch: The petitioner’s GST registration was cancelled in August 2022 for non-filing. Despite the cancellation, the Department issued a Section 73 notice for FY 2018-19 and passed an ex-parte order in March 2024 confirming a demand of… Read More »
IMPORTANT INCOME TAX CASE LAWS 23.01.2026 Relevant Act Section Case Law Title Brief Summary Citation PBPT Act, 1988 Section 24 (Attachment) Balkar Singh v. Initiating Officer [No Substitution of Property] While confirming a provisional attachment order, the Initiating Officer cannot substitute the originally attached property with a different one. Section 24(4) permits only “continuance” of… Read More »
TDS Credit Rulings: Timing Differences and Sister Concern Credits I. TDS Credit Follows the Income (Cash vs. Mercantile System) Issue: How should TDS credit be handled when an assessee follows the Cash System of accounting (taxable on receipt), but their clients follow the Mercantile System (deducting TDS on accrual)? Facts: The Mismatch: Clients deducted TDS… Read More »
Employee Not Liable for TDS Deducted but Not Deposited by Employer Issue Whether an employee can be asked to pay tax again (via a tax demand) if the employer has already deducted Tax Deducted at Source (TDS) from their salary but failed to deposit it with the Government due to liquidation or other reasons.… Read More »
Jurisdictional AO Cannot Issue Section 148 Notices; Faceless Scheme is Mandatory Issue Whether a notice under Section 148 (for income escaping assessment) and the subsequent assessment order passed by a Jurisdictional Assessing Officer (JAO) are valid, given the provisions of Section 151A which mandate a Faceless Assessment scheme. Facts Assessment Year: 2017-18. The Action:… Read More »
CSR Expenditure is Eligible for Section 80G Deduction; Mandatory Nature is Irrelevant Issue Whether a company can claim a tax deduction under Section 80G (donations) for expenditure incurred to meet its mandatory Corporate Social Responsibility (CSR) obligations under the Companies Act, 2013. Facts Assessment Year: 2020-21. The Spend: The assessee spent Rs. 98.69 lakhs… Read More »
Inherited Gold Sale Accepted: 2001 Valuation Report & Mother’s Affidavit Sufficient Proof Issue Whether the sale proceeds of gold jewellery can be treated as “Unexplained Cash Credit” (Section 68) if the assessee cannot produce the original purchase bills of her deceased father or a registered Will, despite having a valuation report from 2001. Facts… Read More »
Landowner in JDA Can Use Project Completion Method; Not Bound by Developer’s Percentage Completion Method Issue Whether the Assessing Officer (AO) can compel a landowner (who holds land as stock-in-trade) to adopt the Percentage Completion Method (PCM) for recognizing revenue from a Joint Development Agreement (JDA), merely because the developer of the project follows that… Read More »
Benami Act: Final Attachment Order Must Match Property in Show Cause Notice Issue Whether the Initiating Officer (IO) can issue a provisional attachment order under Section 24(4)(a)(i) for a property that is different from the property specified in the initial show-cause notice and provisional attachment order issued under Section 24(3). Essentially, can the IO… Read More »
IMPORTANT GST CASE LAWS 22.01.2026 Relevant Act Section Case Law Title Brief Summary Citation IGST Act, 2017 Section 16 (Zero Rated) Prime Perfumery Works v. ACCT [Export Refund] Refund of IGST on exports cannot be rejected solely because the LUT/Bond was not furnished prior to export. The Circular allowing ex-post facto acceptance must be considered.… Read More »