Revenue Prevails as Trader Fails to Prove Income Source Within Specified Tribal Area Despite ST Status 1. The Core Dispute: Exemption vs. Unexplained Money The assessee, a trader, failed to file his Income Tax Returns (ITR) for AY 2013-14 and 2014-15. Based on data from the Insight Portal, the Income Tax Department detected significant cash… Read More »
Quashing of Bogus Purchase Additions Based on GST Records and Allowability of Compensatory Interest on TDS 1. Bogus Purchases vs. GST Compliance (Section 69C) Title: [GST Registration and Filing Establish Authenticity of Purchases Despite Supplier’s Non-Response to IT Notices] The Assessing Officer (AO) treated purchases from a specific supplier as “bogus” because the supplier failed… Read More »
Accrued Interest on NPAs Taxable Where Assessee Extends Fresh Credit, Overriding RBI Prudential Norms 1. The Core Dispute: RBI Norms vs. Commercial Reality The assessee, a Non-Banking Financial Company (NBFC), claimed that interest on certain loans was not taxable because the underlying advances had been classified as Non-Performing Assets (NPAs) under the RBI Prudential Norms.… Read More »
Comprehensive Ruling on Business Deductions, R&D Weighted Claims, and Intangible Asset Depreciation 1. Software Licence Fees: Revenue vs. Capital Expenditure Title: [Allowability of Software Licence Fees as Revenue Expenditure for Efficient Business Conduct] The assessee incurred costs for application software licences with short useful lives (mostly up to two years) requiring frequent renewal. The Ruling:… Read More »
Quashing of Reassessment Proceedings Due to Issuance of Section 148 Notice by Jurisdictional Officer Instead of Faceless Assessing Officer 1. The Core Dispute: JAO vs. FAO (The Jurisdiction Battle) The assessee challenged the entire chain of reassessment proceedings—starting from the preliminary notice under Section 148A(b) to the final assessment order and demand under Section 156.… Read More »
IMPORTANT GST CASE LAWS 19.01.2026 Relevant Section Case Law Title Core Ruling & Strategic Summary Citation Section 16(5) Malabar Plaza Residency v. ASTO [Amnesty Primacy] ITC cannot be denied for late filing if the return falls within the extended cut-off date provided by the retrospective Section 16(5). This statutory relief supersedes prior limitation rejections. Click… Read More »
Update on Advisory on Interest Collection and Related Enhancements in GSTR-3B Feb 19th, 2026 In continuation to the advisory posted on the GST Portal on 30th January, 2026 on the above subject, it is hereby informed that the functionality to utilise CGST or SGST ITC for payment of IGST liability, in any order of payment… Read More »