Delay Condonation Denied as CBDT Circular Five-Year Limitation Overrides Vested Claims and Section 148 Inaction Issue Issue I (Applicability of Circular Timeline): Whether the Principal Commissioner was justified in rejecting an application for condonation of delay under Section 119(2)(b) for filing a return to claim a refund, on the ground that it was filed beyond… Read More »
Schedule 10(13A) – House Rent Allowance (HRA) AY 2026-27 ‘Schedule 10(13A)’ in the Income Tax Return form is used to compute the exempt portion of House Rent Allowance (HRA) under section 10(13A) of the Income-tax Act. The schedule requires disclosure of specific salary components and rent-related details to determine the eligible exemption. It captures details such as… Read More »
Additions Must Restrict Capital Gains to the Correct Assessment Year, Avoid Duplication, and Split Joint Ownership Equally Issue Issue I (Year of Chargeability): Whether the Assessing Officer (AO) erred in computing capital gains for the subject year (AY 2016-17) by including a sale deed executed in a different financial year, while failing to incorporate a… Read More »
Additions Are Deleted For Duplicated Rectification Deeds And Restricted To Equal Partitions For Unspecified Co-ownership Shares Issue Issue I (Duplication of Transaction): Whether the Assessing Officer (AO) was justified in adding the value of a rectification deed as a suppressed sale when the original sale transaction had already been recorded, resulting in double taxation. Issue… Read More »
Schedule 24(b) – Interest on Borrowed Capital AY 2026-27 ‘Schedule 24(b)’ is used to report interest paid on borrowed capital for claiming deduction under Section 24(b) of the Income Tax Act. The assessee must provide detailed information about each loan, including the lender’s name (bank/institution/person), loan account number, date of sanction, total sanctioned amount, outstanding balance as… Read More »
Schedule 80C – Deduction under Section 80C AY 2026-27 ‘Schedule 80C’ in the Income Tax Return pertains to deductions available under Section 80C, which includes investments or payments such as life insurance premium, contributions to provident funds, and deferred annuity schemes. The assessee is required to furnish the eligible amount being claimed as deduction along with… Read More »
Ad-Hoc Profit Estimations and Cash Credit Additions Cannot Stand in Absence of Tangible Evidence or Books Rejection Issue Issue I (Method of Accounting): Whether the Assessing Officer (AO) was justified in making an ad-hoc 1 per cent addition to the net profit rate based on a general decline in profit margins, without rejecting the assessee’s… Read More »
Assessments Must Restrict Additions to Relevant Financial Year, Avoid Transaction Duplication, and Apportion Co-ownership Shares Equally Issue Whether the Assessing Officer (AO) was justified in making additions for undisclosed sales and investments when the transactions included a sale from a different financial year, a rectification deed that caused duplication, and the full value of a… Read More »
SLP Dismissed Following Precedent Confirming Depreciation is Allowable to Lessor on Assets Given Under Lease Issue Whether the Special Leave Petition (SLP) filed by the Revenue should be dismissed following an earlier Supreme Court dismissal in the assessee’s own case, which confirmed that the lessor is entitled to depreciation on leased assets despite the Revenue’s… Read More »
Exemption Under Section 11 Cannot Be Denied If Audit Form 10B Was Available Before Return Processing Issue Whether the Central Processing Centre (CPC) was justified in denying the exemption under Section 11 under Section 143(1) solely because the prescribed audit report in Form 10B was filed after the return of income, even though the report… Read More »