INCOME TAX CASE LAW 11.08.2026 Relevant Act Section Case Law Title / Matter Citation Brief Summary Tribunals Reforms Act Legislative Update Tribunals Reforms Bill, 2026 Click Here The Lok Sabha passed the Tribunals Reforms Bill, 2026, repealing the 2021 Act to set up an independent National Tribunals Commission overseeing appointments and service conditions across tribunals.… Read More »
Penalty Under Section 270A Quashed as AO Failed to Specify Charge and Shifted Between Misreporting and Under-Reporting Issue Whether a penalty order levied under Section 270A of the Income-tax Act, 1961 is legally sustainable when the Assessing Officer fails to specify the exact charge under Section 270A(2) or Section 270A(9) in the penalty notice and… Read More »
Tribunal Order Deleting Addition Set Aside as Finding on Delayed Retraction and Denial of Cross-Examination Was Perverse Issue Whether the Tribunal was justified in deleting an assessment addition on grounds of statement retraction and denial of cross-examination when the retraction occurred two years later as an afterthought and no request for cross-examination was ever made… Read More »
Assessments Initiated Under Section 147 Based on Material Seized During Third-Party Search Are Void for Lack of Jurisdiction Issue Whether an assessment reopened under Section 147 read with Section 148 on the basis of documents seized during a third-party search under Section 132 is valid in law, or whether the Assessing Officer is mandatorily required… Read More »
Co-operative Society Is Eligible for Section 80P Deduction Claimed in Section 148 Return and on Bank Interest From Idle Funds Co-operative Society Is Eligible for Section 80P Deduction Claimed in Section 148 Return and on Bank Interest From Idle Funds Issue Whether a deduction under Section 80P can be claimed in a return filed in… Read More »
Denial of Opportunity to Cross-Examine Official Authors and Examine Buyers’ Witnesses Violates Principles of Natural Justice Issue Whether the rejection of an assessee’s request to cross-examine official reporting officers and the refusal to record statements of buyer witnesses produced by the assessee during reassessment proceedings under Section 69A read with Section 148 constitutes a violation… Read More »
Notice Under Section 143(2) Is Not Mandatory in Reassessment and Scope Extends Beyond Recorded Reasons Issue Whether the issuance of a notice under Section 143(2) is mandatory in reassessment proceedings under Section 147 when the taxpayer participates in the proceedings and statutory timeline constraints render issuance impossible. Whether the Assessing Officer during reassessment proceedings under… Read More »
Expenditure Incurred for Trust Out of Its Collected Funds Cannot Be Added as Unexplained Investment Under Section 69 Expenditure Incurred for Trust Out of Its Collected Funds Cannot Be Added as Unexplained Investment Under Section 69 Issue Whether Tally entries recording student fee collections handled and spent by trustees on behalf of a trust can… Read More »
Addition Made Solely on Survey Statement Without Corroborative Material Under Section 68 Is Unsustainable Issue Whether an addition made under Section 68 of the Income-tax Act, 1961 solely on the basis of a statement recorded during a survey under Section 133A, without any independent corroborative evidence, is legally sustainable. Facts Business & Survey: The assessee-company,… Read More »
Unexplained Additions Under Section 68 Are Unsustainable When Assessee Discharges Initial Burden of Proof Through Cogent Evidence Unexplained Additions Under Section 68 Are Unsustainable When Assessee Discharges Initial Burden of Proof Through Cogent Evidence Issue Whether the additions made under Section 68 of the Income-tax Act, 1961 were legally sustainable when the assessee furnished documentary… Read More »