Order denying Section 80G approval remanded due to registration status and lack of opportunity. Issue Whether the rejection of Form 10AB for approval under Section 80G(5)(ii) by CIT(E) was sustainable when the trust held a valid Section 12AB registration on the date of the order and was not given an opportunity to respond to the… Read More »
Reassessment proceedings initiated against a minor whose income is clubbed with father’s are untenable. Issue Whether initiation of reassessment proceedings under Section 148 read with Section 148A against a minor assessee, whose income is clubbed with that of the father under Section 64(1A), is legally maintainable. Facts Profile of the Assessee: The petitioner is a… Read More »
Section 54F exemption applies where purchase delay falls within COVID-19 limitation exclusion period. Issue Whether Section 54F, being a beneficial provision, should be liberally interpreted when the delay in purchasing a residential house is due to circumstances beyond the assessee’s control (COVID-19 pandemic). Whether the delay of 7 months and 18 days beyond the statutory… Read More »
Appeal dismissed without merit adjudication as assessee completed liquidation process. Issue Whether tax deducted under a wrong section (Section 194C instead of Section 194J) satisfies the requirements of Section 40(a)(ia) to avoid business disallowance. Whether payments made by a hospital to another hospital for professional services fall under TDS provisions of Section 194J rather than… Read More »
Acquisition cost of toll collection rights by SPV is depreciable as an intangible asset; revision under section 263 quashed. Issue Whether the Principal Commissioner of Income Tax (PCIT) was justified in invoking section 263 on the ground that the Assessing Officer allowed depreciation on intangible assets without making necessary inquiries. Whether CBDT Circular No. 9/2014,… Read More »
Companies exceeding Rs. 200 crore turnover and free returnable test assets are excluded from taxation. Issue Whether an upper turnover filter of Rs. 200 crores is justified in transfer pricing benchmarking using TNMM when the assessee’s turnover is Rs. 21.34 crores. Whether adopting a Cash Profit Level Indicator (Cash PLI, excluding depreciation) is appropriate when… Read More »
Gross movement of third-party funds in Angadia business cannot be added as unexplained cash; only realistic commission is taxable. Issue Whether gross principal amounts recorded in seized notebooks and mobile data of an Angadia operator represent undisclosed income under section 69A, or merely third-party funds transmitted in the ordinary course of business. Whether an ad-hoc… Read More »
Revaluation Loss on Bank Securities and Bad Debts for Non-Rural Advances Are Allowed Issue Revaluation Loss on Securities: Whether Government Securities held by a bank qualify as stock-in-trade and can be valued at cost or market price, whichever is lower, thereby making revaluation losses deductible under Section 28(i). Bad Debts on Non-Rural Advances: Whether bad… Read More »
No Section 23(5), 69, or 68 Additions Allowed Without Completion Proof or Real Cash Credits Issue Section 23(5) (Notional Rent on Vacant Unit): Whether notional rent under Section 23(5) can be added to house property income for a vacant commercial unit held as stock-in-trade when the unit is incomplete, undergoing modification, and not lawfully occupiable… Read More »
TP Adjustments Under Omitted Section 92BA(i) Disallowed, MTM Losses Allowed, and Section 14A Disallowance Restricted Issue Issue I (Transfer Pricing – Specified Domestic Transactions): Whether transfer pricing adjustments made under clause (i) of Section 92BA are liable to be deleted following its omission by the Finance Act, 2017. Issue II (Business Expenditure – Mark-to-Market Loss):… Read More »