IMPORTANT INCOME TAX CASE LAWS 04.02.2026

Relevant Act	Section	Case Law Title	Brief Summary	Citation
Income-tax Act, 1961	Section 12AB (Condonation)	Sunder Nagar Satsang Sabha v. CIT(E)	[Finance Act 2024 Relief] Rejection of Form 10AB regularization solely due to a 16-month delay is unjustified. The Finance Act No. 2 of 2024 now empowers the Commissioner to condone such delays for reasonable cause. Remanded for merit-based decision.	Click Here
Income-tax Act, 1961	Section 14A	ACIT v. Lodha Developers Ltd.	[Presumption of Own Funds] If a taxpayer’s interest-free funds exceed the value of investments, it is presumed that investments were made from own funds. No interest disallowance u/r 8D(2)(ii) is warranted.	Click Here
Income-tax Act, 1961	Section 14A / 115JB	Veedol Corporation Ltd. v. DCIT	[MAT Shield] Disallowances computed under Section 14A (Rule 8D) cannot be added back to “Book Profit” for the purpose of Minimum Alternate Tax (MAT) under Section 115JB.	Click Here
Income-tax Act, 1961	Section 37(1)	ACIT v. Lodha Developers Ltd.	[Software: Capital vs Revenue] Expenditure on perpetual software licenses and enterprise-level enhancements is Capital Expenditure as it forms part of the profit-making apparatus. It is not deductible as a revenue expense.	Click Here
Income-tax Act, 1961	Section 54B	Adel Saini v. Income-tax Officer	[Ownership Strictness] Exemption for reinvestment in agricultural land is only available if the new land is purchased in the name of the assessee. Purchase in the name of the spouse (wife) leads to denial of exemption.	Click Here
Income-tax Act, 1961	Section 80JJAA	Charchit Garg v. Income-tax Officer	[Procedural Delay Condoned] Deduction for employment of new workmen cannot be denied merely because Form 10DA was filed after the due date, provided it was filed before the processing of the return u/s 143(1).	Click Here
Income-tax Act, 1961	Section 144B	Sanjiv Manoharlal Sethi v. DCIT	[Video Conference Violation] If an AO passes a final faceless assessment order before the scheduled video conference hearing, it violates Section 144B(6) and principles of natural justice. Order quashed.	Click Here

For More :- Read IMPORTANT INCOME TAX CASE LAWS 03.02.2026