ITAT upholds CIT(A)’s deletions of depreciation, excess stock, and GP additions. Issue Whether the Ld. CIT(A) was justified in deleting the disallowance of depreciation and additional depreciation amounting to Rs. 12,15,02,719/- when the AO alleged failure to prove assets were “put to use.” Whether the CIT(A) was correct in deleting the addition of Rs. 2,47,75,785/-… Read More »
IMPORTANT INCOME TAX CASE LAWS 14.11.2025 Section Case Law Title Brief Summary Citation Relevant Act 35 (Notification) Income Tax Notification No. 04/2025 CBDT approved Hari Shankar Singhania Elastomer & Tyre Research Institute for ‘Scientific Research’ purposes under section 35(1)(iia) for AYs 2022-23 to 2026-27. NOTIFICATION NO. 04/2025, DATED 11-11-2025 Income-tax Act, 1961 2(9) Lal Mohammad… Read More »
GST Order Quashed; Notice Uploaded to “Hidden” Portal Tab is Not Effective Service. Issue Whether a GST Show Cause Notice (SCN) is considered “effectively served” on a taxpayer if it is uploaded only to the “View Additional Notice and Orders” tab on the GST portal, and whether an ex parte order passed as a result… Read More »
HC Orders Reimbursement of Differential GST on Transitional Works Contracts; Mandates Segregation. Issue What is the correct method for calculating and reimbursing the differential tax liability on works contracts that were ongoing during the transition from the pre-GST (KVAT) regime to the GST regime, especially when post-GST agreements continued to reference pre-GST tax schedules? Facts… Read More »
Penalty for Delayed ITC Reversal Unjustified as Credit Was Eventually Reversed and No Advantage Gained. Issue Whether a penalty under Section 122 of the CGST Act is sustainable for a delay in reversing proportionate Input Tax Credit (ITC) on obsolete stock, especially when the reversal was eventually made and the assessee gained no financial advantage… Read More »
HC Declines Writ on Classification Dispute, Relegates Assessee to Statutory Appeal. Issue Whether a writ petition under Article 226 of the Constitution is maintainable to challenge a GST assessment order that involves a disputed classification of goods, or whether the assessee must first exhaust the efficacious statutory appellate remedy available under Section 107 of the… Read More »
Ex Parte GST Order Quashed as Accountant’s Failure to Inform Denied Hearing. Issue Whether ex parte (one-sided) GST adjudication orders are legally valid if the taxpayer’s failure to file a reply or attend a hearing was due to their accountant’s error in not informing them of the Show Cause Notices (SCNs)? Facts The GST department… Read More »
GST Demand Quashed as Final Order Covered Different Periods Than the SCN. Issue Whether a final adjudication order is legally valid if it determines a tax liability for a period that is different from the tax period specified in the original Show Cause Notice (SCN). Facts The GST department issued a Show Cause Notice (SCN)… Read More »
GST Audit Must Be Concluded Within Three Months of Final Submission; HC Quashes Belated SCN. Issue Whether a GST audit conducted under Section 65 of the CGST Act is valid if it is not concluded within the statutory time limit of three months from the date of the assessee’s final submission, and whether a Show… Read More »
Consolidated, Generic Approval for Search Assessments is Invalid and Voids the Order. Issue Whether a single, consolidated approval letter from a competent authority, which gives a generic direction to pass assessment orders for multiple assessees (in a search case) without any reference to the specific facts or seized material, constitutes a valid prior approval under… Read More »