Capital gains do not accrue under JDA until encumbrances are cleared and possession is handed over. Issue Whether entering into a registered Joint Development Agreement (JDA) constitutes a “transfer” under Section 2(47) read with Section 45 in Assessment Year 2016-17, when the agreement explicitly conditions the transfer of possession on the removal of encumbrances which… Read More »
AO must allow consequential Section 35(2AB) relief upon DSIR revision and independently examine Section 35(1)(i) claims. AO must allow consequential Section 35(2AB) relief upon DSIR revision and independently examine Section 35(1)(i) claims. Issue Consequential Relief on DSIR Revision: Whether an assessee is entitled to consequential weighted deduction under Section 35(2AB) if DSIR revises or enhances… Read More »
DSIR certification rules shift weighted deduction binding limits post-01.07.2016, while balance additional depreciation remains claimable in succeeding years. Issue R&D Weighted Deduction (Pre & Post-01.07.2016): Whether DSIR quantification in Form 3CL is binding for computing weighted deduction under Section 35(2AB) for AY 2016-17 versus AYs 2017-18 to 2018-19 following the amendment to Rule 6(7A). Additional… Read More »
Section 14A disallowance cannot be sustained without changed facts when Revenue accepted earlier years’ orders. Issue Whether the disallowance under Section 14A read with Rule 8D by attributing salary expenses is sustainable when identical issues were decided in favor of the assessee in preceding assessment years and accepted by the Revenue without further appeal. Facts… Read More »
Provisions of Section 13(1)(b) cannot be invoked to deny trust registration under Section 12A. Issue Whether the provisions of Section 13(1)(b) can be invoked at the stage of granting registration under Section 12A/12AB to reject an application, or if they apply solely at the stage of assessment when examining the grant of exemption. Facts Application… Read More »
Rental income applied to charitable objects and reasonable CEO remuneration do not forfeit trust exemption. Issue Rental Income & Commercial Activity: Whether a charitable trust forfeits exemption under Sections 11 and 12 when it earns substantial rental income by leasing trust property, where such leasing is empowered by the trust deed and the receipts are… Read More »
Development agreement without transfer of possession does not trigger capital gains tax. Issue Whether entering into a Development Agreement without handing over possession under Section 53A of the Transfer of Property Act or evidencing a transfer under Section 2(47)(vi) constitutes a “transfer” under Section 2(47) read with Section 45, attracting long-term capital gains tax in… Read More »
Executing a JDA granting construction rights alone does not constitute transfer or trigger capital gains tax. Issue Whether the execution of a registered Joint Development Agreement (JDA) granting construction and approval rights constitutes a “transfer” under Section 2(47)(v) of the Income-tax Act, 1961 read with Section 53A of the Transfer of Property Act, 1882, making… Read More »
Assessing Officer’s unverified classification of agricultural land as a non-capital asset warrants a de novo assessment. Issue Whether the assessment treating the sale proceeds of agricultural land as long-term capital gains based solely on an Inspector’s field enquiry—without placing official Revenue reports on record—warrants a fresh, de novo examination by the Assessing Officer when contradictory… Read More »
Crypto-Asset Reporting Obligations Under Section 509 of The Income Tax, Act 2025 Crypto-Asset Reporting Obligations Under Section 509 of The Income Tax, Act 2025 Released on : 24th July 2026 Disclaimer This Guidance Note intends to provide guidance to Reporting Crypto-Asset Service Providers (RCASPs) for compliance with the reporting obligations under section 509 of the… Read More »