Automated CPC Technicality Cannot Defeat Legitimate Section 10AA Exemption Claimed with Belated Form 56F Issue Whether an automated processing centre (CPC) can deny a legitimate deduction under Section 10AA on procedural grounds when the required audit report (Form 56F) was obtained prior to filing the return but uploaded shortly thereafter, and whether the inability of… Read More »
Cancellation Agreement and Fresh Additional Evidence Warrant Re-evaluation of Section 54F Capital Gain Exemption Issue Whether an order denying exemption under section 54F based on a development agreement should be set aside and remanded to the Assessing Officer when crucial additional evidence—including a cancellation agreement—was admitted under Rule 29 of the ITAT Rules. Facts Return… Read More »
HIGHLIGHTS OF CABINET MEETING -FRIDAY 17 JULY 2026 1.Cabinet has agreed to the promulgation of the Double Taxation Avoidance Agreement (India) (Amendment) Regulations 2026, which will provide for the coming into operation of the Protocol, signed on 07 March 2024, amending the Double Taxation Avoidance Agreement(DTAA)between Mauritius and India, to provide, inter alia, for the… Read More »
INCOME TAX CASE LAW 23.07.2026 INCOME TAX CASE LAW 23.07.2026 Section Case Law Title / Ref. Brief Summary Citation Relevant Act Rule 157 Notification No. 94/2026 CBDT widened the definition of ‘specified fund’ under Rule 157 to include Cat-I and Cat-II AIFs regulated by SEBI/IFSCA in an IFSC, alongside Schedule VI funds. Click Here Income-tax… Read More »
Procedural Defect In Section 143(2) Notice Format Is Cured Under Section 292B Validating Assessment Issue Curing Format Non-Conformity Under Section 292B: Whether non-conformity of a Section 143(2) notice with the format prescribed in CBDT Instruction dated 23-06-2017 (such as omitting the classification of scrutiny) invalidates the notice and vitiates the assessment, or whether it constitutes… Read More »
Section 292A Expressly Bars Granting Probation To Adult Offenders Convicted Under Income Tax Act Issue Bar on Probation under Income Tax Act: Whether a trial court can release an adult offender convicted under Section 277 on probation under the Probation of Offenders Act, 1958 or Section 360 of Cr.P.C., given the express statutory bar in… Read More »
Section 277 Conviction Upheld As Taxpayer Failed To Rebut Presumption For Submitting Forged Documents Issue Validity of Conviction for False Statement in Verification under Section 277: Whether the conviction and sentence under Section 277 (read with Section 278E) are sustainable when an employee-assessee claims a fraudulent tax refund using a forged TDS certificate and a… Read More »
Section 270A Penalty Cannot Survive Quashed Quantum Assessments Or Additions Sustained On Estimated Basis Issue Survival of Section 270A Penalty upon Quashing of Quantum Assessment: Whether a penalty levied under Section 270A for under-reporting of income can be sustained when the underlying quantum assessment order itself is quashed on legal grounds by the Tribunal. Levy… Read More »
Inadvertent Claim Of Full Pre-Incorporation Expenses Disclosed Bona Fide Does Not Attract Section 270A Penalty Issue Levy of Penalty under Section 270A for Inadvertent Expense Claim: Whether penalty under Section 270A for under-reporting of income can be levied when an assessee inadvertently claims 100% of pre-incorporation expenses instead of 1/5th under Section 35D, but offers… Read More »
CIT(A) Cannot Set Aside Section 147 Reassessment Order as Power Is Restricted to Section 144 CIT(A) Cannot Set Aside Section 147 Reassessment Order as Power Is Restricted to Section 144 Issue CIT(A) Jurisdiction to Remand Section 147/144B Assessments: Whether the Commissioner (Appeals) has the jurisdiction under Section 251(1)(a) to set aside an assessment order framed… Read More »