Income from Joint Development Agreement Treated as Stock-In-Trade Remanded for Factual Re-Adjudication Issue Whether the revenue authorities were justified in taxing Rs. 14.33 crores as accrued business income based on a JDA and a Form 26AS entry, and whether capital gains provisions under Section 45(5A) apply when the underlying immovable property is admittedly held as… Read More »
Rulings favor assessee on transfer pricing filters, unearned revenue additions, and net foreign exchange losses. Issue Whether a comparable company can be excluded under the “persistent loss-making” filter if it has reported a profit in one of the preceding three financial years. Whether the Dispute Resolution Panel (DRP) should admit additional evidence to include a… Read More »
Reopening Assessment Beyond Four Years Without New Tangible Material Merely Based on Change of Opinion Invalid Issue Whether the Assessing Officer is justified in reopening an assessment under Section 147/148 after the expiry of four years from the end of the relevant assessment year to deny a Long-Term Capital Gains exemption under Section 10(38), when… Read More »
Surrender of Allotment Right in Immovable Property Constitutes Transfer of Capital Asset Generating Capital Gains Issue Whether the right to obtain conveyance of an immovable property under an allotment letter constitutes a “capital asset” under Section 2(14) of the Income-tax Act, and whether compensation received upon its surrender constitutes a “transfer” under Section 2(47), making… Read More »
INCOME TAX CASE LAWS 09.07.2026 INCOME TAX CASE LAWS 09.07.2026 Section Case Law Title / Notification Brief Summary Citation Relevant Act Section 10(23EE) & Section 11 / Sch III Notification: S.O. 3683(E) & S.O. 3684(E), Dtd 07-07-2026 CBDT notifies the Core Settlement Guarantee Fund set up by National Commodity Clearing Limited (NCCL) for tax exemption… Read More »
Tax demands cannot legally subsist or be adjusted without serving a statutory Section 143(1) intimation. Issue Whether the Income Tax Department can legally raise, recover, or adjust an outstanding tax demand against a subsequent year’s refund in the absolute absence of proof that a statutory intimation under Section 143(1) was ever issued and served upon… Read More »
Transfer pricing adjustments, historical royalty, straight-line lease rents, and block depreciation are allowed; warranty provision is remanded. Issue Whether the revenue authorities are legally justified in: Determinining the Arm’s Length Price (ALP) of intra-group technical services and royalty as “nil” despite documented commercial benefits. Capitalizing recurring royalty expenses that were treated as revenue expenditures in… Read More »
A co-operative credit society is entitled to a deduction on interest earned from depositing its operational surplus funds in banks. Issue Whether a co-operative credit society can claim a statutory tax deduction under Section 80P(2)(a) on interest income earned from parking its operational surplus funds in bank deposits, or if such interest is disallowable because… Read More »
Section 80IB housing deductions cannot be denied based on subsequent-year events and untested statements. Issue Whether a housing project developer can be denied statutory deductions under Section 80IB(10) for prior assessment years based on an alleged single-allottee violation that took place in a subsequent financial year, especially when the allegation relies on an untested statement… Read More »
Reassessment notice is quashed as changing depreciation rates on fully exempt income causes no tax escapement. Reassessment notice is quashed as changing depreciation rates on fully exempt income causes no tax escapement. Issue Whether the tax department can validly initiate reassessment proceedings under Section 147/148 to adjust depreciation rates when the underlying business profit is… Read More »