INCOME TAX CASE LAW 25.06.2026 Relevant Act Section Case Law Title Citation Brief Summary Income-tax Act, 1961 Sec. 11 Gahoi Vaishya Kalyan Samiti v. Income-tax Officer (Exemption) 2026 Click Here Where a trust utilized deemed application income to buy immovable property, a mere clerical omission to disclose this in Schedule-I of ITR-7 (which meant for… Read More »
Conscious and Intentional Claim of False Tax Exemption to Evade Tax Rightly Attracts Concealment Penalty Issue Whether a penalty for concealment of income under Section 271(1)(c) is legally sustainable when an assessee pays advance tax on capital gains but subsequently claims a false exemption under Section 10 in her return of income, asserting the claim… Read More »
Bona Fide Claims Based on Prevailing Judicial Precedents Cannot Attract Penalty Due to Retrospective Legislative Amendments Issue Whether a penalty for under-reporting or misreporting of income under Section 270A can be sustained when an assessee’s bona fide claim, fully supported by prevailing judicial precedents at the time of filing, subsequently becomes inadmissible due to a… Read More »
Writ Petition Filed After Five Years Is Non-Maintainable Due To Inordinate Laches And Unavailed Alternative Statutory Remedies Issue Whether a writ petition filed under Article 226 of the Constitution challenging an appellate order is maintainable after a delay of more than five years, when the petitioner has completely bypassed an efficacious alternative statutory remedy available… Read More »
Refusal to Condone Delay Unjustified When Assessee Was Incarcerated and Raised Substantial Legal Challenges Issue Whether the Commissioner (Appeals) was legally justified in dismissing an appeal in limine as time-barred by refusing to condone a delay of 227 days, when the assessee was incarcerated in jail, unable to obtain a digital signature for e-filing, and… Read More »
Notice Under Section 148 Issued After Limitation Expiry Is Valid If Delay Occurred Due To Assessee Adjournment Requests Issue Whether a reassessment notice issued under Section 148 after the normal limitation date is time-barred, or if the time consumed by granting extensions requested by the assessee during pre-notice proceedings can be excluded under the fifth… Read More »
Order and Notice Under Section 148A Passed Ignoring Recorded Adjournment Request Are Legally Void Order and Notice Under Section 148A Passed Ignoring Recorded Adjournment Request Are Legally Void Issue Whether an order passed under Section 148A(d) and a consequential notice issued under Section 148 of the Income-tax Act, 1961, are legally sustainable when the Assessing… Read More »
Section 80-IB(10) Housing Deduction Cannot Be Restricted By Arbitrary and Erroneous Land Cost Substitution Section 80-IB(10) Housing Deduction Cannot Be Restricted By Arbitrary and Erroneous Land Cost Substitution Issue Whether the Commissioner (Appeals) was legally justified in rejecting a rectification application under Section 154 when the original order restricted a housing project’s deduction under Section… Read More »
Reopening Assessment Based Solely on Illegible Third-Party Loose Papers Lacking Nexus is Wholly Unsustainable Issue Whether the revenue is legally justified in reopening an assessment under Section 147 and issuing a notice under Section 148 based entirely on an illegible loose paper seized from an unrelated third party, where the satisfaction note fails to establish… Read More »
Unsecured Loan Additions Deleted upon Proving Source and Transfer Pricing Issues Remanded for Fresh Verification Unsecured Loan Additions Deleted upon Proving Source and Transfer Pricing Issues Remanded for Fresh Verification Issue Whether an addition under Section 68 can be sustained when the assessee provides comprehensive proof of the lender’s identity, creditworthiness, and source of funds.… Read More »