IMPORTANT INCOME TAX CASE LAWS 22.05.2025

Section	Case Law Title	Brief Summary	Citation	Relevant Act
5	Deputy Commissioner of Income-tax v. Rare Enterprises	Interest income from NPA company not taxable on accrual basis if no chance of recovery.No TDS Credit can be Taken	Click Here	Income-tax Act, 1961
10(38)	Principal Commissioner of Income-tax 9 v. P L Goenka HUF	Reassessment for Bogus LTCG: AO’s Application of Mind Upheld, Reopening Justified	Click Here	Income-tax Act, 1961
11, 12	Al-Badar Educational & Charitable Trust v. Deputy Commissioner of Income-tax	Exemption denied to trust charging capitation fee for management seats in dental science; not a charitable object.	Click Here	Income-tax Act, 1961
12A, 12AB(4), 11(5)	Shri Mukund Bhavan Trust v. Commissioner of Income-tax (Exemption)	Cancellation of registration not justified; trust allowed to donate to other charitable trusts. Not a non-genuine activity. Rental income incidental. Not for a particular community. No specific year breach pointed out for investment modes. Registration under BPT Act not material.	Click Here	Income-tax Act, 1961
36(1)(iii)	Sujan Luxury Hospitality (P.) Ltd. v. Assistant Commissioner of Income-tax	Disallowance of interest on interest-free loans to associate concerns deleted; commercial expediency.	Click Here	Income-tax Act, 1961
40(a)(ia)	Sujan Luxury Hospitality (P.) Ltd. v. Assistant Commissioner of Income-tax	Expenditure not disallowed under section 40(a)(ia) as TDS deposited before due date of return filing, though for incorrect assessment year.	Click Here	Income-tax Act, 1961
43 (Black Money Act)	Akil Abbas Rassai v. Deputy Director of Income -tax/ADIT (Inv)	Penalty not imposed as assessee not beneficial owner/beneficiary of foreign life insurance policy bought by brother-in-law.	Click Here	Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
43 (Black Money Act)	Akil Abbas Rassai v. Deputy Director of Income -tax/ADIT (Inv)	Penalty for non-disclosure of foreign asset unsustainable if policy lapsed before penalty provisions were introduced.	Click Here	Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
49, 55(2)(b)(iii)	T.R.Balasubramanium v. Asst Commissioner of Income-tax City Circle VII(2)	Fair market value on date of distribution of immovable property received upon liquidation as cost of acquisition upheld.	Click Here	Income-tax Act, 1961
68	Principal Commissioner of Income-tax v. Vishnu Distributors (P.) Ltd.	Conversion of liability into share capital and share premium not treated as unexplained cash credits under section 68 as no cash involved.	Click Here	Income-tax Act, 1961
80P	Prithvi Apartments Co-operative Housing Society Ltd. v. Assistant Commissioner of Income-tax	Reassessment of Cooperative Bank: Invalid if Based on Change of Opinion and No New Material Facts. deduction under section 80P and TDS on interest payment issues already examined in original assessment.	Click Here	Income-tax Act, 1961
199	KJP and Associates v. Deputy Assistant Commissioner of Income-tax	AO directed to process TDS credit based on company’s provided details of cheques and bank deposits, as TRACES data unavailable and facts not controverted.	Click Here	Income-tax Act, 1961
199	Deputy Commissioner of Income-tax v. Rare Enterprises	Assessee cannot take credit of TDS if corresponding income has not been shown.	Click Here	Income-tax Act, 1961
201	Conner Institute of Health Care and Research Center (P.) Ltd. v. Deputy Commissioner of Income-tax	Consequence of Failure to Deduct or Pay TDS: Notice Under Section 201 Invalid if Lower Deduction Certificate Obtained	Click Here	Income-tax Act, 1961
276B	Fortune Infovision (P.) Ltd. v. Commissioner of Income-tax	Prosecution sanction under section 276B not granted if TDS and interest voluntarily deposited before SCN issuance.	Click Here	Income-tax Act, 1961