Important Income Tax Case Laws 24.04.2026

Relevant Act	Section / Authority	Case Law Title	Citation	Brief Summary
Income-tax Act, 1961	Sec 2(14)	Pallava Resorts (P.) Ltd. v. DCIT	Click Here	Agricultural Land: Revenue records (Patta/Adangal) prevail over guideline values. If land is classified as agricultural and used for farming, it is excluded from “capital assets.”
Income-tax Act, 1961	Sec 12A / 119(2)	Shri Jain Dehrasar Upasraya ane Sadharan v. CIT	Click Here	Condonation of Delay: For Form 10B verification, the Commissioner must only evaluate reasons for delay, not exceed scope by demanding unrelated certificates.
Income-tax Act, 1961	Sec 28(i) / 148	Dignesh Pramukhlal Patel v. ACIT	Click Here	Change of Opinion: Reassessment to treat capital gains as business income solely due to a change in directorship is invalid if the original claim was already accepted in scrutiny.
Income-tax Act, 1961	Sec 35DDA	Ambalal Sarabhai Enterprises Ltd. v. DCIT	Click Here	VRS Amortization: Gratuity and leave encashment are post-retirement obligations arising from past service; they are fully deductible and should not be amortized with VRS costs.
Income-tax Act, 1961	Sec 45	Ambalal Sarabhai Enterprises Ltd. v. DCIT	Click Here	Capital Receipt: Consideration for assigning marketing rights or self-generated trademarks/goodwill is a capital receipt and not taxable as revenue income.
Income-tax Act, 1961	Sec 69C	PCIT v. Sunil Devkishan Panwar	Click Here	Bogus Purchases: Deletion of addition is justified if the Revenue fails to supply material from the Investigation Wing or allow cross-examination to the assessee.
Income-tax Act, 1961	Sec 80G	Anjuman-E-Himayath-E-Islam v. CIT (Exemption)	Click Here	Charitable Status: 80G approval cannot be denied for incidental religious expenditure (under 5%) if the dominant objects of the trust are educational.
Income-tax Act, 1961	Sec 92CA	PCIT v. Boeing India (P.) Ltd.	Click Here	Amalgamation: An assessment order passed in the name of a non-existent amalgamating company (post-merger) is void ab initio and not a curable irregularity.
Income-tax Act, 1961	Sec 143	Vyavasaya Seva Sahakari Sangh Ltd. v. AU	Click Here	Natural Justice: Proceedings are quashed if notices are sent to an incorrect email address, as it deprives the assessee of a fair opportunity of hearing.
Income-tax Act, 1961	Sec 148 / 148A	G M Polyplast Ltd. v. ACIT	Click Here	Constitutional Validity: Notice issued to the Attorney General as the petition challenges the validity of certain provisos to Sec 148/148A as arbitrary.

For More :- Read Important Income Tax Case Laws 23.04.2026