INCOME TAX CASE LAWS 03.11.2026

By | November 4, 2026

INCOME TAX CASE LAWS 03.11.2026

 

Here is the structured analysis of the provided case laws, presented in tabular format:
Section Case Law Title Brief Summary Citation Relevant Act
N/A Income-tax Gazetted Officers Association (ITGOA) v. Union of India Dismissal of SLP against High Court order holding that Private Secretaries seeking pay parity with Central Secretariat counterparts could not establish a sufficient legal basis, as distinction between Secretariat and non-Secretariat establishments was recognized by the 6th CPC and falls under expert body domain. Click here Service Matter – Pay Scales and Pay Parity
Section 9 SPI Technologies India (P.) Ltd. v. Deputy Commissioner of Income-tax Payment of sales commission to US associated enterprise for marketing and support services was not taxable in India under the Act or Article 12 of India-USA DTAA; hence, no TDS was required u/s 195 and disallowance u/s 40(a)(i) was unsustainable. Click Here Income-tax Act, 1961
Section 10(5) SBI v. Income-tax Officer, TDS Assessee-bank could not be treated as an assessee-in-default u/s 201 for non-deduction of TDS on LTC involving a foreign leg because it was prevented by a Madras High Court order. Click Here Income-tax Act, 1961
Section 10AA SPI Technologies India (P.) Ltd. v. Deputy Commissioner of Income-tax Reallocation of common expenses by AO on turnover basis was remanded for re-adjudication after considering Form 56F certificate, bifurcated P&L account, and detailed computation of eligible SEZ profits. Click Here Income-tax Act, 1961
Section 12AB St. Sebastians Church v. Commissioner of Income-tax, Exemptions Rejection of fresh registration renewal by CIT(E) for lack of a formal written trust deed/MOA was unsustainable as Rule 17A(2) permits registration of public trusts established under state law without such documents upon providing statutory records. Click Here Income-tax Act, 1961
Section 14A Tata Steel Ltd v. Assistant Commissioner of Income-tax Disallowance of interest u/r 8D(2)(ii) was unsustainable as own funds exceeded exempt investments; for Rule 8D(2)(iii), only investments actually yielding exempt dividend income are to be considered, subject to suo motu disallowance. Click Here Income-tax Act, 1961
Section 31 Commissioner of Income-tax v. TVS Motor Company Ltd. Expenditure incurred on replacement of dies and moulds during business operations constituted revenue expenditure necessary for business and was allowable u/s 37(1). Click Here Income-tax Act, 1961
Section 32 Commissioner of Income-tax v. TVS Motor Company Ltd. Depreciation on temporary construction (parking shed) was restricted to the normal building rate of 10% instead of 100%, following High Court precedent in the assessee’s own case. Click Here Income-tax Act, 1961
Section 32 Commissioner of Income-tax v. TVS Motor Company Ltd. Higher depreciation at 60% (instead of 15%) was allowable on UPS and Voltage Stabilizers by treating them as part of the computer block, based on High Court precedents. Click Here Income-tax Act, 1961
Section 32 Tata Steel Ltd v. Assistant Commissioner of Income-tax Shelving of a project (Gopalpur) did not convert non-factory buildings, computers, furniture, and equipment acquired for expanding existing business into non-business assets; depreciation was allowable once verified as part of relevant blocks. Click Here Income-tax Act, 1961
Section 35 AEON Formulations (P.) Ltd. v. Income-tax Officer Where a case was selected for Limited Scrutiny for specific items, AO could not disallow in-house R&D claims u/s 35(2AB) without following prescribed procedures to expand the scope of scrutiny. Click Here Income-tax Act, 1961
Section 35 Commissioner of Income-tax v. TVS Motor Company Ltd. Assessee was entitled to a deduction u/s 35(1)(iv) for capital expenditure incurred on scientific research based on binding precedents. Click Here Income-tax Act, 1961
Section 35 Commissioner of Income-tax v. TVS Motor Company Ltd. Claim for weighted deduction for in-house scientific research and development u/s 35(2AB) stood allowed following prior binding decisions in the assessee’s own case. Click Here Income-tax Act, 1961
Section 36(1)(iii) Tata Steel Ltd v. Assistant Commissioner of Income-tax Interest on borrowings used through foreign subsidiaries to acquire another company (Corus Group) for business expansion was allowable as business expenditure due to intact commercial nexus. Click Here Income-tax Act, 1961
Section 37(1) Tata Steel Ltd v. Assistant Commissioner of Income-tax Actual contractual value of imported designs/drawings capitalized as WIP could not be displaced by nominal customs valuation; DRP’s direction to accept recorded contractual cost was upheld. Click Here Income-tax Act, 1961
Section 37(1) Tata Steel Ltd v. Assistant Commissioner of Income-tax Sales commission paid through account-payee channels to agents whose identities were confirmed and recorded in books was allowable, even if purchasers did not explicitly acknowledge agent involvement. Click Here Income-tax Act, 1961
Section 37(1) Tata Steel Ltd v. Assistant Commissioner of Income-tax Administrative expenditure incurred for project expansion (Kalinganagar) that did not create an identifiable capital asset was allowable as revenue expenditure. Click Here Income-tax Act, 1961
Section 37(1) Pr. Commissioner of Income-tax v. Abbott Healthcare (P.) ltd. Non-compete fees paid under a business transfer agreement to prevent transferor from competing for 8 years was allowable as revenue expenditure u/s 37(1). Click Here Income-tax Act, 1961
Section 37(1) Commissioner of Income-tax v. TVS Motor Company Ltd. Disallowance of agency commission paid (including payments to foreign agents) was unsustainable, allowing the full claim as business expenditure. Click Here Income-tax Act, 1961
Section 37(1) Smit Navnitlal Soni v. Income-tax Officer Late fee paid under GST law is not a penalty for an offence/prohibited act under Explanation 1 to Section 37(1), making it an allowable business expenditure. Click Here Income-tax Act, 1961
Section 40(a)(ii) Tata Steel Ltd v. Assistant Commissioner of Income-tax Education cess paid by the assessee was held non-deductible in computing taxable income pursuant to Section 40(a)(ii). Click Here Income-tax Act, 1961
Section 57 Ankit Hemantbhai Desai v. DCIT Interest expenditure paid on funds deployed for earning interest income had a sufficient nexus under Section 57(iii) and was allowable as a deduction from Income from Other Sources. Click Here Income-tax Act, 1961
Section 69 Kashyap Ghanshyam Mehta v. Deputy Commissioner of Income-tax Unexplained investment additions cannot be sustained merely on incorrect Schedule AL figures without verifying actual investment figures and evaluating submitted evidence. Click Here Income-tax Act, 1961
Section 69 Smit Navnitlal Soni v. Income-tax Officer Section 69 is not attracted where proprietor’s capital introduction is satisfactorily explained with bank reconciliations, borrower confirmations, and proof of previously taxed interest income. Click Here Income-tax Act, 1961
Section 69A Sanjaykumar Amrutlal Patel v. Income-tax Officer Notice u/s 148 based solely on a third-party inquiry register and broker statement without direct nexus to the assessee was unjustified and quashed. Click Here Income-tax Act, 1961
Section 69A Tata Steel Ltd v. Assistant Commissioner of Income-tax Protective addition for alleged illegal mining based merely on show-cause notices without physical evidence or Mining Department findings lacked factual basis and was deleted. Click Here Income-tax Act, 1961
Section 80-IA Commissioner of Income-tax v. TVS Motor Company Ltd. Deduction u/s 80-IA on notional profits derived from captive power generation for unit consumption was allowable based on established High Court precedent. Click Here Income-tax Act, 1961
Section 80P Principal Commissioner of Income-tax v. Kutch District Co-Operative Milk Producer Union Ltd. Co-operative milk production/distribution society was eligible to claim deduction u/s 80P(2)(d) on interest earned from investments in Co-operative Societies/Banks. Click Here Income-tax Act, 1961
Section 92C SPI Technologies India (P.) Ltd. v. Deputy Commissioner of Income-tax Corporate guarantee for an AE loan is an international transaction; however, the guarantee commission rate was reduced from 1% to 0.5% for the actual active period of the guarantee. Click Here Income-tax Act, 1961
Section 92C Tata Steel Ltd v. Assistant Commissioner of Income-tax Domestic rupee lending rates cannot be applied to benchmark foreign currency loans (SIBOR/JIBAR based) extended to foreign AEs; TPO’s arbitrary adjustment was deleted. Click Here Income-tax Act, 1961
Section 115JB Tata Steel Ltd v. Assistant Commissioner of Income-tax Section 14A/Rule 8D disallowance cannot be added while computing MAT Book Profits u/s 115JB unless corresponding expenditure is directly identified in accounts. Click Here Income-tax Act, 1961
Section 144 Sunil Verma v. Assessing Officer, Assessment Unit, National Faceless Assessment Centre Best judgment assessment passed without granting requested VC hearing or addressing adjournment/replies violated natural justice principles and was set aside. Click Here Income-tax Act, 1961
Section 147 Joint Commissioner of Income-tax v. Jindal Power Ltd. Reassessment initiated without fresh tangible material, relying only on original assessment records, constituted a mere change of opinion and lacked jurisdiction u/s 147. Click Here Income-tax Act, 1961
Section 149 Tillsoil Farms (P.) Ltd. v. Deputy Commissioner of Income-tax, Central Section 148 notice issued on 27.07.2022 for A.Y. 2013-14 was quashed as time-barred, since the maximum six-year limitation under the pre-amended regime ended on 30.06.2021. Click Here Income-tax Act, 1961
Section 194A Ankit Hemantbhai Desai v. DCIT Assessee whose turnover in the preceding year did not exceed the prescribed threshold under the proviso to Section 194A(1) was not required to deduct TDS on interest payments. Click Here Income-tax Act, 1961
Section 260A Principal Commissioner of Income-tax v. Birla Corporation Ltd. Respondent in a Section 260A appeal has the right to file cross-objections raising additional substantial questions of law, provided they meet the statutory requirements of Section 260A. Click Here Income-tax Act, 1961