Condonation of Delay in Filing Form 10B/10 Allowed Beyond 3 Years Limit Due to COVID-19 and Pending Appeal Proceedings ISSUE Whether the Commissioner (Exemptions) was justified in rejecting the application for condonation of delay in filing Form 10B (Audit Report) and Form 10 (Accumulation of Income) solely on the ground that it was filed beyond… Read More »
Monetary Reimbursement of Realized Forex Loss by AE Not Taxable as Perquisite under Section 28(iv) ISSUE Whether a cash reimbursement received by the assessee from its Associated Enterprise (AE) to compensate for a realized foreign exchange loss on capital repayment is chargeable to tax as a “benefit or perquisite” under Section 28(iv), especially when the… Read More »
Monetary Reimbursement of Realized Forex Loss by AE Not Taxable as Perquisite under Section 28(iv) ISSUE Whether a cash reimbursement received by the assessee from its Associated Enterprise (AE) to compensate for a realized foreign exchange loss on capital repayment is chargeable to tax as a “benefit or perquisite” under Section 28(iv), especially when the… Read More »
IMPORTANT INCOME TAX CASE LAWS 30.12.2025 Relevant Act Section Case Law Title Brief Summary Citation Income-tax Act, 1961 Section 10AA Cummins India Ltd. v. ACIT Denial of SEZ deduction was unjustified where the return was filed with a marginal delay due to portal glitches, but the audit report was filed on time. Click Here Income-tax… Read More »
Reassessment Proceedings Upheld: Writ Petition Challenging Section 148 Notice Not Maintainable After Participation and Speaking Order Rejection ISSUE Whether a Writ Petition under Article 226 challenging a notice under Section 148 is maintainable when the assessee has already participated in the proceedings (filed return and objections) and the Assessing Officer (AO) has disposed of the… Read More »
Transfer Pricing: TPO Cannot Segregate Royalty for Separate Benchmarking if TNMM for Manufacturing Activity was Accepted by HC in Earlier Years ISSUE Whether the Transfer Pricing Officer (TPO) is justified in segregating the payment of Royalty from the manufacturing segment and benchmarking it separately, when the assessee had bundled it under TNMM (Transactional Net… Read More »
Housing Loan Interest Deduction Denied: Bank Statement Insufficient Without Specific Interest Certificate and Sanction Letter ISSUE Whether the Assessing Officer (AO) was justified in disallowing the deduction of interest on borrowed capital under Section 24(b) when the assessee failed to produce the specific loan sanction letter or interest certificate from the bank proving the loan… Read More »
Provision for Interest on State Government Loan Held Allowable u/s 37(1); Liability is ‘Ascertained’ Under Mercantile System Even if Repayment Has Not Commenced ISSUE Whether interest provided in the books of account regarding a loan from the State Government constitutes an “ascertained liability” allowable under Section 37(1), even if the assessee has not commenced repayment… Read More »
Transfer Pricing: Re-characterization of Software Developer as ‘Contract R&D Provider’ Rejected; BAPA and Past TPO Orders Confirm ‘Software Development’ Status ISSUE Whether the Transfer Pricing Officer (TPO) was justified in re-characterizing the assessee as a “Software Research/R&D Service Provider” (instead of a “Software Development Service Provider”) based on US tax documents, despite a signed Bilateral… Read More »
Reassessment Invalid: Notice u/s 148 for AY 2015-16 Issued After April 2021 Held Time-Barred ISSUE Whether a notice under Section 148 for Assessment Year 2015-16, issued after 01-04-2021, is valid in law, considering the limitation period prescribed under the Act. FACTS The Default: The assessee, an individual, did not file his original return for AY… Read More »