Tag Archives: Commissioner of Income-tax

Receipt of sponsorship fees for organizing sports tournaments does not render a trust commercial under Section 12AB.

By | September 22, 2026
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Receipt of sponsorship fees for organizing sports tournaments does not render a trust commercial under Section 12AB. Issue Whether receiving substantial sponsorship receipts and entry fees for conducting professional golf tournaments converts a non-profit sports association’s genuine charitable activities into commercial operations, justifying the rejection of registration renewal under Section 12AB and approval under Section… Read More »

CIT(E) Must Confine Section 12AB Enquiry to Genuineness of Activities and Grant Final Registration for Commenced Objects

By | September 22, 2026
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CIT(E) Must Confine Section 12AB Enquiry to Genuineness of Activities and Grant Final Registration for Commenced Objects Issue Whether the Commissioner of Income Tax (Exemptions) can reject an application for final registration under section 12AB by questioning the mode of donations or examining income assessment, when the trust has already commenced activities towards its charitable… Read More »

Pending Section 12AB Registration Proceedings Do Not Render Statutory Appeal Against Section 143(1) Intimation Denying Exemption Infructuous

By | September 22, 2026
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Pending Section 12AB Registration Proceedings Do Not Render Statutory Appeal Against Section 143(1) Intimation Denying Exemption Infructuous Issue Whether an appeal before the CIT(A) against an intimation under Section 143(1) denying Section 11 exemption becomes infructuous merely because registration proceedings under Section 12AB are pending before the CIT(E), and whether the matter requires restoration to… Read More »

Tax Refund Reopening KVSS Settlement Is Impermissible Due To Bar Under Section 90(3)

By | September 19, 2026
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Tax Refund Reopening KVSS Settlement Is Impermissible Due To Bar Under Section 90(3) Issue Whether a taxpayer can claim a tax refund for an assessment year settled under the Kar Vivad Samadhan Scheme (KVSS) on account of a subsequent recomputation of brought-forward losses from an earlier year, in light of the statutory bar under Section… Read More »

Availing KVSS for interest does not bar tax refunds from carry-forward loss, but settled tax demands cannot be reopened.

By | September 17, 2026
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Availing KVSS for interest does not bar tax refunds from carry-forward loss, but settled tax demands cannot be reopened. Availing KVSS for interest does not bar tax refunds from carry-forward loss, but settled tax demands cannot be reopened. Issue Whether an assessee who settled disputed interest demands under the Kar Vivad Samadhan Scheme (KVSS) retains… Read More »

Filing Return in Form ITR-7 Without Examination of Excluded Income Cannot Justify Rejection of Trust Registration

By | September 15, 2026
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Filing Return in Form ITR-7 Without Examination of Excluded Income Cannot Justify Rejection of Trust Registration Filing Return in Form ITR-7 Without Examination of Excluded Income Cannot Justify Rejection of Trust Registration Issue Whether the mere filing of returns in Form ITR-7 by an assessee-trust conclusively proves that it availed exemption under Sections 11 and… Read More »

Fixed Deposit Investment of Sale Proceeds Qualifies as Capital Asset for Exemption Under Section 11(1A)

By | September 14, 2026
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Fixed Deposit Investment of Sale Proceeds Qualifies as Capital Asset for Exemption Under Section 11(1A) Issue Whether investment of net sale proceeds from a trust property into a bank fixed deposit for two years constitutes acquisition of “another capital asset” under Section 11(1A), entitling the charitable trust to exemption and refund under Section 264 despite… Read More »

Assessee is Entitled to Full Refund of Prepaid Taxes with Statutory Interest in Reassessment Proceedings

By | September 12, 2026
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Assessee is Entitled to Full Refund of Prepaid Taxes with Statutory Interest in Reassessment Proceedings Issue Whether an assessee who files a return of income in response to a notice under Section 148 is entitled to full credit and refund of prepaid taxes (advance tax and TDS) along with statutory interest under Section 244A, despite… Read More »

CIT(E) must evaluate reasonable cause to condone delay in filing Form 10AB for registration.

By | September 11, 2026
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CIT(E) must evaluate reasonable cause to condone delay in filing Form 10AB for registration. Issue Whether the CIT(E) was justified in rejecting an application for regularization of provisional registration (Form 10AB) solely on the ground of limitation without considering the statutory power to condone delay under Section 12A(1)(ac). Facts The assessee, a charitable trust/institution, was… Read More »

Exclusion of High-End KPO and Outsourced Entities from Routine Back-Office Transfer Pricing Benchmarking

By | September 10, 2026
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Exclusion of High-End KPO and Outsourced Entities from Routine Back-Office Transfer Pricing Benchmarking Issue Whether high-end KPO/IT entities, companies with heavy outsourcing models, entities lacking segmental data, and companies with abnormal turnover or demergers can be valid comparables for benchmarking routine back-office support services, and whether adjustments for working capital, interest on receivables, cost allocations,… Read More »