Employee cannot be held liable or denied credit for TDS deducted by employer but not deposited. Issue Whether an employee-assessee can be denied TDS credit and subjected to direct tax demands when the employer deducts tax at source from salary but fails to deposit it with the Central Government. Facts The assessee-employee was employed with… Read More »
Charge over Seized Cash Extinguishes Once Searched Person’s Assessment Concludes, Entitling Assessee to Refund Credit Charge over Seized Cash Extinguishes Once Searched Person’s Assessment Concludes, Entitling Assessee to Refund Credit Issue Whether, after the assessment of the searched person was completed with no demand, the Department’s charge over seized cash under Section 132B stood extinguished,… Read More »
Credit for TDS deducted by an employer cannot be denied to an employee merely because the employer failed to deposit it. Issue Whether an employee can be denied credit for Tax Deducted at Source (TDS) under Section 199 and subjected to a tax demand under Section 143(1) when the employer deducted the tax from the… Read More »
Assessee-trust entitled to set-off as Section 68 addition of 10-year-old land advance is unsustainable. Assessee-trust entitled to set-off as Section 68 addition of 10-year-old land advance is unsustainable. Issue Whether an advance received towards the sale of land in FY 2006-07 can be taxed as unexplained cash credit under Section 68 in AY 2016-17 on… Read More »
Judicial review of Look Out Circular is limited unless the decision relies on speculative material. Issue Whether a Look Out Circular (LOC) issued by the Income-tax Department against a director based on alleged undisclosed foreign assets and financial irregularities can be quashed through judicial review under the 2017 Office Memorandum. Facts The assessee, a director… Read More »
Directors Relegated to Section 107 Statutory Appeal as Penalty Issue Under Section 122(1) Is Sub-Judice Before Supreme Court Issue Whether company directors challenging the levy of penalty under Section 122(1) on the ground that they are not “taxable persons” can maintain a writ petition when an alternate statutory appellate remedy under Section 107 exists and… Read More »
Refunds Arising From Appellate Orders Cannot Be Withheld Without a Section 245 Adjustment Order Issue Whether the Revenue can withhold statutory refunds arising from Tribunal orders by compelling the filing of Form 26B under Rule 31A or by citing outstanding demands against sister TANs/PAN without passing a formal set-off order under Section 245. Facts Assessee… Read More »
Section 69 and Section 115BBE cannot apply without findings of undisclosed assets or investments. Issue Whether the higher tax rate under Section 115BBE read with Section 69 can be invoked without establishing the unearthing or existence of any undisclosed or unaccounted investment. Facts Assessment Year: AY 2018-19. Revision Order: The Principal Commissioner of Income Tax… Read More »
Post-Resolution Plan Tax and Statutory Demands Pertaining to Prior Periods Stand Extinguished Under IBC Clean Slate Rule Issue Whether statutory and tax demand notices issued by authorities for claims pertaining to periods prior to the approval of an IBC Resolution Plan are legally enforceable against the Successful Resolution Applicant and Corporate Debtor under the “Clean… Read More »
Uploading SCN solely on the GST portal without acknowledgement does not constitute valid service. Issue Whether uploading a Show Cause Notice (SCN) and an adjudication order solely on the GST portal, without acknowledgement of receipt or filing of a reply by the assessee, constitutes sufficient service under Section 169 of the CGST/DGST Act. Facts An… Read More »