Tag Archives: HIGH COURT OF GUJARAT

Absence of Section 143(2) Notice Renders Reassessment Non-Est, Precluding Revisionary Jurisdiction Under Section 263

By | September 5, 2026
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Absence of Section 143(2) Notice Renders Reassessment Non-Est, Precluding Revisionary Jurisdiction Under Section 263 Issue Whether a reassessment order passed under Section 147 read with Sections 144 and 144B without issuing a mandatory notice under Section 143(2) is legally valid, and whether the Principal Commissioner of Income Tax (PCIT) can exercise revisionary power under Section… Read More »

Statutory Body National Dairy Development Board Exempt From Section 115JB MAT Provisions and Section 14A Book Profit Adjustments

By | September 5, 2026
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Statutory Body National Dairy Development Board Exempt From Section 115JB MAT Provisions and Section 14A Book Profit Adjustments Issue Whether Section 115JB (Minimum Alternate Tax) and consequential adjustments under Section 14A to book profits apply to a statutory body established under a specific Act of Parliament. Facts Assessee Status: The assessee is the National Dairy… Read More »

Deletion of Section 271(1)(c) Penalty Upheld as Interest Disallowance Under Section 36(1)(iii) Was Debatable

By | September 4, 2026
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Deletion of Section 271(1)(c) Penalty Upheld as Interest Disallowance Under Section 36(1)(iii) Was Debatable Issue Whether the Income Tax Appellate Tribunal (ITAT) was justified in deleting the penalty levied under Section 271(1)(c) of the Income-tax Act, 1961, which was imposed following the disallowance of interest on Secured Premium Notes under Section 36(1)(iii), given that the… Read More »

Reopening notice under Section 148 issued against a deceased assessee is void ab initio.

By | September 4, 2026
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Reopening notice under Section 148 issued against a deceased assessee is void ab initio. Issue Whether a reassessment notice issued under Section 148 in the name of a deceased assessee is legally valid and whether Section 159 can cure the jurisdictional defect to hold the legal representative responsible. Facts For Assessment Year 2012-13, the Assessing… Read More »

Reassessment Beyond Four Years Without Addition On Recorded Reasons Is Invalid And Lacks Jurisdiction

By | September 2, 2026
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Reassessment Beyond Four Years Without Addition On Recorded Reasons Is Invalid And Lacks Jurisdiction Issue Whether reassessment proceedings initiated beyond four years from the end of the relevant assessment year are valid when the Assessing Officer makes no additions in respect of the reasons recorded for reopening, particularly in light of Explanation 3 to Section… Read More »

Project Expenses Incurred Wholly for Business Are Deductible Under Section 37(1) Absent Corresponding Income

By | September 2, 2026
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Project Expenses Incurred Wholly for Business Are Deductible Under Section 37(1) Absent Corresponding Income Issue Whether project expenses incurred wholly and exclusively for business purposes can be disallowed under Section 37(1) solely because no corresponding income was recognized or booked against those projects in the relevant assessment year. Facts The assessee is a company engaged… Read More »

Section 35(2AB) R&D deduction cannot be denied merely because DSIR approval was granted in a subsequent assessment year.

By | September 1, 2026
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Section 35(2AB) R&D deduction cannot be denied merely because DSIR approval was granted in a subsequent assessment year. Issue Whether an assessee is entitled to weighted deduction under Section 35(2AB) for in-house R&D expenditure from the current assessment year when the application was submitted during the relevant year but formal DSIR approval was granted in… Read More »

Show Cause Notice and Order Issued Against a Deceased Sole Proprietor Are Legally Unsustainable

By | August 31, 2026
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Show Cause Notice and Order Issued Against a Deceased Sole Proprietor Are Legally Unsustainable Issue Whether a Show Cause Notice (SCN) and consequential demand order issued under Section 73 in the name of a deceased sole proprietor are legally valid and enforceable against the legal heir. Facts Deaseased Proprietor & Business Closure: The sole proprietor… Read More »

Set-off of Income-tax Refunds Against Extinguished Pre-CIRP Dues Post-Resolution Plan Approval Is Legally Unsustainable

By | August 29, 2026
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Set-off of Income-tax Refunds Against Extinguished Pre-CIRP Dues Post-Resolution Plan Approval Is Legally Unsustainable Set-off of Income-tax Refunds Against Extinguished Pre-CIRP Dues Post-Resolution Plan Approval Is Legally Unsustainable Issue Whether the Income-tax Department can adjust valid tax refunds for AYs 2018-19 to 2023-24 under Section 245 against outstanding tax dues that were waived and extinguished… Read More »

Reassessment Notices Issued On or After 1-4-2021 for AY 2015-16 Beyond TOLA Outer Limit Are Void

By | August 29, 2026
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Reassessment Notices Issued On or After 1-4-2021 for AY 2015-16 Beyond TOLA Outer Limit Are Void Reassessment Notices Issued On or After 1-4-2021 for AY 2015-16 Beyond TOLA Outer Limit Are Void Issue Whether notices issued under section 148 and section 148A of the Income-tax Act, 1961 on or after 1-4-2021 for Assessment Year 2015-16,… Read More »