Section 54F exemption applies where purchase delay falls within COVID-19 limitation exclusion period. Issue Whether Section 54F, being a beneficial provision, should be liberally interpreted when the delay in purchasing a residential house is due to circumstances beyond the assessee’s control (COVID-19 pandemic). Whether the delay of 7 months and 18 days beyond the statutory… Read More »
Institutions with religious activities qualify for Section 80G registration if religious expenditure is under 5%. Issue Whether an institution engaged in religious activities remains eligible for approval under Section 80G if its religious expenditure does not exceed 5% of its total income pursuant to the deeming fiction under Section 80G(5B) [Section 133 of Income-tax Act,… Read More »
Full TDS Credit Must Be Allowed to Co-Owner If Other Co-Owners Claim No Credit Issue Whether an assessee who co-owns a leased property is entitled to claim 100% credit for Tax Deducted at Source (TDS) deducted entirely under his PAN when the other co-owners offer their proportionate rental income to tax but claim zero TDS… Read More »
Employer Is Assessee In Default For Not Deducting TDS On LFC Involving Foreign Travel Issue Whether an employer can be treated as an “assessee in default” under Section 201 for failing to deduct tax at source (TDS) on Leave Fare Concession (LFC) reimbursements when the employees’ travel itineraries included a foreign leg. Facts The assessee,… Read More »
Cash deposits from agricultural land sale require factual verification and matter is remanded for de novo adjudication. Issue Whether the addition of cash deposits worth Rs. 10.05 lakhs as unexplained money under section 69A of the Income-tax Act, 1961 is legally sustainable when the assessee submits documentary evidence proving the funds arose from an exempt… Read More »
Benefit of Subsequent Section 12AA Registration Applies Retrospectively to Pending Prior Year Assessments Issue Whether the benefit of a Section 12AA registration granted in a subsequent year can be applied retrospectively to open/pending assessment proceedings for an earlier assessment year under the proviso to Section 12A(2). Whether cash donations received for religious activities and deposited… Read More »
Subsequent registration applies to pending assessments, protecting genuine trust donations from tax additions. Issue Whether a Section 12AA registration granted in a subsequent year applies retrospectively under the proviso to Section 12A(2) to validate exemptions under Sections 11 and 12 for pending assessment proceedings, thereby rendering additions under Section 68 and higher tax rates under… Read More »
Registration granted in subsequent year applies to pending assessments, making regular donations eligible for exemption. Issue Whether registration granted under Section 12AA in a subsequent year applies retrospectively to pending assessment proceedings under the proviso to Section 12A(2), thereby validating exemptions under Sections 11 and 12 and rendering additions under Section 68 and higher tax… Read More »
Pending assessment proceedings must apply subsequent Section 12AA registration retrospectively, granting exemption to the assessee. Issue Whether a charitable trust is entitled to exemptions under sections 11 and 12 for an earlier assessment year (AY 2017-18) if its Section 12AA registration was granted during the pendency of those assessment proceedings, and whether cash donations deposited… Read More »
Surrendered Amount Recorded in Audited Books Cannot Be Retrospectively Taxed Under Section 115BBE as Unexplained Investment Issue Whether the Assessing Officer (AO) was justified in treating a surrendered amount of ₹25 lakhs (allocated for hospital building construction) as an “unexplained investment” under Section 69 and taxing it at the higher retrospective rate of 60% under… Read More »