Rebate under Section 87A cannot be restricted against Section 111A gains merely by administrative circular. Issue Whether an administrative circular (CBDT Circular No. 13/2025) can restrict or deny the Section 87A rebate against tax payable on short-term capital gains under Section 111A under the new tax regime (Section 115BAC) for Assessment Year 2025-26 when no… Read More »
Revision Under Section 263 Quashed as Contribution to Approved Gratuity Fund Exceeding 8.33% Is Allowable Issue Whether the Principal Commissioner was justified in invoking revisionary jurisdiction under Section 263 to disallow an assessee’s actuarially-determined contribution to an approved gratuity fund on the ground that it exceeded the 8.33% salary limit specified in Rule 103 of… Read More »
ITAT deletes transfer pricing royalty adjustment, disallowances under section 14A and section 40(a)(i), remanding other issues. Issue Whether transfer pricing adjustments on royalty and commission, capital gains indexation, section 54G additional exemption claims, overseas commission withholding taxes, and section 14A disallowance are sustainable. Facts Royalty TP Adjustment (AY 2012-13 & 2013-14): Assessee paid an 8%… Read More »
Depreciation on Acquired Intangibles Allowed and Captive Power and Steam Transfers Upheld at Market Value Issue Whether an assessee is entitled to depreciation under Section 32 on intangible assets (brands and trade names) acquired pursuant to a demerger, when the issue is covered by Tribunal orders in the assessee’s own case for earlier years. Whether… Read More »
Exemption under Section 54F is allowable on both purchase and post-purchase reconstruction expenses incurred to make a house habitable. Issue Whether capital gains exemption under Section 54F of the Income-tax Act, 1961 (corresponding to Section 86 of the Income-tax Act, 2025) extends to post-purchase construction, renovation, and demolition expenses incurred to make a residential house… Read More »
SBI Not Assessee in Default Under Section 201 for Non-Deduction of TDS on Overseas LTC Reimbursements Governed by High Court Stay SBI Not Assessee in Default Under Section 201 for Non-Deduction of TDS on Overseas LTC Reimbursements Governed by High Court Stay Issue Whether an employer bank can be treated as an assessee in default… Read More »
ITAT Decides Key Tax Issues On Deductions, Disallowances, Capital Gains, And MAT For AY 2016-17 Issue Deduction u/s 80-IB/80-IE: Whether interest income from staff advances/deposits and trade receivables is eligible for deduction. Section 14A Disallowance: Whether interest and administrative expense disallowances apply when own interest-free funds are sufficient, and whether Section 14A adjustments apply to… Read More »
SBI Branches Complying with High Court Stay Orders Cannot Be Assessed in Default Under Section 201 SBI Branches Complying with High Court Stay Orders Cannot Be Assessed in Default Under Section 201 Issue Whether SBI branches can be treated as “assessees in default” under Section 201(1) and charged interest under Section 201(1A) for failing to… Read More »
Processing Return Under Section 143(1) Post Section 143(2) Notice Is Valid and ESOP Cross-Charge Expenses Are Allowable Business Deductions Processing Return Under Section 143(1) Post Section 143(2) Notice Is Valid and ESOP Cross-Charge Expenses Are Allowable Business Deductions Issue Validity of Section 143(1) Processing Post Section 143(2) Notice & Doctrine of Merger: Whether processing a… Read More »
Assessments Initiated Under Section 147 Based on Material Seized During Third-Party Search Are Void for Lack of Jurisdiction Issue Whether an assessment reopened under Section 147 read with Section 148 on the basis of documents seized during a third-party search under Section 132 is valid in law, or whether the Assessing Officer is mandatorily required… Read More »