Excess application of earlier years can be adjusted under Section 11 despite no explicit return claim. Issue Whether a charitable trust is entitled to adjust excess application of income/capital expenditure incurred in earlier years against the income of the current assessment year, even if such excess was not explicitly claimed for carry-forward in the income… Read More »
Reassessment Order for AY 2018-19 Quashed as Sanction for Section 148 Notice Was Granted by Incompetent Authority Issue Whether a reassessment notice issued under Section 148 after the expiry of three years from the end of the relevant assessment year is valid when sanction is granted by a Principal Commissioner of Income Tax under Section… Read More »
Suppressed Sale Consideration Must Be Taxed As Capital Gains, Not As Unexplained Money. Issue Whether an undisclosed receipt toward a property sale, found during a third-party search, must be taxed as part of the full value of consideration under Capital Gains in the year of transfer, or if it can be treated as unexplained money… Read More »
Taxing Gross Online Gaming Winnings Without Offsetting Associated Entry Costs and Losses Is Impermissible Taxing Gross Online Gaming Winnings Without Offsetting Associated Entry Costs and Losses Is Impermissible Issue Whether income from online games under Section 115BB must be computed on the basis of “net winnings” by offsetting entry costs and losses, or on the… Read More »
Google AdWords Payments Cover Under Section 194C as Advertising Rather Than Technical Services Issue Whether payments made to Google India for the Google AdWords program constitute “fees for technical services” under Section 194J requiring human intervention, or are standard advertising contracts subject to tax deduction at source at the lower rate under Section 194C. Facts… Read More »
Capital gains are taxable on the execution date of the registered sale agreement for the absolute owner. Issue Whether the long-term capital gains from the sale of an immovable property are taxable in the assessment year matching the execution date of a registered agreement to sell, or in the subsequent year when the full consideration… Read More »
Employee benefit expenses and coupon interest on Indian currency NCDs are fully allowable. Issue Issue I (Section 37): Whether the Assessing Officer can disallow an increase in genuine employee benefit expenses simply because the company’s operational revenue declined during the year. Issue II (Section 92C): Whether Prime Lending Rate (PLR) or External Benchmark-based Lending Rate… Read More »
TPO cannot reject certified segmental financials without investigating cost drivers or finding explicit discrepancies. Issue Whether the Transfer Pricing Officer (TPO) is legally justified in rejecting certified segmental financial results and reallocating costs on a generic revenue-proportion basis without conducting an independent investigation or identifying specific discrepancies in the assessee’s allocation method. Facts The assessee-company… Read More »