Tag Archives: IN THE ITAT MUMBAI BENCH

Tax Cannot Be Recovered from Employee if Employer Deducts TDS but Fails to Deposit It Issue Whether the revenue can deny Tax Deducted at Source (TDS) credit and raise a tax recovery demand on an employee under Section 205 when their employer has deducted TDS from their salary but failed to deposit it into the… Read More »

Long-term capital gains from shares held for eight years cannot be treated as a sham penny stock transaction based solely on general investigation reports. Issue Whether long-term capital gains earned from the sale of shares held for over eight years can be treated as an unexplained cash credit under Section 68, and accompanied by a… Read More »

Provisions of Section 43CA cannot be applied retrospectively to transactions finalized before its enactment. Issue Whether the newly inserted provisions of Section 43CA could be applied retrospectively to flat allotments made in a prior year, and whether interest costs and foreign exchange fluctuation losses incurred by a real estate developer can be claimed as period… Read More »

Bona Fide Claims Based on Prevailing Judicial Precedents Cannot Attract Penalty Due to Retrospective Legislative Amendments Issue Whether a penalty for under-reporting or misreporting of income under Section 270A can be sustained when an assessee’s bona fide claim, fully supported by prevailing judicial precedents at the time of filing, subsequently becomes inadmissible due to a… Read More »

Estimated disallowances of recorded expenses cannot be treated as unexplained expenditure under Section 69C. Estimated disallowances of recorded expenses cannot be treated as unexplained expenditure under Section 69C. Issue Whether an ad-hoc, estimated disallowance of routine business expenses already recorded in the books of accounts can legally be categorized as “unexplained expenditure” under Section 69C,… Read More »

Disallowance under Section 14A cannot exceed exempt income, and dynamic expenses lack TDS liability. Issue Whether Section 14A disallowance can exceed the actual exempt income earned during the year. Whether a bad debt write-off is allowable if the underlying income was recognized and offered to tax in a previous assessment year. Whether business disallowances under… Read More »

Exemption under Section 10(23EA) cannot be denied via Section 143(1) adjustments on debatable issues without prior intimation. Issue Whether the Central Processing Centre (CPC) is justified in making adjustments under Section 143(1) to deny an exemption under Section 10(23EA) without issuing a prior intimation of the proposed adjustment, and whether a debatable issue involving Section… Read More »