Demonetization Cash Deposits Supported by Valid Marriage Gifts and Savings Cannot Be Treated as Unexplained Issue Whether cash deposits made by a salaried individual during the demonetization period can be treated as unexplained money under Section 69A and taxed under Section 115BBE, when the source is attributed to marriage gifts, household savings, and medical contingency… Read More »
Rectification of Procedural Defect in Form 10AB Relates Back to Timely Filed Original Application Rectification of Procedural Defect in Form 10AB Relates Back to Timely Filed Original Application Issue Whether a subsequent application in Form No. 10AB, filed under the correct statutory sub-clause to rectify an inadvertent error in the original timely application, can be… Read More »
Rule 257 One-Year Practice Requirement for Income Tax Practitioner Registration is Statutorily Valid and Enforceable Issue Whether Rule 257 of the Income-tax Rules, 2026, which mandates a minimum of one year of prior appearance/practice before Income Tax Authorities to qualify for registration as an Income Tax Practitioner, is ultra vires or inconsistent with Section 515… Read More »
Reopening Assessment Beyond Four Years Without New Tangible Material Merely Based on Change of Opinion Invalid Issue Whether the Assessing Officer is justified in reopening an assessment under Section 147/148 after the expiry of four years from the end of the relevant assessment year to deny a Long-Term Capital Gains exemption under Section 10(38), when… Read More »
An allotment letter cannot substitute an agreement for sale, and joint property additions must be apportioned. Issue Whether a preliminary builder’s allotment letter can be treated as an “agreement fixing the amount of consideration” under the first proviso to section 56(2)(x)(b)(B) to substitute the registration date’s stamp duty value, and whether the entire difference between… Read More »
Condonation of delay is justified when non-service of orders prevents timely filing of appeals. Issue Whether the Commissioner of Income-tax (Appeals) [CIT(A)] was legally justified in dismissing the assessee’s quantum and penalty appeals in limine (at the threshold) due to delays of 1,486 and 1,181 days, without evaluating the merits or providing an opportunity to… 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 »
Capital gains depend on actual possession, while arbitrary valuation averaging is completely legally invalid. Issue Whether capital gains tax is triggered by an unregistered agreement without parting with possession or only upon the final registered transfer of physical possession. Whether arbitrary mathematical averaging of conflicting valuations by appellate authorities and ignoring taxpayer objections by the… Read More »
Official revenue classifications and specific statutory distance notifications override administrative presumptions regarding agricultural land taxation. Issue Whether the revenue department can deny a tax exemption under Section 10(37) on capital gains from the compulsory acquisition of land by relying on localized reports of non-cultivation, when official state revenue records explicitly classify the land as agricultural… Read More »
Reopening assessment based on assumptions of business incoherence from high-value bank entries is impermissible. Reopening assessment based on assumptions of business incoherence from high-value bank entries is impermissible. Issue Whether the revenue department can legally initiate reassessment proceedings under Section 148 based on assumptions that high-value bank transactions are incoherent with business activity, when all… Read More »