Tag Archives: Income tax Officer

Compulsory agricultural land compensation is tax-exempt, but attached structures attract capital gains tax.

By | September 25, 2026
0 Comment

Compulsory agricultural land compensation is tax-exempt, but attached structures attract capital gains tax. Compulsory agricultural land compensation is tax-exempt, but attached structures attract capital gains tax. Issue Whether compensation received on the compulsory acquisition of agricultural land situated in a notified area outside municipal limits is exempt from capital gains tax under Section 10(37). Whether… Read More »

Bihar State Power (Holding) Company Ltd. vs. Income-tax Office

By | September 25, 2026
0 Comment

Bihar State Power (Holding) Company Ltd. vs. Income-tax Office High Court declines writ while Section 154 appeal pending; halts coercive tax recovery temporarily. Issue Whether the High Court, in exercising its extraordinary writ jurisdiction under Article 226, should entertain a challenge to an order passed under Section 154 when the legality and validity of the… Read More »

Reassessment quashed as Assessing Officer failed to pass mandatory separate speaking order disposing objections.

By | September 24, 2026
0 Comment

Reassessment quashed as Assessing Officer failed to pass mandatory separate speaking order disposing objections. Issue Whether a reassessment order passed under Section 147 read with Section 144B is legally valid when the Assessing Officer fails to pass a separate speaking order disposing of the assessee’s objections before proceeding with the reassessment. Facts Background & Reopening:… Read More »

Reopening based solely on CBDT directions without independent Assessing Officer satisfaction is void ab initio.

By | September 23, 2026
0 Comment

Reopening based solely on CBDT directions without independent Assessing Officer satisfaction is void ab initio. Issue Whether a reassessment notice issued under Section 148 is legally valid when it is based solely on a CBDT instruction directing the reopening of cases involving invalid returns, without any independent satisfaction of the Assessing Officer regarding escapement of… Read More »

Section 143(1)(a) adjustments made without prior show-cause notice are invalid and liable to be quashed.

By | September 23, 2026
0 Comment

Section 143(1)(a) adjustments made without prior show-cause notice are invalid and liable to be quashed. Issue Whether an intimation issued under Section 143(1)(a) of the Income-tax Act, 1961 making statutory adjustments to a return of income is legally valid if passed without issuing a prior show-cause notice to the assessee. Facts Return of Income: For… Read More »

Addition Under Section 56(2)(vii)(b) Sustained as Earlier Agreement Failed Consideration and Advance Payment Conditions

By | September 23, 2026
0 Comment

Addition Under Section 56(2)(vii)(b) Sustained as Earlier Agreement Failed Consideration and Advance Payment Conditions Issue Whether a non-resident assessee is entitled to adopt the lower stamp-duty value as on the date of an earlier booking agreement rather than the date of the registered sale deed under the provisos to Section 56(2)(vii)(b), where the final consideration… Read More »

BSNL Voluntary Retirement Scheme 2019 Compensation Is Capital Receipt Exempt as Retrenchment Compensation Under Section 10(10B)

By | September 23, 2026
0 Comment

BSNL Voluntary Retirement Scheme 2019 Compensation Is Capital Receipt Exempt as Retrenchment Compensation Under Section 10(10B) Issue Whether compensation received by BSNL employees under the BSNL Voluntary Retirement Scheme, 2019 is in the nature of retrenchment compensation exempt as a capital receipt under Section 10(10B) of the Income-tax Act, rather than voluntary retirement compensation under… Read More »

CIT(A) can consider fresh claims arising from typographical errors under Section 154 to tax real income.

By | September 22, 2026
0 Comment

CIT(A) can consider fresh claims arising from typographical errors under Section 154 to tax real income. Issue Whether the Commissioner of Income Tax (Appeals) [CIT(A)] is entitled to consider fresh claims made by an assessee during an appeal against an order passed under Section 154 of the Income-tax Act, 1961, where such claims arise from… Read More »

Reassessment based on search-derived information without independent prior Section 151 sanction is invalid.

By | September 22, 2026
0 Comment

Reassessment based on search-derived information without independent prior Section 151 sanction is invalid. Issue Whether a reassessment order passed under Section 147 based on search information from a third party is sustainable when the Assessing Officer issued a notice under Section 148 without obtaining independent prior approval from the specified authority under Section 151. Facts… Read More »

Cash deposits during demonetization cannot be taxed under Section 69A when bank credits are accepted as business turnover.

By | September 21, 2026
0 Comment

Cash deposits during demonetization cannot be taxed under Section 69A when bank credits are accepted as business turnover. Issue Whether cash deposits made during the demonetization period in a business bank account can be separately carved out and taxed in their entirety as unexplained money under Section 69A, when the Revenue accepts that the bank… Read More »