Tag Archives: Income tax Officer

Assessing Officer Must Apply Uniform Profit Rates For Identical Businesses And Cannot Make Separate Expense Disallowances After Rejecting Books

By | June 16, 2026
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Assessing Officer Must Apply Uniform Profit Rates For Identical Businesses And Cannot Make Separate Expense Disallowances After Rejecting Books Issue Whether the Assessing Officer (AO) is justified in estimating a higher gross profit (GP) rate of $4\%$ for a liquor trader after rejecting their books, when a lower GP rate of $3.13\%$ was accepted for… Read More »

Hiring Receipts Of Trust Treated As Commercial Business Income Whereas Incidental Expenditures Allowed As Application

By | June 16, 2026
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Hiring Receipts Of Trust Treated As Commercial Business Income Whereas Incidental Expenditures Allowed As Application Hiring Receipts Of Trust Treated As Commercial Business Income Whereas Incidental Expenditures Allowed As Application Issue Whether the receipts earned by a charitable trust from hiring out its conference and auditorium facilities along with other amenities constitute commercial business income… Read More »

Supreme Court Remands Reassessment Cases To High Courts For Assessment Year Verification

By | June 16, 2026
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Supreme Court Remands Reassessment Cases To High Courts For Assessment Year Verification Issue Whether reassessment notices segregated from a larger batch of appeals must be struck down outright if they pertain to the Assessment Year (AY) 2015-16 pursuant to the Revenue’s concession in Union of India v. Rajeev Bansal, or whether they should be remitted… Read More »

Reassessment Notices Issued Beyond the Recomputed Supreme Court Timeline and TOLA Extensions Are Time-Barred and Invalid

By | June 15, 2026
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Reassessment Notices Issued Beyond the Recomputed Supreme Court Timeline and TOLA Extensions Are Time-Barred and Invalid Issue Whether the reassessment order passed under Section 148A(d) and the subsequent notice issued under Section 148 on July 29, 2022, for Assessment Year 2014-15, are legally sustainable or invalid as being barred by the law of limitation. Facts… Read More »

Reassessment Notice Issued Beyond The Supreme Court Mandated Calculation Period Post-Ashish Agarwal And Rajeev Bansal Ruling Is Invalid As Time-Barred

By | June 13, 2026
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Reassessment Notice Issued Beyond The Supreme Court Mandated Calculation Period Post-Ashish Agarwal And Rajeev Bansal Ruling Is Invalid As Time-Barred Reassessment Notice Issued Beyond The Supreme Court Mandated Calculation Period Post-Ashish Agarwal And Rajeev Bansal Ruling Is Invalid As Time-Barred Issue Whether the reassessment order under Section 148A(d) and the subsequent notice under Section 148,… Read More »

Matter Remanded to Assessing Officer for De Novo Adjudication Due to Lack of Opportunity to Explain NRI Investments

By | June 12, 2026
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Matter Remanded to Assessing Officer for De Novo Adjudication Due to Lack of Opportunity to Explain NRI Investments Matter Remanded to Assessing Officer for De Novo Adjudication Due to Lack of Opportunity to Explain NRI Investments Issue Whether an ex-parte assessment order treating time deposits, foreign currency purchases, and bank interest as unexplained investments and… Read More »

Penalty Cannot Be Sustained on Estimated Profit Additions or Unsubstantiated Loose Sheets

By | June 12, 2026
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Penalty Cannot Be Sustained on Estimated Profit Additions or Unsubstantiated Loose Sheets Issue Whether a penalty for concealment of income under Section 271(1)(c) is legally sustainable when the underlying additions are based merely on an estimation of gross profit or on unsubstantiated loose sheets recovered during a tax proceeding. Facts The Additions: For the Assessment… Read More »

Reassessment Order Quashed as Assessing Officer Deviated from Reasons Recorded for Reopening

By | June 12, 2026
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Reassessment Order Quashed as Assessing Officer Deviated from Reasons Recorded for Reopening Issue Whether a reassessment order under Section 147 is legally sustainable if the Assessing Officer (AO) completely deviates from the original reasons recorded for reopening the assessment and makes additions on entirely different grounds. Facts Initiation of Reassessment: For the Assessment Year (AY)… Read More »

Agricultural Land Outside Notified Municipal Limits Lacking Commercial Conversion Is Not a Capital Asset

By | June 11, 2026
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Agricultural Land Outside Notified Municipal Limits Lacking Commercial Conversion Is Not a Capital Asset Issue Whether a parcel of land sold by the assessee constitutes a “capital asset” under Section 2(14) of the Income-tax Act, thereby attracting capital gains tax, when the land is located outside notified municipal limits, is classified as agricultural in revenue… Read More »

Section 148 Reopening Notice Quashed for Assessment Year 2015-16 as Barred by Limitation Under TOLA Guidelines

By | June 11, 2026
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Section 148 Reopening Notice Quashed for Assessment Year 2015-16 as Barred by Limitation Under TOLA Guidelines Issue Whether a reassessment notice issued under Section 148 of the Income-tax Act on July 23, 2022, for Assessment Year 2015-16 is legally sustainable, given the Revenue’s binding concession recorded by the Supreme Court that such notices cannot be… Read More »