Tag Archives: Income tax Officer

Form 10-IC Exercised for Earlier Year Validates Concessional Tax Benefit Under Section 115BAA for Subsequent Years

By | September 7, 2026
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Form 10-IC Exercised for Earlier Year Validates Concessional Tax Benefit Under Section 115BAA for Subsequent Years Issue Whether an option under Section 115BAA(5) once exercised by filing Form No. 10-IC for Assessment Year 2023-24 automatically applies to the subsequent Assessment Year 2024-25, thereby entitling the assessee to the concessional tax regime. Facts The assessee-company opted… Read More »

Section 56(2)(vii)(b) Cannot Apply Retrospectively To Property Allotted and Partially Paid Prior To October 1, 2009

By | September 7, 2026
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Section 56(2)(vii)(b) Cannot Apply Retrospectively To Property Allotted and Partially Paid Prior To October 1, 2009 Issue Whether Section 56(2)(vii)(b) can be invoked retrospectively using the 2013 registration stamp duty value when immovable property was allotted and partially paid for in April 2007. Facts Property Acquisition & Stamp Value: For AY 2014-15, the assessee purchased… Read More »

Dismissal of Appeal Under Section 249(4)(b) Remanded to CIT(A) as No Advance Tax Was Payable on Salary Subject to TDS

By | September 5, 2026
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Dismissal of Appeal Under Section 249(4)(b) Remanded to CIT(A) as No Advance Tax Was Payable on Salary Subject to TDS Issue Whether the CIT(A) was justified in dismissing the assessee’s appeal in limine under Section 249(4)(b) for non-payment of advance tax when the assessee’s sole income was salary subjected to full TDS under Section 192.… Read More »

Reassessment Notice Beyond Three Years Without Specified Authority Sanction and Consequent Penalty Under Section 270A Quashed

By | September 5, 2026
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Reassessment Notice Beyond Three Years Without Specified Authority Sanction and Consequent Penalty Under Section 270A Quashed Issue Whether a reassessment notice issued under Section 148 beyond three years from the end of the relevant assessment year without approval from the specified authority under Section 151(ii) is legally valid, and whether a penalty levied under Section… Read More »

Reopening notice under Section 148 issued against a deceased assessee is void ab initio.

By | September 4, 2026
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Reopening notice under Section 148 issued against a deceased assessee is void ab initio. Issue Whether a reassessment notice issued under Section 148 in the name of a deceased assessee is legally valid and whether Section 159 can cure the jurisdictional defect to hold the legal representative responsible. Facts For Assessment Year 2012-13, the Assessing… Read More »

Tax under Section 115BBI cannot be levied on a reporting error without underlying specified income.

By | September 4, 2026
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Tax under Section 115BBI cannot be levied on a reporting error without underlying specified income. Tax under Section 115BBI cannot be levied on a reporting error without underlying specified income. Issue Whether an arithmetic mismatch or reporting oversight in filing tax return schedules empowers the Revenue to levy tax under Section 115BBI via Section 143(1)… Read More »

Rejection of books, closing stock revaluation, and cash deposit additions are unsustainable when supported by books and AS-2 compliance

By | September 3, 2026
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Rejection of books, closing stock revaluation, and cash deposit additions are unsustainable when supported by books and AS-2 compliance Issue Whether, for Assessment Year 2017-18: Rejection of books of account under Section 145(3) and addition to business income by revaluing closing stock at an alternative NRV is sustainable when the assessee valued damaged stock at… Read More »

Section 263 Revision Cannot Be Invoked When Assessing Officer Adopts Plausible View Accepting Loan Repayment Application

By | September 3, 2026
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Section 263 Revision Cannot Be Invoked When Assessing Officer Adopts Plausible View Accepting Loan Repayment Application Issue Whether the Commissioner (Exemptions) can invoke revisionary jurisdiction under Section 263 to set aside an assessment order accepting a charitable trust’s claim of loan repayment as an application of income under Section 11, when the Assessing Officer conducted… Read More »

JDA Capital Gains Remanded to CIT(A) for Re-Adjudication to Evaluate Uncommunicated Property Valuation Reports

By | September 3, 2026
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JDA Capital Gains Remanded to CIT(A) for Re-Adjudication to Evaluate Uncommunicated Property Valuation Reports JDA Capital Gains Remanded to CIT(A) for Re-Adjudication to Evaluate Uncommunicated Property Valuation Reports Issue Whether it was appropriate to set aside the order of the CIT(A) confirming a capital gains assessment on a Joint Development Agreement (JDA) under Section 2(47)… Read More »

Penalty under Section 272A(2)(e) must be restricted to Section 139(4) deadline, not Section 148 return date.

By | September 2, 2026
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Penalty under Section 272A(2)(e) must be restricted to Section 139(4) deadline, not Section 148 return date. Issue Whether penalty under Section 272A(2)(e) for failure to furnish a return of income under Section 139 is to be computed up to the date of filing the return in response to a Section 148 notice, or restricted only… Read More »