Reassessment notice issued beyond three years with approval from an unauthorized authority is void ab initio. Issue Whether a reassessment notice under Section 148 issued beyond three years from the end of the relevant assessment year with approval from the Principal Commissioner of Income Tax (PCIT), instead of the specified authority under Section 151(ii), is… Read More »
Reassessment Beyond Four Years Is Impermissible When All Depreciation Details Were Fully Disclosed Under Scrutiny Reassessment Beyond Four Years Is Impermissible When All Depreciation Details Were Fully Disclosed Under Scrutiny Issue Whether the Assessing Officer can validly issue a notice under Section 148 to reopen an assessment after the expiry of four years from the… Read More »
Reassessment completed by a different Officer without issuing Section 148 notice or Section 127 order is invalid. Issue Whether a reassessment completed by an Assessing Officer under Section 143(3) read with Section 147 is legally valid when the Section 148 notice was issued by a different officer, no fresh notice was issued by the assessing… Read More »
Flawed CIT(A) order ignoring assessment grounds and new agricultural land evidence warrants de novo remand. Flawed CIT(A) order ignoring assessment grounds and new agricultural land evidence warrants de novo remand. Issue Whether an appellate order passed under Section 250—based on the incorrect factual premise that the appeal arose from a Section 154 rectification order rather… Read More »
Capital gains do not accrue under JDA until encumbrances are cleared and possession is handed over. Issue Whether entering into a registered Joint Development Agreement (JDA) constitutes a “transfer” under Section 2(47) read with Section 45 in Assessment Year 2016-17, when the agreement explicitly conditions the transfer of possession on the removal of encumbrances which… Read More »
Development agreement without transfer of possession does not trigger capital gains tax. Issue Whether entering into a Development Agreement without handing over possession under Section 53A of the Transfer of Property Act or evidencing a transfer under Section 2(47)(vi) constitutes a “transfer” under Section 2(47) read with Section 45, attracting long-term capital gains tax in… Read More »
Executing a JDA granting construction rights alone does not constitute transfer or trigger capital gains tax. Issue Whether the execution of a registered Joint Development Agreement (JDA) granting construction and approval rights constitutes a “transfer” under Section 2(47)(v) of the Income-tax Act, 1961 read with Section 53A of the Transfer of Property Act, 1882, making… Read More »
Assessing Officer’s unverified classification of agricultural land as a non-capital asset warrants a de novo assessment. Issue Whether the assessment treating the sale proceeds of agricultural land as long-term capital gains based solely on an Inspector’s field enquiry—without placing official Revenue reports on record—warrants a fresh, de novo examination by the Assessing Officer when contradictory… Read More »
Interest Earned by Co-operative Housing Society from Co-operative Bank Investments Qualifies for Section 80P(2)(d) Deduction Issue Whether interest income earned by a co-operative housing society from fixed deposits placed with co-operative banks is eligible for deduction under Section 80P(2)(d) of the Income-tax Act, 1961. Facts The assessee is a co-operative housing society that invested surplus… Read More »
Co-Operative Housing Society Is Entitled to Section 80P(2)(d) Deduction on Interest Earned From Co-Operative Banks Issue Whether interest income earned by a co-operative housing society from fixed deposits maintained with co-operative banks is eligible for deduction under Section 80P(2)(d) of the Income-tax Act, 1961. Facts Assessee Profile: The assessee is a co-operative housing society registered… Read More »