Tag Archives: Pr. Commissioner of Income-tax

Non-Compete Fees Are Allowable Revenue Expenditure Under Section 37(1) Over Non-Compete Period

By | November 4, 2026
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Non-Compete Fees Are Allowable Revenue Expenditure Under Section 37(1) Over Non-Compete Period Issue Whether non-compete fees paid under a slump sale agreement constitute an allowable revenue expenditure under Section 37(1) of the Income-tax Act, 1961, amortizable over the non-compete period, in light of binding Supreme Court precedents. Facts Assessment Year: 2011-12. Non-Compete Payment: The assessee… Read More »

Additions Made in Section 153A Assessment Without Incriminating Material Found During Search Are Illegal

By | October 26, 2026
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Additions Made in Section 153A Assessment Without Incriminating Material Found During Search Are Illegal Issue Whether additions made in an assessment completed under Section 153A are legally sustainable when no demonstrable incriminating material was seized during the course of the search? Facts Assessee Profile: The assessee’s premises were subjected to search and seizure operations for… Read More »

Supreme Court Dismisses Revenue’s SLP As En Masse Section 153D Search Approvals Lacked Application Of Mind

By | October 16, 2026
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Supreme Court Dismisses Revenue’s SLP As En Masse Section 153D Search Approvals Lacked Application Of Mind Issue Whether the Supreme Court should interfere with the High Court’s order upholding the quashing of search assessment orders under Section 153A on the ground that the prior statutory approval granted under Section 153D by the Additional Commissioner suffered… Read More »

Absence of Possession and Compliance Under Transfer of Property Act Prevails, Negating Capital Gains Tax Liability

By | October 3, 2026
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Absence of Possession and Compliance Under Transfer of Property Act Prevails, Negating Capital Gains Tax Liability Absence of Possession and Compliance Under Transfer of Property Act Prevails, Negating Capital Gains Tax Liability Issue Whether the execution of a Joint Development Agreement (JDA) constitutes a “transfer” of a capital asset under Section 2(47) of the Income-tax… Read More »

Mechanical Approval Granted En Masse Under Section 153D Without Application of Mind Invalidates Search Assessment

By | September 30, 2026
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Mechanical Approval Granted En Masse Under Section 153D Without Application of Mind Invalidates Search Assessment Issue Whether an assessment order passed under Section 153A is legally valid when prior approval under Section 153D was granted en masse within less than 24 hours using identical phrasing and without independent application of mind by the approving authority.… Read More »

Appellate authorities cannot admit additional financial evidence without recorded reasons and granting the Assessing Officer a rebuttal opportunity.

By | June 25, 2026
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Appellate authorities cannot admit additional financial evidence without recorded reasons and granting the Assessing Officer a rebuttal opportunity. Issue Whether the Commissioner (Appeals) [CIT(A)] is legally justified in reducing a Section 40(a)(ia) disallowance based on new documents produced by the assessee at the appellate stage, without passing a speaking order under Rule 46A or providing… Read More »