The ITAT Bangalore held that cash deposits could not be treated as unexplained where they were sourced from earlier withdrawals from the same bank account. It ruled that, in the absence of evidence showing the withdrawn cash was used elsewhere, the addition under Section 69A was unsustainable.
The ITAT ruled that failure to produce confirmations from debtors did not justify additions where sales, ledger accounts, and sample invoices were already on record. It directed deletion of the additions after finding no contrary evidence from the Revenue.
Learn how taxpayers can set off losses against taxable income and carry forward unadjusted losses under the Income-tax Act. The FAQs explain eligibility, restrictions, and timelines for different categories of losses.
The ITAT ruled that bonus payments recorded in a separate bonus ledger, audit report, and profit and loss account could not be disallowed merely because they were absent from the salary ledger.
Learn when the Income-tax Act requires another person’s income to be included in your taxable income. The FAQs explain clubbing provisions relating to spouses, minor children, HUFs, and transferred assets.
The ITAT Bangalore held that cash deposits recorded in audited books of account could not be treated as unexplained merely because they included specified bank notes. Since the Revenue found no defects in the books or evidence of bogus receipts, the addition under Section 69A was deleted.
Learn how rental income is taxed, who is treated as the owner, and how deductions under Section 24 are computed. The guidance also explains tax treatment for self-occupied, let-out, and deemed let-out properties.
Learn when monetary, immovable, and movable property gifts become taxable under the Income-tax Act. The FAQs explain exemptions, thresholds, relatives, and key tax rules applicable to individuals and HUFs.
The article highlights that Indian tax law lacks a statutory formula for allocating cross-border ESOP income, increasing the risk of double taxation. It recommends that the CBDT adopt the OECD workday-based apportionment framework through administrative guidance.
The ITAT Delhi held that although failure to file Form 10B disentitled the assessee from claiming exemption under Sections 11 and 12, the entire gross receipts could not be taxed where the expenditure was incurred for charitable purposes. The Tribunal upheld deduction of expenditure while denying the statutory exemption.
