This case highlights that cash paid to builders as “on-money” will not automatically be treated as tax evasion if it originates from disclosed bank funds. However, buyers must prove the source with proper documentation to avoid tax additions.
Businesses across India are receiving GST notices for ITC reversal even after making genuine purchases and banking payments. The article explains key risks and precautions taxpayers must follow to safeguard Input Tax Credit.
Income Tax authorities are increasingly reopening assessments involving political donation deductions claimed under Section 80GGC. Taxpayers are facing allegations that such donations were accommodation entries lacking genuine substance.
Recent AAR rulings have raised questions on whether ITC on imports is subject to Section 16(4). While one ruling applies the time limit strictly, another highlights structural differences in import transactions.
