The Tribunal held that disallowance based solely on tax audit reporting required factual verification. The issue was remanded for examining whether the power liability provision was wrongly treated as contingent.
ITAT Mumbai upheld deletion of ₹6 crore addition after lenders responded to notices under Section 133(6) and confirmed transactions. Verified evidence and absence of deficiencies proved loan genuineness.
The Tribunal held that long-term capital gains could not be treated as bogus where documentary evidence supported the transactions and no material connected the assessee to price manipulation. The Revenue’s appeal was dismissed.
The case involved additions for alleged suppressed sales and purchases based on seized digital material. The Tribunal ruled that once search material exists, the AO must invoke Section 148 with proper approval, making the 143(3) assessment legally unsustainable.
The ITAT deleted addition under Section 69A where cash deposits were made in a joint account. Since the husband owned the deposits and was not cross-examined, taxing the wife was held unjustified.
ITAT Mumbai held that balancing figure between the slump sale consideration and the value of identifiable tangible assets represents goodwill or commercial rights in the nature of an intangible asset, and depreciation thereon is allowable under section 32(1)(ii) of the Income Tax Act.
The Tribunal ruled that accepting share capital and unsecured loans without proper verification violates Section 68 requirements. It upheld the Principal CITs revision order, stating that failure to investigate renders the order prejudicial to revenue.
The Tribunal held that the fresh notice issued under Section 148 was beyond the surviving limitation period available after applying TOLA and Supreme Court directions. As a result, the reassessment proceedings were declared void ab initio.
Despite voluminous documentation filed during assessment and appeal, the authorities concluded that no evidence was produced. The Tribunal found this approach grossly negligent and deleted the entire purchase addition.
The ITAT held that interest earned by a co-operative credit society on bank deposits qualifies as business income. Such income is eligible for deduction under Section 80P(2)(a)(i).
