The case involved addition for alleged on-money payment based on search findings of a builder. The ITAT ruled that absence of corroborative evidence and denial of cross-examination makes the addition unsustainable.
ITAT Mumbai held that deduction claimed by the assessee under section 80G of the Income Tax Act cannot be denied merely on the ground that the payment also formed part of CSR expenditure under the Companies Act.
ITAT Chennai held once the AO has conducted inquiry, examined replies and adopted a legally sustainable view, the same cannot be treated as erroneous. Accordingly, invocation of revisionary jurisdiction under section 263 of the Income Tax Act is not sustainable in law.
The Tribunal held that cash payments for land purchase cannot be disallowed under Section 40A(3) if not claimed as expenditure. Since the amount was capital in nature, the addition was deleted. The ruling clarifies the scope of disallowance provisions.
The Tribunal held that filing return after due date does not disqualify deduction under section 80P for AYs prior to 2018. It ruled that denial on this ground was incorrect and required rectification.
The case involved Penalty Under Section 272A(1)(d for failure to comply with notices during assessment. The Tribunal ruled that completion under section 143(3) negates the basis for penalty.
The Tribunal examined denial of rebate due to technical computation issues. It held that deduction must be granted as income was below ₹7 lakh and statutory conditions were satisfied.
The Tribunal held that the addition based on third-party software data was invalid as the material was not provided to the assessee. Denial of cross-examination was found to violate principles of natural justice.
The Tribunal held that revision under Section 263 is invalid without proving both error and revenue prejudice. The AO’s order was restored as valid.
The Tribunal held that reopening beyond three years requires escaped income in the form of an asset. Since bogus purchases are revenue items, the reassessment was declared invalid.
