The Tribunal upheld penalty for non-filing of return under Explanation 3 but ruled that computation must reduce TDS and self-assessment tax paid before notice. Penalty was reduced from Rs. 8.56 lakh to Rs. 85,992.
ITAT Delhi ruled that non-response by suppliers to Section 133(6) notices alone cannot justify treating purchases as bogus. As the assessee furnished bills, bank records, and GST details and sales were accepted, deletion of ₹3.97 crore addition was upheld.
The Tribunal ruled that undated, unsigned loose sheets lacking independent evidence cannot justify additions under Section 153A. Relying on Supreme Court precedent, it deleted additions exceeding ₹2.10 crore for want of corroboration.
The Tribunal held that once the return is accepted as valid under Section 139(1), denial of carry forward loss on belated filing grounds is contradictory and unsustainable.
The Tribunal confirmed that once identity, source, and movement of funds are established through records, treating the investment as unexplained is unjustified. Revenues appeal was dismissed.
The Tribunal held that CPC wrongly applied the outdated ₹3 lakh ceiling despite Notification No. 31/2023 enhancing the limit to ₹25 lakh. Since the retirement benefit was within the revised cap, full exemption under Section 10(10AA) was directed.
The Tribunal ruled that proving source of source was not mandatory for AY 2014-15. Since identity, creditworthiness, and genuineness were established, unsecured loan additions were deleted.
The Tribunal allowed depreciation on non-compete fees despite Supreme Court ruling it as revenue expenditure, citing practical difficulty and revenue-neutral impact. Revenues appeal was dismissed.
ITAT Delhi upheld deletion of ₹60 lakh addition after finding that the assessee furnished confirmations, audited financials, bank statements, and Section 133(6) replies. In absence of direct evidence linking loans to accommodation entries, the addition under Section 68 was held unsustainable.
The Tribunal held that without any incriminating material belonging to the assessee found during search, proceedings under Section 153C are invalid. Addition based solely on third-party statements was set aside.
