The reassessment was framed ex-parte after notices were served on a wrong email address. ITAT Delhi ruled that effective hearing is a sine qua non under the law, and proceedings based on faulty service cannot stand. The case was remanded to the AO for de-novo consideration.
The appellate authority dismissed the appeal ex-parte citing non-prosecution. ITAT Delhi held that mere issuance of notices does not satisfy the requirement of effective hearing. The order was quashed and the matter sent back for fresh decision.
The issue was whether an unsecured loan could be treated as unexplained despite evidence on record. ITAT Delhi held that the appellate authority erred in ignoring uploaded documents and remanded the matter for fresh verification.
ITAT Delhi ruled that annual revenue-linked DTH licence fees are revenue expenses under Section 37, not capital under Section 35ABB, allowing full deduction for the assessee.
The issue concerned an upward transfer pricing adjustment on corporate guarantee fees charged to AEs. The Tribunal upheld the fee at 0.25% as arm’s length, citing prior ITAT precedents. The takeaway: valid comparable data and indemnification protect against such adjustments.
The Tribunal held that revenue-sharing license fees under the 1999 policy are capital expenditure, mandatorily amortizable under section 35ABB, following the Supreme Court verdict.
The Tribunal held that cash deposits arising from recorded pharmacy sales during demonetisation cannot be added under section 68 when turnover is accepted and duly taxed.
Cash deposits during demonetisation were held genuine where supported by EMI recoveries from thousands of borrowers, with no enquiry or evidence to treat them as unexplained.
The Tribunal ruled that a mere disallowance of depreciation, with full disclosure of facts, does not attract penalty under Section 270A.
Revenue counted limitation from the third-party search date, while the assessee argued it should start from document handover. ITAT Delhi agreed, holding the assessment outside the six-year period, thereby voiding it.
