ITAT Mumbai ruled that the allotment of a flat to the assessee during AY 2007-08 does not attract tax under Section 56(2)(v), as the provision at that time applied only to money received, not immovable property.
The Income Tax Appellate Tribunal (ITAT) Mumbai has deleted a tax disallowance of Rs. 2.3 lakh made against the Engineering Mazdoor Sabha trade union for compensation payments to its members.
Mumbai ITAT set aside a PCIT’s u/s 263 order, ruling that allowing Section 80G deduction on CSR donations to an approved entity is a debatable issue, which cannot be revised, thereby restoring the AO’s original assessment.
ITAT Mumbai ruled AO cannot override TPO’s ALP for SDTs, allowing full Section 80IA deduction for captive power sales. Confirms Vireet on 14A/115JB.
Mumbai ITAT allowed Mahindra & Mahindra’s appeal, holding that advertisement and sales promotion expenses of ₹3.26 Cr for ‘Mahindra Parts Plazas’—which were owned and operated by distributors—were revenue in nature and deductible under Section 37(1) of Income Tax Act, rejecting AO’s capitalization.
The court held that objections regarding fraudulent transactions, round tripping, and unstamped documents were triable issues for the arbitrator, not the referral court under Section 11 of the Arbitration and Conciliation Act, 1996.
Mumbai ITAT deleted Rs.8.43 Cr addition u/s68. Assessee proved lenders’ identity, PAN, and bank transfers. Suspicion over creditworthiness cannot replace evidence.
Mumbai ITAT deleted Rs.50,000 penalty under s.272A(1)(d), ruling COVID-19 hospitalization was a reasonable cause for non-compliance to multiple notices issued in quick succession.
Tribunal confirmed CIT(A)’s estimation of 12.5% disallowance on ₹2.19 crore alleged bogus purchases, dismissing both assessee’s plea for reduction and Revenue’s demand for higher addition.
ITAT Mumbai held the disallowance on basis that the ESOP expenses is contingent in nature cannot be sustained. However, amount claimed as expenditure, the basis of allocation of ESOP cost by GSGI etc., needs to be factually examined. Hence, matter remanded.
