Survey Income Linked to Business Not Taxable at Higher Section 115BBE Rates

Yash Construction Co. Vs ACIT (ITAT Pune) Income Tax Appellate Tribunal (ITAT), Pune Bench, has ruled in favor of Yash Construction Co., setting aside the application of a higher tax rate under Section 115BBE of the Income Tax Act on additional income declared by the firm during a survey operation. The Tribunal’s common order, pronounced on July 31, 2024, covered assessment years 2017-18 and 2018-19, with the primary dispute centered on whether the declared income constituted “unexplained expenditure” liable for special taxation. For the assessment year 2017-18, Yash Construction...