Income Tax : Smt. Ranjana Kumari/Kalta Vs DCIT/ACIT (Central) (ITAT Chandigarh) The appeals involved three assessees belonging to the Kalta Gro...
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Income Tax : The Income Tax Department explains how faceless assessments under Section 144B operate through the e-Filing portal without requiri...
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Income Tax : The Supreme Court has ruled that it is mandatory for the Income Tax Department to issue notice within the prescribed time limit of...
Income Tax : Where unaccounted sales were established through seized material, only the net profit embedded therein was liable to tax, and not ...
Income Tax : ITAT Bangalore held that additions made in an intimation under Section 143(1) cannot be disputed in an appeal against a scrutiny a...
Income Tax : Interest on delayed payment of the FM radio migration fee was a compensatory business expenditure deductible under Section 37(1); ...
Income Tax : ITAT Mumbai remanded the case to examine whether Section 56(2)(x) applied based on the agreement date and to consider refund of ex...
Income Tax : ITAT Mumbai deleted a Section 69 addition after finding documentary evidence established joint ownership, source of funds, and ear...
Income Tax : Understand the guidelines set by the Indian Ministry of Finance for the compulsory selection of returns for complete scrutiny duri...
Income Tax : CBDT hereby authorises the Assistant Commissioner of Income-tax/Deputy Commissioner of Income-tax (NaFAC) having her / his headqua...
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Income Tax : Central Board of Direct Taxes, with approval of the Revenue Secretary, has decided to modify notice under section 143(2) of the In...
Income Tax : Instruction No.1/2015 Clarification regarding applicability of section 143(1D) of the Income-tax Act, 1961- Vide Finance Act, 2012...
Tribunal held that CIT(A) deleted bad debt disallowance without verifying Section 36(2) compliance. Case remanded to AO for fresh adjudication after granting assessee fair opportunity.
The ITAT Delhi partly deleted an addition for alleged bogus purchases, ruling that since the books of account were not rejected and the profit element from corresponding sales was already offered to tax, taxing 12.5% of the bogus purchase value constituted double taxation. The Tribunal finally restricted the addition to an agreed-upon amount of Rs.4,00,000.
The Tribunal quashed an unexplained investment addition based purely on a digital ledger retrieved from a mobile phone, as it was not corroborated by any evidence of actual cash payment or movement. Following its own prior ruling, the ITAT confirmed that digital evidence like WhatsApp messages must comply with Section 65B to be est in law.
The Tribunal held that a generic, non-specific satisfaction note and the absence of incriminating material belonging to the assessee-company rendered the Section 153C proceedings invalid from the outset.1 Consequently, the entire assessment, including additions for commission income, was quashed.
The Tribunal partly allowed the appeal, asserting that once supporting documents are filed, genuine capital expenses like a boundary wall cannot be dismissed as bogus. The judgment confirms that only costs directly enhancing the asset’s value (like construction) are eligible as a cost of improvement, leading to the disallowance of security guard charges.
This critical ruling confirms the principle that a notice issued to a dead person is legally null and void, even if a legal heir later participates in the assessment. The ITAT emphasized that the correct procedure was to initiate proceedings afresh against the legal heir, not to continue the invalid proceedings, thereby quashing the entire reassessment.
The ITAT set aside the PCIT’s revision order, confirming that the revisional power under Section 263 cannot be invoked merely to conduct a deeper inquiry or change a view previously taken by the AO. Since the AO had specifically examined and verified the share’s Fair Market Value (FMV) during the original scrutiny, the assessment was neither erroneous nor prejudicial to the Revenue.
The ITAT Chennai deleted the disallowance of claimed agricultural income, ruling that revenue from the sale of eucalyptus trees grown on the assessees agricultural land is exempt under Section 2(1A). The Tribunal held that the assessee performed both basic and subsequent agricultural operations, and the AOs mere doubt about visible maintenance was insufficient to deny the exemption.
The ITAT upheld the deletion of a major protective tax addition against a firm, ruling it would result in double taxation. Evidence proved the corresponding income, found on seized loose papers, was personal to a partner and had already been declared and taxed in the partner’s individual return.
The ITAT Pune condoned a 631-day delay citing financial seizure under the Mst. Katiji principle, restoring the appeal concerning Rs. 29 Lakh interest disallowance and ad-hoc cash addition back to the CIT(A) for a fresh de novo hearing.
