Income Tax : The article explains remedies available after adverse tax orders under scrutiny and reassessment. The key takeaway is that choosin...
Income Tax : The Court clarified that mere pendency of information exchange requests under DTAA cannot justify continuing a Look Out Circular. ...
Income Tax : A surge in Section 143(2) notices was triggered by the June 2025 limitation deadline. This explains why cases were picked and how ...
Income Tax : The Tribunal ruled that penalty under Section 271A cannot be levied merely because books were rejected and income was estimated. S...
Income Tax : The ITAT held that an assessment completed before receiving the DVO report under section 50C(2) is invalid. All additions and disa...
Income Tax : Delhi ITAT allows Sanco Holding, a Norwegian company, to compute income from bareboat charter of seismic vessels under Article 21(...
Income Tax : It has been observed that in many cases an assessee may wish to make a claim which was not made in the return of income filed unde...
Income Tax : We have attached a file in excel format. The file contains the format of various details which normally assessing officer asks As...
Income Tax : Tribunal observed that the Assessing Officer failed to establish any mismatch in stock, sales, or accounting records before making...
Income Tax : ITAT Hyderabad held that constituent members of a JV or Consortium can claim deduction under Section 80IA(4) when they actually ex...
Income Tax : The Tribunal found that full payment, TDS deduction, and transfer of possession established completion of the transaction for capi...
Income Tax : ITAT Rajkot held that cash deposits made during demonetization were fully supported by audited books of account, cash books, and b...
Income Tax : The Hyderabad ITAT held that purchases cannot be treated as bogus merely because the supplier failed to respond to a notice under ...
Income Tax : Instruction No.1/2015 Clarification regarding applicability of section 143(1D) of the Income-tax Act, 1961- Vide Finance Act, 2012...
The ITAT struck down the additions, observing that the AO’s jurisdiction was potentially vitiated by a mechanical, consolidated approval for reopening, and the additions themselves relied solely on an uncorroborated statement and rough papers. The ruling confirms that unverified, rough documents lack sufficient evidentiary value to sustain income additions.
The ITAT Ahmedabad deleted a Rs.7.46 lakh disallowance of employees’ PF contribution, ruling that payment made on the next working day is timely when the statutory due date falls on a Sunday. The ruling applied Section 10 of the General Clauses Act, confirming that the delay was valid and unavoidable.
ITAT Chandigarh held that reopening of assessment under section 148 of the Income Tax Act merely on the basis of ‘reasons to suspect’ rather than on ‘reason to believe’ is invalid in the eye of law. Held that passive reliance on third-party intelligence would render the reopening invalid as it reflected merely a ‘reason to suspect’.
The Tribunal ruled that the cross-charged fee for use of third-party software does not qualify as Royalty as the payment is for a copyrighted article and not the transfer of copyright rights. This decision deletes a significant addition, reaffirming that the make available clause in the DTAA was not satisfied.
ITAT Hyderabad held that penalty under section 221(1) of the Income Tax Act duly leviable for non-payment of self-assessment tax even if later it was concluded that there was no tax payable. Accordingly, appeal of revenue allowed.
The case was remanded for fresh adjudication because the lower authorities failed to consider the taxpayer’s claim that a significant Nazarana/fees paid to the Municipal Corporation should be included in the property’s cost. The ITAT directed the AO to verify all factual claims related to the cost of acquisition and the date of agreement for correct valuation under Section 56(2)(vii)(b).
This case addresses the mismatch between Form 26AS receipts and income shown in the P&L account, which led to an addition for suppressed receipts. ITAT Pune allowed the appeal, relying on the SC ruling in TRF Ltd. to confirm that the company’s action of reversing the unrecovered billing as irrecoverable was a legitimate write-off, thus making the addition unjustified.
The ITAT Mumbai quashed reassessment proceedings, declaring the assessment order void ab initio due to critical procedural failures, including the use of a manual DIN and jurisdictional violation of the Faceless Assessment regime. This ruling affirms the mandatory nature of CBDT Circular No. 19/2019 for all tax orders.
Delhi ITAT declared an entire income tax assessment void ab initio because Assessing Officer, who assumed jurisdiction post-transfer, failed to issue mandatory notice under Section 143(2). This ruling confirms that a fresh jurisdictional notice is compulsory for the new AO to validate the assessment proceedings.
The ITAT Kolkata deleted the Rs.10.25 crore addition made under Section 68, ruling that an addition cannot be sustained solely on a survey statement that was subsequently retracted, citing coercion. The court found the loans were genuine, routed through banking channels, supported by evidence, and later repaid with TDS deducted interest.
