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...
This ruling underscores the mandatory requirement for incriminating material to sustain additions in a Section 153C search assessment, leading to the deletion of a major bogus Long-Term Capital Gains (LTCG) addition. Furthermore, the ITAT confirmed that a partnership firm’s investment and income cannot be attributed to an individual partner, securing significant tax relief.
The ITAT ruled that seized parallel Tally data, reflecting higher sales and income, constitutes reliable incriminating material, validating assessments made under Section 153A. The tribunal sustained additions for higher gross profit and unexplained credits after the taxpayer failed to disprove the parallel records’ accuracy, reinforcing the presumption under Section 292C.
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.
ITAT Jabalpur dismissed the Revenue’s appeal regarding the eligibility of Section 80P deduction for a co-operative society’s Business Correspondent income, citing the CBDT’s revised monetary limit for appeals.
The Revenue argued that interest income from an Associated Enterprise (AE) should be taxed at the Maximum Marginal Rate MMR by invoking Article 12(6) of the DTAA} (PE exclusion). The Tribunal upheld the 15% DTAA rate, confirming that since the assessee has no PE in India, the exclusionary clause 12(6) does not apply, and the interest is a debt-claim under Article 12(4).
ITAT Bangalore partially allowed Shobha Sundar Babu’s appeal, admitting new loan documents obtained via Karnataka High Court order and remanding the Rs. 53,09,817/− deduction claim under Section 24(b) to the AO for fresh verification.
Ahmedabad ITAT rules in Naman Vidyapati Patel Vs PCIT that the cancellation of a land deal and refund of received amounts, even post-search, negated the claim of unaccounted income, quashing the PCIT’s revision order under Section 263.
Description: The CIT(A) failed to adjudicate the core dispute of 2.46 crore bogus purchase disallowance, despite detailed submissions, due to a clerical error in the grounds of appeal. The ITAT ruled that this failure violated natural justice, set aside the appellate order, and remanded the matter to the Assessing Officer for fresh, proper verification and adjudication.
The AO virtually passed an ex parte order regarding a70 lakh addition, ignoring the assessee’s detailed submissions and denying a proper opportunity. The ITAT upheld the CIT(A)’s decision to set aside the assessment and remand the matter for a fresh adjudication, confirming that violations of natural justice necessitate a proper de novo inquiry.
The ITAT deleted the entire Rs.3.94 crore Transfer Pricing (TP) adjustment, ruling that three companies involved in product development, distribution, and proprietary software (Kellton, Magnasoft, Interglobe) were functionally dissimilar to a captive software service provider.2 The Tribunal held that excluding these companies brought the assessees margin of within the Arms Length Price (ALP) range.
