Income Tax : Understand Sections 234A, 234B, 234C, and 234D of the Income Tax Act covering interest on late filing, short payment, delayed adva...
Income Tax : Understand how interest under the Income Tax Act is calculated, including Sections 234A–234D, 244A, and Rule 119A mechanics for ...
Income Tax : Due to any reason, in case the income tax department makes an excess refund to the taxpayer. Such taxpayer will have to return the...
Income Tax : Section 234D in Income Tax Act, 1961 was introduced in the act to cover those situations where the refund was issued to the assess...
Income Tax : The Tribunal allowed deduction of royalty paid for use of a logo, noting that no specific defect was found in the supporting evide...
Income Tax : Tribunal ruled that share transactions cannot be treated as loans without proof of exceptional circumstances. Notional interest ad...
Income Tax : ITAT held that where interest-free funds exceed advances, a presumption arises that such advances are made from own funds. Disallo...
Income Tax : The Tribunal ruled that section 44ADA applies only to specified professions and cannot be invoked for business income covered unde...
Income Tax : Tribunal directed allocation of common head-office expenses (and common income) to eligible industrial undertakings when computing...
The decision highlights that additions under Section 153C cannot stand when based only on third-party statements without seized material linking the assessee. The ruling stresses the need for concrete evidence before treating purchases as non-genuine.
ITAT Delhi restored the appeal to CIT(A) after the assessee challenged notice issuance beyond limitation and under wrong section. Key takeaway: adherence to correct procedure is crucial in income tax assessments.
ITAT Delhi remitted a case where CIT(A) upheld additions without examining available evidence. The ruling reinforces that authorities must fully consider documents and explanations before confirming unexplained investments.
Tribunal held that tax authorities erred in invoking Article 24A to deny capital gains exemption under Article 13(4A) without first satisfying preconditions of economic substance. The decision underscores that anti-abuse provisions cannot override bona fide investments made before 2017.
Since Netflix India functioned solely as a limited-risk distributor of access, not as a licensee of content or technology, therfore, TNMM benchmarking was accepted, and the royalty-based TP adjustment of ₹444.93 crores was unsustainable.
The Tribunal rejected the Revenue’s appeal against deletion of a ₹63.84 lakh addition under Section 68, observing that the assessee had already declared the same transactions as sales in audited accounts. Citing CIT v. Vishal Exports Overseas Ltd., it held that taxing such income again would lead to double taxation. The order reinforces that genuine recorded transactions cannot be recharacterized as unexplained cash credits.
The ITAT Mumbai ruled that payments received by a Singapore company from its Indian affiliate for Regional Service Agreement (RSA) support are not taxable as royalty under Section 9(1)(vi) or the DTAA. The Tribunal held that applying expertise for managerial and administrative services on a cost-sharing basis is a service, not the transfer of know-how.
Understand Sections 234A, 234B, 234C, and 234D of the Income Tax Act covering interest on late filing, short payment, delayed advance tax, and excess refunds, including rates, calculation, and applicable periods.
The ITAT deleted transfer pricing adjustments for Advertisement, Marketing, and Sales Promotion (AMP) expenses, confirming no international transaction existed with the AE. The ruling held that the Bright Line Test (BLT) is invalid and that since the entity-level TNMM was accepted, no separate AMP adjustment was permissible.
Understand how interest under the Income Tax Act is calculated, including Sections 234A–234D, 244A, and Rule 119A mechanics for taxpayers.
