The Income Tax Department acknowledged incorrect ‘significant transaction’ details in some advance tax reminder emails. Taxpayers are advised to ignore the earlier communication and verify details on the Compliance Portal.
A new amendment effective from January 2026 limits GST interest to the unpaid portion of tax after considering ITC and minimum cash ledger balance. The change significantly reduces the interest burden for taxpayers.
GSTN clarified that from February 2026 taxpayers must confirm the auto-populated “Tax Liability Breakup” in GSTR-3B before filing the return, even though a system issue currently requires confirmation in all cases.
The Court held that seizure of ₹1 crore in cash during GST searches was unlawful because authorities failed to record “reason to believe” as required under Section 67(2) of the CGST Act.
Authorities rejected several name reservation applications because they were phonetically or structurally similar to existing entities. The guidance emphasizes selecting unique names and complying with Companies Act naming rules.
Courts have held that lump-sum alimony received under a divorce settlement is a capital receipt outside the scope of taxable income. However, periodic maintenance payments remain taxable in the recipient’s hands.
The Karnataka High Court held that non-submission of LUT/Bond prior to export is a curable procedural lapse. Refund claims cannot be rejected solely on that ground and must be reconsidered.
ITAT Chennai held that where unaccounted purchases are found and the corresponding sales are not doubted, only the profit element embedded in such purchases can be brought to tax, and not the entire purchase value. Accordingly, addition towards unaccounted purchases duly restricted.
ITAT Delhi held that gift of a property to wife specially when she is a co-sharer in the property cannot be considered to be a colourable device and camouflage transaction to taint claim of Section 54F of the Income Tax Act. Accordingly, deduction u/s. 54F erroneously disallowed.
The Income-tax Act, 2025 introduces Form 141 to replace Form 26QB from April 2026. The change aims to reduce reporting mistakes and simplify TDS compliance in property transactions.
