The Tribunal held that section 50 merely prescribes a special method for computing gains on depreciable assets and does not convert a long-term capital asset into a short-term capital asset. Consequently, long-term capital losses were permitted to be set off against such gains under section 74.
The ruling clarifies that consignment notes carry legal significance under the Finance Act and Service Tax Rules for determining GTA status. Without such documents, a transporter cannot be subjected to service tax as a Goods Transport Agency.
The Tribunal ruled that the guideline value recorded in a registered document is not conclusive for computing capital gains if the assessee proves that a higher amount was genuinely paid. The decision underscores the importance of substantive evidence over mere recitals in the sale deed.
The Rajasthan High Court held that an order restoring appeals through review proceedings is not separately appealable under the Benami Act. The Court ruled that Order 47 Rule 7 CPC barred such challenges.
The Tribunal found that the authorities below failed to properly apply the principles governing section 80P deductions relating to nominal members, statutory deposits, and co-operative society investments. The matter was remanded for reconsideration in accordance with settled law.
Addition of ₹90 lakh made under section 69A towards alleged cash payment for purchase of property as well as the addition made under section 69C on account of alleged unaccounted purchases was deleted as additions based solely on third-party documents, without independent corroboration or evidence directly linking the transactions to assessee were not sustainable in law.
The Tribunal noted that donations to Swachh Bharat Kosh and Clean Ganga Fund made towards CSR obligations are specifically excluded under section 80G, while no similar embargo exists for other eligible institutions. Consequently, the assessee’s claim for deduction was allowed in full.
Where an EPCG licence holder becomes incapable of fulfilling export obligations due to unavoidable circumstances such as SARFAESI auction of imported assets, levy of interest and penalty cannot be sustained, particularly when customs duty has already been recovered through encashment of bank guarantees. Tribunal upheld only the customs duty demand while setting aside confiscation, interest and penalty.
The Tribunal emphasized that detailed quantitative reconciliation and accepted export realizations carried substantial evidentiary value in the diamond trade. In the absence of discrepancies in stock records or sales, the alleged bogus purchase addition was deleted in full.
The Supreme Court refused anticipatory bail, holding that the High Court had rightly found prima facie material indicating involvement in the alleged liquor syndicate. The Court emphasized that serious corruption allegations warranted an unhindered investigation.
