ITAT Chandigarh held that initiation of revisionary proceeding under section 263 of the Income Tax Act for non-verification of notional interest cannot be justified since notional interest is not liable to be taxed in current year but is taxable only upon maturity hence there cannot be any evasion of tax.
Tribunal held that a company engaged in diversified IT consultancy and transformation services cannot be compared with a routine software development service provider
The Tribunal held that advances linked to regular business dealings such as sale of timeshare weeks cannot be taxed as deemed dividend, reaffirming that commercial transactions fall outside section 2(22)(e)
NCLAT ruled that commercial borrowing with agreed interest constitutes financial debt even without a formal loan agreement
The issue was whether depreciation on goodwill arising from demerger was wrongly allowed. The Court held that since the Assessing Officer had made due enquiries and taken a plausible view, revision under Section 263 was invalid.
The Tribunal ruled that revising Form 10 during assessment does not invalidate a trust’s accumulation claim when the original form was filed on time. The key takeaway is that revised filings before assessment completion are permissible.
CESTAT held that withholding goods due to a 100-unit model-wise limit was unsustainable where no centralized monitoring existed, and directed provisional release against bond and bank guarantee.
Affirming the High Court, the Supreme Court held that syndicate income assessable in the hands of the AOP cannot be reassessed in members’ hands.
The Tribunal ruled that once the classification was upheld for the importer, penalty on the customs broker could not be sustained. The decision underscores that a resolved classification dispute cannot justify penal action on the agent.
The High Court ruled that Rule 86A does not permit blocking of input tax credit beyond what is available in the electronic credit ledger. Creating a negative balance was held to be without jurisdiction.
