Tribunal holds that reasonableness under Section 40A(2)(b) must be benchmarked against prevailing market rates for unsecured loans, not against lower-risk secured bank rates.
ITAT Ahmedabad upholds PCIT’s Section 263 order, ruling that tax depreciation must comply with Explanation 10 to Section 43(1) and ICDS-VII. Unadjusted Government grants must reduce WDV, regardless of prior acceptance.
ITAT Delhi ruled on the unexplained cash deposit addition in Jitendra Singh Vs ITO (AY 2015-16). The Tribunal accepted the assessee’s explanation that the Rs.13
The ITAT Pune ruled that a penalty notice under Section 271(1)(c) must clearly specify the exact charge—concealment or inaccurate particulars.
Club income not taxable if mutuality is proven: ITAT directs re-verification of cash deposits and identity of contributors/beneficiaries, setting aside an assessment based on the estimated 10% income addition.
ITAT Bangalore deleted a Rs.34.50 lakh addition u/s 69A, accepting the exporter’s explanation that cash deposits during demonetization were genuine customer advances for flowers, which were fully disclosed.
Bangalore ITAT condones 98-day delay and restores penalty appeals u/s 271D/271E, directing CIT(A) to re-examine the genuine nature of cash received and repaid to a paternal uncle for education.
Delhi High Court set aside a Rs.20 Cr GST demand, holding that ITC refund on exports cannot be denied if total foreign exchange proceeds are realized, even if FIRCs don’t match invoices transaction-by-transaction.
Delhi ITAT quashes the assessment for AY 2017-18, ruling that the AO who framed the order lacked jurisdiction because the mandatory Section 143(2) notice was issued by a different, non-jurisdictional authority. Defect is fatal and incurable.
In a trading business case, the ITAT confirmed that income estimation must be fair and reasonable. Due to the lack of cogent material from the Department to support an 8% NP rate, the Tribunal intervened to fix the rate at 4%.
