The Court held that a final GST adjudication order passed within three months of the show cause notice violates Section 73 of the CGST Act. Orders issued without granting the statutory minimum response period were declared unsustainable.
The issue was whether alleged commission on bogus donations could be taxed as unexplained expenditure. The Tribunal held that once the donation amount itself is offered to tax, the source stands explained and Section 69C cannot be invoked.
Silkina Commodeal Pvt. Ltd. Vs ITO (ITAT Kolkata) ITAT Kolkata Deletes ₹21.39 Cr Section 68 Addition—Share Capital & Premium Cannot Be Added Solely for Non-Appearance of Investors The Kolkata Bench of the ITAT allowed the appeal of Silkina Commodeal Pvt. Ltd. for AY 2008-09 and deleted the addition of ₹21.39 crore made under section 68 […]
The issue was whether penalty could be levied despite disclosure of undisclosed income during search. The Tribunal held that when the assessee explains the manner of earning income and pays due tax, no penalty is leviable.
The issue was whether a flat 12.5% disallowance on alleged bogus purchases was justified. The Tribunal ruled that when sales are accepted and books are not rejected, only a lower, reasonable estimation can apply, capping it at 5%.
The Tribunal deleted additions made solely on third-party Excel data after holding that denial of cross-examination of the key witness violated natural justice. The ruling confirms that such denial is fatal where the statement forms the foundation of the addition.
The issue was whether penalty under section 271(1)(c) can be levied when bogus purchases are disallowed on an estimated basis. The Tribunal held that estimation does not establish concealment, making the penalty unsustainable.
The case examined additions made in Section 153C assessments based on third-party search material. The Tribunal ruled that additions cannot stand unless incriminating documents are furnished to the assessee.
The Tribunal held that cash gifts received from relatives covered under section 56(2)(vii) cannot be taxed as unexplained credits. Once identity, creditworthiness, and genuineness are proved, section 68 has no application.
The Tribunal held that Section 87A rebate applies to STCG and LTCG taxed under Sections 111A and 112 when income is within ₹7 lakh. The denial based on system logic and future amendments was rejected.
