HC: Interest on mobilization advance to contractors, a capital receipt; Dissents from co-ordinate bench

Kerala HC reverses ITAT order, rules that interest received by assessee (engaged in construction of roads / bridges) on mobilization advance made to contractors to ensure smooth commencement and completion

Jul 27,2018

HC: Directs AO to consider assessee’s claim u/s 80HHC when SC had nullified retrospective amendment to 80HHC(3)

Kerala HC directs ACIT to consider assessee’s claim of deduction u/s 80HHC where the retrospective amendment to Sec. 80HHC(3) was nullified by Gujarat HC and SC refused to interfere on

Jul 27,2018

HC: Confirms Sec 68 addition for gift from father-in-law despite receipt through banking channels

Andhra Pradesh and Telangana HC confirms ITAT order to uphold Sec 68 addition for gifts received by assessee-invidual from his father-in-law for AY 2005-06, rejects assessee's reliance on co-ordinate bench

Jul 27,2018

HC: Putting mushroom powder into capsule amounts to 'manufacture', grants Sec 80-IB benefit.

Madras HC reverses ITAT order for AYs 2003-04 & 2004-05, holds that the process of putting mushroom powder into capsule amounts to manufacture or production eligible for deduction u/s 80IB;

Jul 26,2018

HC: Weighs favourable 2G judgment vis-a-vis 'illustrative' CBDT instruction, directs re-consideration of Kalaignar TV's stay-plea

Madras HC sets aside CIT’s order directing Kaliagnar TV (‘assessee’) to pay 20% demand as a condition precedent for staying demand of approx. Rs. 90 cr for AYs 2009-10 and

Jul 25,2018

HC: Distinguishes ‘de facto’ vs. ‘de jure’ possession; No ‘transfer’ despite parting possession to developer

Calcutta HC upholds ITAT order, rejects Revenue’s stand that since possession of land owned by assessee-company was made over to developer pursuant to development agreement (‘DA’) dated February, 2007, capital

Jul 25,2018

HC: Applies Sec 145A retrospectively; Closing stock valuation to include excise duty paid / payable

Allahabad HC reverses ITAT order and rules in favour of Revenue for AY 1997-98, upholds AO’s addition of excise duty payable to the value of closing stock; Rejects ITAT’s view

Jul 24,2018

HC: Cites "quest for truth", upholds enquiry into Fidelity's 'abnormally' high buy-back price

Karnataka HC dismisses assessee’s (a Fidelity group co. based in India) appeal, holds that ITAT was within its jurisdiction in directing examination of fair market value (‘FMV’) of shares bought back

Jul 23,2018

HC: Quashes ITAT’s ‘unreasoned’ order consolidating appeals absent notice to assessee

Delhi HC allows assessee-company’s writ, quashes ITAT’s unreasoned order consolidating appeals absent any notice given to assessee before issuing the consolidation order; HC notes that all these appeals preferred by

Jul 23,2018

HC: Disallows director’s son higher education expenditure, absent nexus with business.

Bombay HC disallows assessee-company’s (engaged in manufacturing copper foils) claim of expenditure incurred on higher education of one of the director’s son during AY 1997-98 who went abroad for pursuing

Jul 20,2018