HC: Sec 143(2) notice not mandatory for assessments in search cases u/s 153A

Notice u/s 143(2) not a mandatory requirement for completing assessment u/s 153A in cases of search or requisition; SC decision in 'Hotel Blue Moon' distinguished: Delhi HC 

Jul 29,2011

HC:  Cost allocation using hybrid criteria not appropriate

Allocation of common expenses using employee head-count ratio more appropriate instead of hybrid criteria of different methods: Delhi HC 

Jul 29,2011

HC: Pre FY08, no 'suo motto' powers to AO to extend special audit time limit

Pre FY 2008, suo motto extension of time limit by AO for submission of special audit report u/s 142(2A) invalid; consequent assessment order barred by limitation  

Jul 28,2011

HC: Co-operative bank eligible for deduction u/s 80P on Interest on advance rent

Interest on 'advance rent' received by co-operative bank taxbale as business income; Eligible for deduction under section 80P

Jul 27,2011

HC: Sec 115H benefit only if direct nexus with foreign exchange asset

Interest earned by re-investing bank interest not eligible for  concessional tax rate u/s 115H; interest not 'derived from' foreign exchange asset: Madras HC  

Jul 26,2011

HC: Post ‘Azadi Bachao’, McDowell not good law

Depreciation allowed on sale & lease back transaction; genuineness of the transaction not to be questioned merely because assessee derives tax benefit: Delhi HC 

Jul 25,2011

HC: AAR not mandated to hear IT Dept, record reasons while admitting application

AAR not required to provide opportunity of hearing to IT Department while admitting application; recording of reasons for admission not necessary:  

Jul 22,2011

HC: Remuneration to director 'reasonable' considering legitimate business needs

Remuneration to director held as 'reasonable' in view of legitimate business needs, no disallowance u/s 40A(2)

Jul 22,2011

HC: Single appeal to HC against multiple orders maintainable

Single appeal against consolidated judgement in case of multiple orders maintainable

Jul 22,2011

HC: Reassessment invalid as overseas transfer and change in shareholding disclosed

Change in shareholding due to overseas indirect transfer disclosed during assessment; Reassessment after 4 years to deny loss carry forward u/s 79 invalid

Jul 21,2011