HC: Explanation to Sec 73 not applicable to derivative transactions; Allows loss set off

Madras HC upholds ITAT order, allows set-off of loss incurred by assessee-company (having main business of jewellery) from trading in derivative transactions through Multi Commodity Stock Exchange (‘MCX’), against other

Apr 18,2018

HC: Denies Sec. 80IA deduction to assessee 'maintaining' power plant owned by another entity

Madras HC dismisses assessee-company’s appeal for AY 2002-03, upholds denial of Sec. 80IA deduction (available to entities engaged in generation or generation and distribution of power) as assessee not owner

Apr 16,2018

HC: Books rejection u/s 145 does not automatically lead to penalty-proceedings, absent independent findings

Allahabad HC upholds ITAT order and deletes penalty u/s 271(1)(c) levied on assessee- company (engaged in business of electrical items) during AY 2009-10, rules that rejection of books of account

Apr 14,2018

HC: Deemed dividend u/s 2(22)(e) not attracted in absence of ‘actual’ payment

Allahabad HC dismisses Revenue’s appeal, holds that the provision of Sec. 2(22)(e) can never be attracted in “absence of satisfaction of statutory precondition of "payment" of "any sum", to the

Apr 14,2018

HC: No re-opening u/s. 147/148 to re-consider Sec. 80-IC deduction claim subjected to 'regular assessment' enquiry

Bombay HC upholds ITAT’s order , rules that re-opening by AO for disallowing deduction u/s 80-IC on 'other income' was change of opinion as Sec. 80-IC deduction claim was  the

Apr 14,2018

HC: Disclosure of recovery effort in show-cause notice to delinquent Pvt Co's director mandatory

Bombay HC quashes order u/s 179 holding petitioner director liable for unpaid taxes of AY 2011-12 for a delinquent private limited company (of which it was director till 2013) absent

Apr 13,2018

HC: Processing iron-ore in plant outside EOU, doesn’t disentitle Sec. 10B deduction to mining co.

Karnataka HC upholds ITAT order,  allows Sec. 10B deduction to a mining company (‘assessee’) on profits derived from export of iron ore, despite iron-ore processed in a plant located outside

Apr 12,2018

HC: Grants Sec. 10(23C) exemption, franchisee fees from satellite schools incidental to ‘educational purpose’

Delhi HC holds the Delhi Public School Society (‘assessee’) running 11 schools and over 100 satellite schools is entitled to exemption u/s. 10(23C)(vi); Rejects Revenue's stand that receipt of franchisee fee from

Apr 11,2018

HC: Denies housing-project deduction, filling/levelling of earth started prior to 'specified date'

Allahabad HC reverses ITAT order and rules in favour of Revenue, denies deduction u/s. 80IA(5) / 80IB(10) to assessee-company (engaged in building and construction activities), as the filling and levelling

Apr 11,2018

HC: Sustains attachment on immovable property sold by tax-defaulter after serving demand notice

Madras HC refuses to lift attachment on immovable property purchased by petitioner from a tax defaulter, noting that demand notice under Rule 2 of second schedule (as mandated u/s. 281)

Apr 10,2018