ITAT: Gains on mortgaged-property sale, though received by Bank, not income-diversion for taxpayer

Chennai ITAT rules that gains arising on sale of mortgaged property, taxable as capital gains in assessee’s hands despite sale-consideration received by bank for AY 2009-10; ITAT notes that the

Mar 24,2017

ITAT: NBFC's statutory fund transfer, not diversion of income, denies deduction

Chennai ITAT denies assessee's (an NBFC) claim of deduction with respect to 20% profits transferred to Statutory Reserve fund (as mandated by Sec. 45-IC of the Reserve Bank of India

Mar 24,2017

ITAT: No Sec 194C TDS on Sugar manufacturing company’s payment to contractors on farmers’ behalf

Visakhapatnam ITAT rules that payment to contractors by assessee (a sugar manufacturing company), on  behalf of farmers,  for harvesting and transporting sugarcane from farmer’s field to its factory, not subject

Mar 24,2017

ITAT: PE's interest-expense to UK bank-HO not deductible; Distinguishes Sumitomo and ABN rulings

Delhi ITAT rules against Standard Chartered Bank (a UK-based bank), denies deduction for Rs 24.8 crore interest paid by the Indian branch [i.e. permanent establishment (PE)] on foreign currency loan availed

Mar 23,2017

ITAT: Reebok’s ‘Rights-fee’ payment to ICC granting advertising, marketing rights, not royalty

Delhi ITAT holds that ‘Rights fee’ payment to International Cricket Council (ICC) [a resident of British Virgin Islands] by Reebok India (‘assessee’), not royalty u/s 9(1)(vi) of the Act for

Mar 23,2017

ITAT: Blesses share buyback from Mauritian parent, but adds 'fair-value' rider & AO's intervention

Bangalore ITAT rules that share buy-back payment by assessee (Indian subsidiary) to its 99% Mauritian holding company  to the extent of Fair market price (‘FMP’), not a colourable device  and

Mar 22,2017

ITAT: Upholds SRK’s 'doosra' arrangement with KKR to offset Star’s KBC loss

Mumbai ITAT allows Rs. 10 crores expense deduction u/s. 37 to Shah Rukh Khan (‘assessee’) with respect to payment made to Knight Riders Sports Pvt. Ltd. for obtaining sponsorship rights for IPL Season

Mar 21,2017

ITAT: Co-operative society not ‘person’ u/s 2(31) pre-2002 amendment; rejects assessment as AOP

Delhi ITAT holds that income arising to assessee (a co-operative housing society governed by the principle of mutuality), not taxable for AYs 1999-00 to 2001-02, as assessee not a  ‘person’

Mar 17,2017

ITAT: Unaccounted income masked as share application money triggers addition u/s.68

Ahmedabad ITAT upholds addition u/s 68 on assessee-company (a manufacturer of industrial oil) with respect to unexplained share application money for AY 2002-03; Rejects assessee’s stand that since it provided

Mar 16,2017

ITAT: Performs balancing act on Rs.1900 Cr. Dept demand; Recognises "March" factor, relaxes alternate-remedy rigour

Ahmedabad ITAT dismisses assessee’s (a Pharmaceutical Company) stay petition on collection of income tax demands aggregating to Rs. 1954.93 crores for AY 2012-13, restores the matter to Pr. CIT’s file; Notes that assessee had

Mar 16,2017