SC: Follows 5-judge ruling, Interest on tax payment default mandatory but waiver permissible

Levy of interest u/s 234A and 234B for default in tax payments mandatory in nature; AO need not ‘specifically recite’ initiation of penalty proceedings in assessment order; 5-Judge ruling in

Sep 11,2012

SC: Closing stock not source of profits; Excise duty thereon not income 

Valuation of closing stock important for determining trading results; Trading account should reflect only actual profit / loss; Excise duty on unsold goods not to form part of value of

Sep 11,2012

SC: Immunity from penalty upon search available despite late payment of taxes 

Immunity from penalty on income unearthed during search available once concealment admitted u/s 132(4), despite assessee's failure to pay tax on or before due date of filing return; Immunity available

Sep 11,2012

SC: Cash discount on bulk purchases not 'commission/ brokerage'; no TDS u/s 194H 

Cash discount given to licensed stamp vendors is not in the nature of commission / brokerage; Transaction found to be of bulk "purchase" of stamps; TDS u/s 194H not applicable 

Sep 11,2012

SC: Dismisses SLP against HC ruling quashing 'cryptic' Settlement Commission order

SC dismisses SLP against Delhi HC ruling in Godwin Steels; Delhi HC quashed Settlement Commission's order that ignored serious objections taken by CIT; HC concluded that Commission should act independently

Sep 08,2012

SC: Upholds denial of Sec 80-IA deduction absent separate accounts for manufacturing / trading

Assessee engaged in manufacturing of yarn and sale of raw material; Assessee did not maintain separate accounts for sale of raw material and income derived from manufacturing; Thus, not entitled

Sep 07,2012

SC: Dismisses Revenue's appeal, cites "vagueness" of assessment 

Revenue appeal dismissed and question of law left open; cites "vagueness" on account of various infirmities in assessment

Sep 03,2012

SC: Remits Sec 14A issue in RKBK to HC, says HC didn't interpret 14A 

SC remits issue of Sec 14A applicability back to Calcutta HC in the case of RKBK Fiscal Services; Despite absence of any Calcutta HC judgment on Sec 14A, HC merely

Aug 28,2012

SC: SC's Sandvik ruling on 'Equity' based interest incorrect, deserves reconsideration 

Interest was ordered in Sandvik Asia ruling out of 'equity'; Sec 214 of the Income Tax Act does not provide for payment of compensation by Revenue on refund order; Sandvik

Aug 28,2012

SC: Allows depreciation on goodwill, being an intangible asset 

Goodwill arising in amalgamation amounts to intangible asset and eligible for depreciation; Applying principle of ejusdem generis, Goodwill is in the nature of "any other business or commercial right of

Aug 26,2012