Direct tax Weekly Digest

Weekly Digest #38 24 Sep to 30 Sep 2023 5 Rulings

High Court HC: Employee’s PF contribution allowable since deposited immediately after national holiday

Sep 30, 2023

In Favour of : Assessee
Citation Number : TS-565-HC-2023(DEL)

High Court HC: Holds reassessment notice valid, not time-barred under Sec.149(1); Dismisses review petition

Sep 30, 2023

In Favour of : Revenue
Citation Number : TS-571-HC-2023(DEL)

Income tax Appellate Tribunal ITAT: Rules on treatment of variation in real-estate value & expenditures, post-occupation certificate

Sep 30, 2023

In Favour of : Both, Partially
Citation Number : TS-522-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Rules for TCS on advertisement, brand subscription, 10AA deduction, FTC & others

Sep 30, 2023

In Favour of : Both, Partially
Citation Number : TS-563-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Quashes revision over taxability of receipts as non-compete fee, finds Sec.28(va) inapplicable

Sep 30, 2023

In Favour of : Assessee
Citation Number : TS-570-ITAT-2023(CHNY)

Weekly Digest #37 17 Sep to 23 Sep 2023 5 Rulings

High Court HC: Assessee eligible for VsV settlement despite pending prosecution; Follows Macrotech Developers ruling

Sep 23, 2023

In Favour of : Assessee
Citation Number : TS-552-HC-2023(BOM)

High Court HC: Directs CBDT to decide delay condonation application in filing Form 10-IC

Sep 23, 2023

In Favour of : Assessee
Citation Number : TS-551-HC-2023(CAL)

High Court HC: CIT(A) erred by directing AO for fresh adjudication after deciding in Assessee's favour

Sep 23, 2023

In Favour of : Assessee
Citation Number : TS-537-HC-2023(CAL)

Income tax Appellate Tribunal ITAT: Sec.44ADA inapplicable where Assessee does not satisfy 'notified qualifications' clause

Sep 23, 2023

In Favour of : Assessee
Citation Number : TS-550-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Addition on protective basis cannot survive as substantive addition time-barred

Sep 23, 2023

In Favour of : Assessee
Citation Number : TS-543-ITAT-2023(DEL)

Weekly Digest #36 10 Sep to 16 Sep 2023 5 Rulings

High Court HC: Quashes TDS proceedings where recipient not liable to tax; Reaffirms Mahindra ruling

Sep 16, 2023

In Favour of : Assessee
Citation Number : TS-532-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: Manual assessment order sans DIN ‘non est’; Subsequent DIN intimation violates CBDT Circular

Sep 16, 2023

In Favour of : Assessee
Citation Number : TS-530-ITAT-2023(Kol)

Income tax Appellate Tribunal ITAT: Notifying hearing date on portal not ‘effective service’ under Sec.282; Directs fresh hearing

Sep 16, 2023

In Favour of : Assessee
Citation Number : TS-524-ITAT-2023(CHANDI)

Income tax Appellate Tribunal ITAT: Bonus shares mere capitalisation of reserves, not wealth-altering for shareholder; Sec.56(2)(vii) inapplicable

Sep 16, 2023

In Favour of : Assessee
Citation Number : TS-527-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: TDS on ESOP provision crystallises with exercise of option not when granted

Sep 16, 2023

In Favour of : Assessee
Citation Number : TS-499-ITAT-2023(Mum)

Weekly Digest #35 03 Sep to 09 Sep 2023 5 Rulings

High Court HC: Dismisses writ challenging rejection of Sec.197 application for alternative statutory remedy

Sep 09, 2023

In Favour of : Revenue
Citation Number : TS-504-HC-2023(P & H)

Income tax Appellate Tribunal ITAT: Rental income from land leased out for agricultural purpose qualifies as agriculture income

Sep 09, 2023

In Favour of : Assessee
Citation Number : TS-515-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Sec.80P deduction allowable through belated return as FA 2021 amendment to Sec.143(1)(a)(v) prospective

Sep 09, 2023

In Favour of : Assessee
Citation Number : TS-512-ITAT-2023(PAN)

Income tax Appellate Tribunal ITAT: Restores issue of Nil TDS on 'technical support services' for Airport Authority of India

Sep 09, 2023

In Favour of : Assessee
Citation Number : TS-507-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Bombardier’s offshore supplies non-taxable; Follows consistency & group concern's ruling

Sep 09, 2023

In Favour of : Assessee
Citation Number : TS-517-ITAT-2023(DEL)

Weekly Digest #34 27 Aug to 02 Sep 2023 4 Rulings

Income tax Appellate Tribunal ITAT: Services provided on year-to-year demonstrates 'make available' not satisfied; Rejects FIS taxability

Sep 02, 2023

In Favour of : Assessee
Citation Number : TS-491-ITAT-2023(DEL)

Prohibition of Benami Property Transactions Appellate Tribunal PBPTAT: Sets aside order as alleged benami transaction pertains pre-amendment era; Follow Ganpati Dealcom

Sep 02, 2023

In Favour of : Assessee
Citation Number : TS-493-PBPTAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Interest paid on borrowings allowable against FD income if reasonable nexus exists

Sep 02, 2023

In Favour of : Assessee
Citation Number : TS-494-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Rejects taxability as neither reference made to DVO nor registered valuer's report considered

Sep 02, 2023

In Favour of : Assessee
Citation Number : TS-498-ITAT-2023(Mum)

Weekly Digest #33 20 Aug to 26 Aug 2023 5 Rulings

High Court HC: Quashes Sec.271C penalty order passed after 11 years from completion of assessment

Aug 26, 2023

In Favour of : Assessee
Citation Number : TS-480-HC-2023(DEL)

High Court HC: Directs refund with interest where demand adjusted in haste & contrary to law

Aug 26, 2023

In Favour of : Assessee
Citation Number : TS-472-HC-2023(DEL)

High Court HC: Quashes revision for lacking inquiry & violating natural justice; Imposes Rs.10,000 cost

Aug 26, 2023

In Favour of : Assessee
Citation Number : TS-464-HC-2023(ALL)

High Court HC: Sec.80-IC deduction allowable when granted in initial and subsequent AYs

Aug 26, 2023

In Favour of : Assessee
Citation Number : TS-470-HC-2023(CAL)

Income tax Appellate Tribunal ITAT: Revenue bound to give advance tax credit inadvertently left unclaimed in ITR

Aug 26, 2023

In Favour of : Assessee
Citation Number : TS-474-ITAT-2023(Mum)

Weekly Digest #32 13 Aug to 19 Aug 2023 5 Rulings

High Court HC: Directs refund of invalid TDS demand deposited by Assessee; Imposes Rs.50,000 cost

Aug 19, 2023

In Favour of : Assessee
Citation Number : TS-465-HC-2023(DEL)

High Court HC: Revenue not obliged to grant additional tax-exemption pursuant to BIFR order

Aug 19, 2023

In Favour of : Assessee
Citation Number : TS-450-HC-2023(DEL)

High Court HC: Revisionary jurisdiction not valid merely on PCIT's disagreement with AO's view

Aug 19, 2023

In Favour of : Assessee
Citation Number : TS-461-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: Port rent has direct nexus with running & maintaining port, allowable for Sec.80-IA deduction

Aug 19, 2023

In Favour of : Revenue
Citation Number : TS-451-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Upholds revision as AO failed to apply mind on Sec.43CA safe harbour applicability

Aug 19, 2023

In Favour of : Revenue
Citation Number : TS-462-ITAT-2023(Mum)

Weekly Digest #31 06 Aug to 12 Aug 2023 5 Rulings

High Court HC: Quashes reassessment proceedings against amalgamated entity, follows Maruti Suzuki over Mahagun Realtors

Aug 12, 2023

In Favour of : Assessee
Citation Number : TS-449-HC-2023(GUJ)

High Court HC: Quashes reassessment proceedings as notice based on incorrect facts & conclusion on income escapement

Aug 12, 2023

In Favour of : Assessee
Citation Number : TS-446-HC-2023(BOM)

High Court HC: Reiterates law on Revenue's authority of recording statement on oath during survey

Aug 12, 2023

In Favour of : Assessee
Citation Number : TS-442-HC-2023(DEL)

High Court HC: Depreciation on goodwill allowable arising from approved amalgamation scheme; Follows Smifs Securities

Aug 12, 2023

In Favour of : Assessee
Citation Number : TS-441-HC-2023(DEL)

Income tax Appellate Tribunal ITAT: Reckons holding period of rights in flat from date of allotment, not application

Aug 12, 2023

In Favour of : Both, Partially
Citation Number : TS-436-ITAT-2023(Mum)

Weekly Digest #30 30 Jul to 05 Aug 2023 4 Rulings

High Court HC: Upholds deletion of Sec.40(a)(i) disallowance on commission paid to overseas agent

Aug 05, 2023

In Favour of : Assessee
Citation Number : TS-430-HC-2023(DEL)

High Court HC: Quashes reassessment notice over incorrect invocation of Sec. 50C; Condemns non-application of mind

Jul 29, 2023

In Favour of : Assessee
Citation Number : TS-416-HC-2023(DEL)

Income tax Appellate Tribunal ITAT: Upholds revision since original assessment lacked proper inquiry on sales incentive

Aug 05, 2023

In Favour of : Revenue
Citation Number : TS-425-ITAT-2023(Bang)

Income tax Appellate Tribunal ITAT: Entries in seized books presumed to be correct unless rebutted by Revenue

Aug 05, 2023

In Favour of : Both, Partially
Citation Number : TS-428-ITAT-2023(DEL)

Weekly Digest #29 23 Jul to 29 Jul 2023 4 Rulings

High Court HC: Quashes assessment absent delivery proof of SCN/draft order on Assessee’s email

Jul 29, 2023

In Favour of : Assessee
Citation Number : TS-391-HC-2023(MAD)

High Court HC: Quashes reassessment notice over incorrect invocation of Sec. 50C; Condemns non-application of mind

Jul 29, 2023

In Favour of : Assessee
Citation Number : TS-416-HC-2023(DEL)

High Court HC: Directs re-examination of Assessee's submission on foreign remittances; Sets aside reassessment proceedings

Jul 29, 2023

In Favour of : Assessee
Citation Number : TS-412-HC-2023(DEL)

Income tax Appellate Tribunal ITAT: Allows tax-exemption on enhanced compensation from compulsory 'agricultural land' acquisition

Jul 29, 2023

In Favour of : Assessee
Citation Number : TS-399-ITAT-2023(DEL)

Weekly Digest #28 16 Jul to 22 Jul 2023 5 Rulings

High Court HC: Excess depreciation withdrawn before detection by Revenue, penalty not sustainable

Jul 22, 2023

In Favour of : Assessee
Citation Number : TS-395-HC-2023(GUJ)

High Court HC: Sets aside ITSC's order lacking reason for taxing interest before due date

Jul 22, 2023

In Favour of : Assessee
Citation Number : TS-381-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: CCD 'debt instrument' until conversion into equity; Interest allowable as revenue expenditure

Jul 22, 2023

In Favour of : Assessee
Citation Number : TS-404-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Confirms addition of ‘demonetisation deposit’; Rejects plea of cash gift on marriage

Jul 22, 2023

In Favour of : Revenue
Citation Number : TS-401-ITAT-2023(CHNY)

Income tax Appellate Tribunal ITAT: Disallows marketing expense due to Ind AS 115 & matching concept

Jul 22, 2023

In Favour of : Both, Partially
Citation Number : TS-385-ITAT-2023(Kol)

Weekly Digest #27 09 Jul to 15 Jul 2023 5 Rulings

High Court HC: Rules on nature of subsidy, depreciation on UPS for Nestle India

Jul 15, 2023

In Favour of : Assessee
Citation Number : TS-387-HC-2023(DEL)

High Court HC: Quashes Vedanta’s reassessment notice, basis change of opinion, over nature of expenditure

Jul 15, 2023

In Favour of : Assessee
Citation Number : TS-379-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: Sales promotion expenditure allowability prior to Apex Labs ruling debatable, not rectifiable

Jul 15, 2023

In Favour of : Assessee
Citation Number : TS-377-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: 'Make Available' not satisfied as services provided on continuous basis; Managerial services, not FTS

Jul 15, 2023

In Favour of : Assessee
Citation Number : TS-384-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Revenue failed to dislodge facts established by Assessee; Deletes Sec.68 addition

Jul 15, 2023

In Favour of : Assessee
Citation Number : TS-338-ITAT-2023(DEL)

Weekly Digest #26 02 Jul to 08 Jul 2023 5 Rulings

High Court HC: Reiterates legal position on 'substantial question of law', disputes over facts & circumstances not covered

Jul 08, 2023

In Favour of : Assessee
Citation Number : TS-370-HC-2023(GUJ)

High Court HC: 'Active PAN' no justification to initiate reassessment against deceased person, defect incurable

Jul 08, 2023

In Favour of : Assessee
Citation Number : TS-367-HC-2023(BOM)

High Court HC: Directs release of seized gold where no demand pending against Assessee

Jul 08, 2023

In Favour of : Assessee
Citation Number : TS-366-HC-2023(GUJ)

Income tax Appellate Tribunal ITAT: Directs Revenue to enquire marketing agency for deciding true nature of expenditure

Jul 08, 2023

In Favour of : None/NA
Citation Number : TS-352-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Upholds Sec.143(1) adjustment of Individual's Club Membership Fees as capital expenditure

Jul 08, 2023

In Favour of : Revenue
Citation Number : TS-365-ITAT-2023(Mum)

Weekly Digest #25 25 Jun to 01 Jul 2023 5 Rulings

High Court HC: Quashes reassessment proceedings as Revenue treated purchase of immovable property as sale transaction

Jul 01, 2023

In Favour of : Assessee
Citation Number : TS-353-HC-2023(DEL)

High Court HC: Quashes reassessment proceedings stemming from co-owner’s revisionary order as based on borrowed satisfaction

Jul 01, 2023

In Favour of : Assessee
Citation Number : TS-358-HC-2023(GUJ)

Income tax Appellate Tribunal ITAT: No power with CIT(E) to condone delay in filing of approval for Sec.10(23C)(vi) exemption

Jul 01, 2023

In Favour of : Both, Partially
Citation Number : TS-354-ITAT-2023(RAI)

Income tax Appellate Tribunal ITAT: Hotel management license fees from Four Seasons, not rental but business income

Jul 01, 2023

In Favour of : Assessee
Citation Number : TS-343-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Sustains addition involving transaction with commodity traders for non-fulfilment of Sec.68 prerequisites

Jul 01, 2023

In Favour of : Revenue
Citation Number : TS-342-ITAT-2023(Mum)

Weekly Digest #24 18 Jun to 24 Jun 2023 5 Rulings

High Court HC: Disparity between Sec.148A(d) order & Sec.148A(b) notice, violative of natural justice

Jun 24, 2023

In Favour of : Assessee
Citation Number : TS-334-HC-2023(CAL)

High Court HC: Allows write-off of irrecoverable intra-group advance under Sec.28, citing commercial expediency

Jun 24, 2023

In Favour of : Assessee
Citation Number : TS-329-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: Quashes revision against taxability of interest on enhanced compensation as Capital Gains

Jun 24, 2023

In Favour of : Assessee
Citation Number : TS-332-ITAT-2023(Kol)

Income tax Appellate Tribunal ITAT: Voluntariness no prerequisite for Sec.80G; Directs Revenue to re-verify CSR expenditure claim

Jun 24, 2023

In Favour of : Assessee
Citation Number : TS-340-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Absent income element, no TDS on reimbursement made to NR group co.

Jun 24, 2023

In Favour of : Assessee
Citation Number : TS-324-ITAT-2023(CHNY)

Weekly Digest #23 11 Jun to 17 Jun 2023 5 Rulings

High Court HC: Declines HSBC’s writ challenging reassessment proceedings due to alternative remedy

Jun 17, 2023

In Favour of : Revenue
Citation Number : TS-322-HC-2023(TEL)

Income tax Appellate Tribunal ITAT: Condones 1600 days' delay in appeal-filing, endorses substantial justice over technicalities

Jun 17, 2023

In Favour of : Assessee
Citation Number : TS-319-ITAT-2023(Kol)

Income tax Appellate Tribunal ITAT: Income from sale of land by Statutory Corporation, charitable in nature

Jun 17, 2023

In Favour of : Assessee
Citation Number : TS-314-ITAT-2023(Ahd)

Income tax Appellate Tribunal ITAT: Upholds Sec.68 addition for penny stock gain as Assessee fails to discharge onus

Jun 17, 2023

In Favour of : Revenue
Citation Number : TS-317-ITAT-2023(Ahd)

Income tax Appellate Tribunal ITAT: Deletes Sec.271(1)(c) penalty sans specific charge in SCN; Follows Karnataka HC's Manjunatha ruling

Jun 17, 2023

In Favour of : Assessee
Citation Number : TS-323-ITAT-2023(RAI)

Weekly Digest #22 04 Jun to 10 Jun 2023 4 Rulings

Income tax Appellate Tribunal ITAT: Penalty for late filing return not compensatory in nature, disallowed under Sec.37(1)

Jun 10, 2023

In Favour of : Revenue
Citation Number : TS-306-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Fee for Director's club membership in individual category, allowable business expenditure

Jun 10, 2023

In Favour of : Assessee
Citation Number : TS-305-ITAT-2023(Mum)

Income tax Appellate Tribunal ITAT: Interest on temporary FDs eligible for Sec.10AA exemption; Follows Hewlett Packard ruling

Jun 10, 2023

In Favour of : Assessee
Citation Number : TS-298-ITAT-2023(Bang)

Income tax Appellate Tribunal ITAT: Sec.80-IC claim through ITR, directory; Deduction allowable during assessment proceedings

Jun 10, 2023

In Favour of : Assessee
Citation Number : TS-301-ITAT-2023(DEL)

Weekly Digest #21 28 May to 03 Jun 2023 5 Rulings

High Court HC: Examining prima facie case, balance of convenience & financial stringency mandatory in stay applications

Jun 03, 2023

In Favour of : Assessee
Citation Number : TS-294-HC-2023(JHAR)

High Court HC: Settlement application not maintainable absent reassessment notice issued & expiry of regular assessment timeline

Jun 03, 2023

In Favour of : Revenue
Citation Number : TS-280-HC-2023(DEL)

High Court HC: Quashes reassessment order for denial of hearing over valuation of property; Grants hearing

Jun 03, 2023

In Favour of : Assessee
Citation Number : TS-288-HC-2023(MAD)

Income tax Appellate Tribunal ITAT: Upholds suo motu rectification for disallowing delayed ESI/PF payment, following Checkmate ruling

Jun 03, 2023

In Favour of : Revenue
Citation Number : TS-285-ITAT-2023(PUN)

Income tax Appellate Tribunal ITAT: Following Delhi HC's Brandix ruling, holds assessment order sans DIN as ‘non est’

Jun 03, 2023

In Favour of : Assessee
Citation Number : TS-293-ITAT-2023(DEL)

Weekly Digest #20 21 May to 27 May 2023 5 Rulings

Income tax Appellate Tribunal ITAT: No ad-hoc disallowance of commission expenses, cites similar expenses allowed in preceding AYs

May 27, 2023

In Favour of : Assessee
Citation Number : TS-282-ITAT-2023(Ahd)

Income tax Appellate Tribunal ITAT: Sec.194J applicable on payments to 'consultant' doctors; Sec.192 inapplicable absent employee-employer relationship

May 27, 2023

In Favour of : Assessee
Citation Number : TS-270-ITAT-2023(CHNY)

Income tax Appellate Tribunal ITAT: Denies Sec.11 exemption for Form 10B delay where no condonation application preferred

May 27, 2023

In Favour of : Assessee
Citation Number : TS-273-ITAT-2023(RAI)

Income tax Appellate Tribunal ITAT: No TDS liability on year-end provisions, reversed in subsequent AY, absent payee-identification

May 27, 2023

In Favour of : Assessee
Citation Number : TS-275-ITAT-2023(DEL)

Income tax Appellate Tribunal ITAT: Commission agent's bona fide belief of Sec.44AB non-applicability, justifiable for deleting Sec.271B penalty

May 27, 2023

In Favour of : Assessee
Citation Number : TS-276-ITAT-2023(DEL)

Weekly Digest #19 14 May to 20 May 2023 5 Rulings

High Court HC: Expounds on scope of writ powers vis-a-vis reassessment proceedings while dismissing Assessee's petition

May 20, 2023

In Favour of : Revenue
Citation Number : TS-263-HC-2023(ALL)

High Court HC: Rejects case transfer in absence of cogent material evidencing connection with searched entity

May 20, 2023

In Favour of : Assessee
Citation Number : TS-237-HC-2023(BOM)

Income tax Appellate Tribunal ITAT: Denies Sec.80P deduction to co-operative society on FD interest from co-op bank

May 20, 2023

In Favour of : Assessee
Citation Number : TS-255-ITAT-2023(Bang)

Income tax Appellate Tribunal ITAT: Assessment order passed on non-existent entity, illegal; Follows Maruti Suzuki over Mahagun Realtors

May 20, 2023

In Favour of : Assessee
Citation Number : TS-262-ITAT-2023(PUN)

Income tax Appellate Tribunal ITAT: Delay in employees' PF remittance 'indicated' in Form-3CD, sufficient for Sec.143(1) adjustment

May 20, 2023

In Favour of : Revenue
Citation Number : TS-265-ITAT-2023(Kol)