Yearly Archive: 2020

AO to adopt the value of the property for the purpose of section 50C of the Act for computing capital gains as on the date of execution of agreement to sale, but not as on the date of sale deed reason being that the assessee received the part consideration by an account payee cheque on or before the date of the agreement for transfer: ITAT VISHAKAPATNAM on Mar 11, 2020

AO to adopt the value of the property for the purpose of section 50C of the Act for computing capital gains as on the date of execution of agreement to sale, but not as on the date of sale deed…
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50C, 50C proviso 1st, 50C proviso 2nd, AY 2015-16, In Favour of Assessee, VISAKHAPATNAM BENCH

दिल्ली ट्रिब्यूनल ने 28 मार्च 2020 को फैसला दिया है कि धारा 205 के अनुसार अगर करदाता टीडीएस कट जाने का प्रूफ दे देता है तो उस टीडीएस की रिकवरी कर निर्धारण अधिकारी करदाता से इस आधार पर नहीं कर सकता टीडीएस काटने वाले ने के लिए जमा नहीं कराया। धारा 201 के अनुसार आयकर विभाग के पास समुचित अधिकार है जिसने टीडीएस काटा है उस से रिकवरी कर ली जाए

दिल्ली ट्रिब्यूनल ने 28 मार्च 2020 को फैसला दिया है कि धारा 205 के अनुसार अगर करदाता टीडीएस कट जाने का प्रूफ दे देता है तो उस टीडीएस की रिकवरी कर निर्धारण अधिकारी करदाता से इस आधार पर नहीं कर…
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195, 201, 205, AY 2015-16, Decisions, Delhi, Delhi Tribunal, In Favour of Assessee

Activity of the assessee are primarily motivated with the objective of promoting ‎handloom sector in India and said activity are not for gain or profit of an individual. The ‎executive committee of the Society also consist of all government officials with no motive ‎of profit sharing or personal interest. The member subscription is received by the assessee ‎in proportion of the supply by the agency and the rate decided. The said subscription fee ‎received cannot be equated with the cess or fee against services rendered. The AO is not ‎justified in holding that provision to section 2(15) will be attracted in the case of the ‎assessee and therefore qualifies for exemption under section 11. ‎

Activity of the assessee are primarily motivated with the objective of promoting handloom sector in India and said activity are not for gain or profit of an individual. The executive committee of the Society also consist of all government officials…
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11, 12A, 12AA, AY 2012-13, Delhi Tribunal, In Favour of Assessee

ITAT AHMEDABAD held on Mar 2, 2020 that when assessee has not made ‎any claim for exemption of any income from the payment of tax, therefore, there ‎cannot be any disallowance u/s.14A of the Act

ITAT AHMEDABAD held on Mar 2, 2020 that when assessee has not made any claim for exemption of any income from the payment of tax, therefore, there cannot be any disallowance u/s.14A of the Act SHRAVANKUMAR GISULAL JAIN vs….
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14A, Ahmedabad Tribunal, AY 2012-13, In Favour of Assessee

ITAT Ahmedabad held on 6.1.2020 that the provisions of section 68 cannot be ‎applied in relation to the sales receipt as the sales receipt has already been shown in ‎the books of accounts as income at the time of sale only particularly when the ‎purchases have been accepted, then the corresponding sales cannot be disturbed ‎without giving any conclusive evidence/finding. No addition can be made on this ‎ground.‎

The provisions of section 68 cannot be applied in relation to the sales receipt as the sales receipt has already been shown in the books of accounts as income at the time of sale only particularly when the purchases have been accepted,…
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68, Ahmedabad Tribunal, AY 1995-96, In Favour of Assessee

ITAT AHMEDABAD on Mar 11, 2020 held that 148 Notice issed in ‎the name of dead person. One legal representative participated ‎in proceedings. Raised objection 1st time in appeal. It is ‎procedural mistake rectificable 292B to frame assessment in the ‎name of all legal heirs as per the provisions of law after issue of ‎notice u/s 148 to all legal representatives.‎

Notice under section 148 of the Act, was issued in the name of the dead person and framed the assessment in the name of a legal representative who participated in proceedings. The such legal representative never raised any question about…
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147, 148, 292B, Ahmedabad Tribunal, AY 2012-13

ITAT CHENNAI held on Mar 13, 2020 Disallowance of interest is valid when out of borrowed ‎funds the assessee advanced interest free loan to subsidiary concern without commercial ‎expediency. ‎

ITAT CHENNAI held on Mar 13, 2020 Disallowance of interest is valid when out of borrowed funds the assessee advanced interest free loan to subsidiary concern without establishing commercial expediency. RAJKHAM BUILDERS PVT LTD. vs. INCOME TAX OFFICER IN THE…
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AY 2015-16, CHENNAI ITAT, In favour of Revenue

Unless the bad debt is written off by debiting to the P&L account and the debtors’ account should be credited, the condition as contemplated u/s. 36(1)(vii) is not satisfied. judgment of the Supreme Court in the case of Vijaya Bank Ltd. (supra) relied on by the assessee’s Counsel applies mainly to Banking companies Regarding allowability of Provision for bad debts. No infirmity was found in exercising power u/s 263 by CIT

Unless the bad debt is written off by debiting to the P&L account and the debtors’ account should be credited, the condition as contemplated u/s. 36(1)(vii) is not satisfied. judgment of the Supreme Court in the case of Vijaya Bank…
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143(3), 263-Revision of orders prejudicial to revenue, 36(1)(vii), AY 2014-15, In favour of Revenue, ITAT COCHIN ‎

ITAT BOMBAY on 13 March, 2020 hold that it is settled position of law that penalty u/s271(1)(c) cannot be levied when the additions as made by the AO was a pure estimate and nothing concrete as to bogus purchases were brought on records by the AO by making any further enquiries or investigation though the assessee failed to prove the genuineness of the alleged bogus purchases from the Hawala. ITO vs. PREMKUMAR SHEHGAL

ITAT BOMBAY on 13 March, 2020 hold that it is settled position of law that penalty u/s271(1)(c) cannot be levied when the additions as made by the AO was a pure estimate and nothing concrete as to bogus purchases were…
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271(1)(c), AY 2009-10, In Favour of Assessee, ITAT Mumbai

No Penalty 271(1)(c) ITAT Chandigarh held that since the income has already been declared in the valid ‎revised return (though after service of Summons issued by ADIT (inv.)) filed within the ‎limitation period prescribed for filing the same therefore, the penalty u/s 271(1)(c) in ‎respect of the aforesaid income declared is not leviable and the same is accordingly ‎ordered to be deleted. Penalty u/s 271AAC can be levied only when there is an addition ‎or disallowance and which it is deemed that he has evaded the payment of tax for ‎computing the penalty so leviable. ‎ Smt. Parkash Kaur, Ludhiana vs ACIT

ITAT Chandigarh held that since the income has already been declared in the valid revised return (though after service of Summons issued by ADIT (inv.)) filed within the limitation period prescribed for filing the same therefore, the penalty u/s 271AAC…
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271(1)(c), 271AAC, AY 2014-15, Chandigarh ITAT, In Favour of Assessee