high court ruling (income tax)m/s pentasoft technologies ltd vs dcit (dated : november 25, 2013)...

HIGH COURT RULING (INCOME TAX)

2014-TIOL-125-HC-DEL-IT

Central Warehousing Corporation Vs CIT (Dated : January 22, 2014)

Income Tax - Sections 10(29), 143(3), 147, 148 - Warehousing - storage - Whether the reasons to believe that constitute a change of opinion is essentially for discussion in every case where the assessee challenges the notice under Section 148 .

2014-TIOL-124-HC-ALL-IT

CIT Vs Sri Ram Kishan Gupta (Dated : January 20, 2014)

Income Tax - Sections 24(1), 43(5)(c), 73(1), 260A - non-delivery based transactions - forward trading - jobbing - Whether in case assessee is not able to give evidence of delivery of the scripts, it can be held that loss incurred by the assessee is not speculative - Whether actual delivery of goods includes constructive and symbolical delivery also for the purpose of deciding speculative nature of transactions - Whether losses suffered on account of non-delivery transactions can be considered as speculative losses - Whether the share trading business carried on behalf of oneself is known as jobbing - Whether an assessee is entitled for the extension of the benefit of proviso (c) to Section 43(5) in respect of such jobbing transactions.

2014-TIOL-123-HC-AHM-IT

CIT Vs Pinakin H Rajyaguru (Dated : January 17, 2014)

Income Tax - supression of income - superfluous addition - Whether in case, an assessee has clearly established its bonafide by giving appropriate explanation during appeal, addition in the income returned can be made - Whether addition in income returned has to be made in case there is a difference between the amount of receipts recorded in the books from that of amount shown in Form No. 16A.


CIT Vs Jafari Momin Vikas Co-Op Credit Society Ltd (Dated : January 15, 2014)

Income Tax - Sections 2(24) (viia), 80P(2)(a)(i), 80P(4), CBDT circular No.133 of 2007 - credit facilities - member - Whether deduction u/s 80P(2)(a)(i) can be allowed to the assessee society even though it is covered u/s 80P(4) r.w.s 2(24) (viia) being income from providing credit facilities carried on by a co-operative society with its member .

2014-TIOL-118-HC-MAD-IT

CIT Vs M/s Brakes India Ltd (Dated : January 6, 2014)

Income Tax - Sections 10A , 80HHC, 80IA, 154, 244A - sales tax collections - Whether interest on interest is payable under the provisions of Act alongwith the interest on refund payable u/s 244A - Whether deduction claimed u/s 80IA can be reduced, in case assessee had not considered allocation of certain expenditure while computing deduction.

2014-TIOL-117-HC-JHARKHAND-IT

Sri Sanjay Rungta Vs CIT (Dated : January 16, 2014)

Income Tax - Sections 132(1), 132(4A), 142(1), 158(b), 158BC, 158BFA(2), 250 - relief bonds - unexplained payment - Whether, for the purpose of assessment of undisclosed income, loose papers seized during the Search have any evidentiary value - Whether the Indian Evidence Act renders a loose sheet of paper regularly kept in the course of business not sufficient by itself to charge any person with liability.

Also see analysis of the Order

2014-TIOL-116-HC-MUM-IT

M/s Shriniwas Machine Craft Pvt Ltd Vs Income Tax Settlement Commission (Dated : January 17, 2014)

Income Tax - Writ - Sections 132(1), 133A, 147, 148, 153A, 153C, 245A(b), 245D(1), 245HA - SETCOM - Whether in case, the time period within which an assessment has to be completed has expired, it can be said that the assessment has been terminated - Whether the power to take action in respect of the assessment for a particular assessment year, comes to an end, on the expiry of the period under Section 153 of the Act to make an assessment - Whether by efflux of time, it is open to the assessing Officer to pass an order of assessment, merely because the return was accepted u/s 143(1) - Whether an assessment proceeding can be said to be pending even when the period to make an assessment has expired u/s 153.

2014-TIOL-115-HC-KAR-IT

CIT Vs M/s Spectrum Consultants India Pvt Ltd (Dated : December 9, 2013)

Income Tax - Sections 2(24), 36(1)(iii), 43B, 139(1), 143(3) - employee contribution - Provident Fund - Whether the payment of contribution by the employer to the fund under the Provident Fund scheme means both employer's contribution and employee's contribution - Whether employer deducts the employee's contribution from the salary

or not, in law, it is liable to pay the said amount.


CIT Vs American Data Solutions India Pvt Ltd (Dated : December 18, 2013)

Income Tax - Sections 10A, 80IA, 288(2) - report - Whether deduction u/s 10A can be allowed in case the report of an accountant as defined in the Explanation to sub-section (2) of Section 288 is not filed alongwith the return of income - Whether such deduction would not be allowed even if such report is filed at the appellate stage.


M/s Pentasoft Technologies Ltd Vs DCIT (Dated : November 25, 2013)

Income Tax - Sections 10A, CIRCULAR NO.794 of 2000 - Companies Act, 1956 - Sections 78(1), 100 - Keywords - "export turnover", "total turnover", "unrealized export sales", "share premium account", "shareholders resolution", "bad debt", "business loss'

Whether when unremitted export sales was excluded from the export turnover, the same should also have been excluded from the total turnover while computing deduction u/s 10A - Whether parity must be maintained between the numerator and denominator for computing deduction u/s 10A, although the assessee has sought an extension from RBI for receiving the exports proceeds - Whether unrealized export sales can be considered as business loss merely on the score of the amount not having been realized in the particular year - Whether further such unrealized sales from export can be claimed as business loss and considered for computing deduction u/s 10A, although it was written off only against share premium account through a shareholders resolution passed after the completion of the assessment order



CIT Vs Rural Electrification Corp Ltd (Dated : January 16, 2014)

Income Tax - Committee on Disputes (COD) - revival of appeal - Whether power to revive an appeal can be excercised by the Revenue, in case an appeal is pending before the Supreme court.


Dishnet Wirelss Ltd Vs ACIT (Dated : January 7, 2014)

Income Tax - Section 253 - Whether coercive action can be initiated against the assessee even if the time limit allowed as per the statute for filing an appeal has not been exhausted.


M/s Canara Bank Vs ACIT (Dated : November 12, 2013)

Income Tax – Sections 10(15), 10(33), 28(i), 37(1) – Whether when no expenditure is incurred by an assessee in earning dividend income, no notional expenditure could be deducted from the said income for the purpose of tax computation – Whether the expenditure incurred by the assessee on repurchasing the units floated by them to gain public confidence and to mitigate the hardship to the public, thus, incurring a loss, can be said to be in the nature of an expenditure allowable u/s 37(1) – Whether the claim of the assessee for depreciation on the basis of diminution of value of the capital asset or even loss sustained in the business would not be appropriate and the assessee would be entitled to the claim as expenditure incurred in the business if the entire amount was invested as commercial expediency with the intention of preserving their goodwill in the business.


CIT Vs M/s Nutrine Confectionery Co P Ltd (Dated : December 2, 2013)

Income Tax - Sections 45, 50B, 65 - slump sale - transfer - non compete fee - Whether consideration received for transfer of trade marks, patent rights & logo by the assessee, can be taxed as income from Long term capital gains u/s 6 5 - Whether in context of the Income Tax Act, it can be said that charging section and computation provisions constitute an integrated code - Whether in case computation provisions do not apply, charging section section would apply to that case.


CIT Vs Smt Manisha Agarwal (Dated : January 18, 2014)

Income Tax - Sections 113, 260A - surcharge - block period - undisclosed income - CBDT instruction no. 2/2005 - Whether an appeal before the High Court is preferable in case the tax effect is less than the minimum limit prescribed the CBDT instruction.


M/s Kingfisher Airlines Ltd Vs Income Tax Department (Dated : January 18, 2014)

Income Tax - Sections 133A, 201(1), 201(1A), 276B, 278B, 279(1) - criminal proceedings - prosecution - penalty - Whether in case of TDS default by the assessee, the criminal prosecution can be launched independent of the recovery proceedings - Whether the pendency of recovery proceedings is a legal impediment to the launch of criminal prosecution in case of TDS default - Whether quantification of sum for the initiation of prosecution is necessary - Whether the criminal proceedings against assessee are liable to be quashed for want of necessary ingredients in the complaint filed before the High court special Judge - Whether liability of a principal officer u/s 2(35) can be avoided in case its name is not mentioned in the notice issued u/s 201(1A) - Whether a subsequent event of changing principal officer of a company can be treated as a reason of quashing of prosecution proceedings against assessee.



CIT Vs M/s Puja Prints (Dated : January 15, 2014)

Income Tax - Sections 55A, 55A(b)(ii), 131, 133(6), 142(2), 260A - registered va luer - Fair Market Value - Departmental Valuation Officer (DVO) - Whether reference made by AO to the valuation officer per se is bad in law - Whether a reference could be made to DVO only when the value adopted by the assessee is less then the fair market value - Whether a circular issued by CBDT is binding on assessee as well - Whether in case the power to refer any dispute with regard to the valuation of the property is already available, there is no need to specifically empower AO to do so in circumstances specified u/s 55A - Whether in case a specific provision under which the reference can be made to DVO is available, there is no occasion for the AO to invoke the general powers of enquiry - Whether the ownership of the property is required to be examined for determining the date of acquisition for the purpose of indexation, particularly when this issue was not raised either before the AO or the CIT(A).


CIT Vs Mathura Commercial Co (Dated : January 15, 2014)

Income Tax - Sections 139(5), 260A - penalty - bogus liabilities - Whether in case an assessee itself has omitted certain entries in the revised return of income, the penalty for furnishing inaccurate particulars can be levied - Whether in order to levy penalty for concealment, an assessing officer has to prove mens rea of the assessee that it concealed the income to evade tax.


CIT Vs M/s Keyencee Hotels & Engg. Enterprises (Hotel Kanishka) (Dated : December 18, 2013)

Income Tax - Section 132 - Whether addition made by AO based on the search material in respect of inflation of expenditure and based on the statement of son of MD, not supported by any vouchers, can be allowed as a convincing evidence - Whether inflation of expenses relating to cheque payments can be disallowed, even if

these cheque payments had been manipulated to inflate expenditure - Whether in case such payments by cheque encashed by employees of assessee company are credited to the accounts of the assessee's sisters concern without establishing the nature of expenditure, addition to income can be made.


CIT Vs M/s Sasken Communication Technologies Ltd (Dated : December 19, 2013)

Income Tax - Sections 10A, 80HHC - export profit - software development - turnover - Whether profit eligible for deduction u/s 10A does not form part of the profit of the business - Whether the turnover of entire business including that of undertaking eligible for deduction u/s 10A is allowed to be considered for computing deduction u/s 80HHE.

2014-TIOL-97-HC-UKHAND-IT

CIT Vs M/s All Saints College Society (Dated : December 17, 2013)

Income Tax - Sections 11, 12, 12A, 13 - educational trust - deregistration - Whether in case the Commissioner and Tribunal had decided a matter without considering the evidences filed, the High Court can intervene.

2014-TIOL-96-HC-P&H-IT

CIT Vs M/s Dhanpat Rai & Sons (Dated : January 10, 2014)

Income Tax - Sections 37, 260A, - secret commission - specimen distribution - Whether incurring of expenses like secret commission and specimen distribution to public servants is an offence prohibited by law - Whether in case it is an offence under the other laws, it would also be deemed to be disallowed u/s 37 - Whether any secret transaction/payment that is made to secure an unfair advantage, wo uld necessarily be repugnant to law .


Asha Pal Gulati Vs CBDT (Dated : January 2, 2014)

Income Tax - Writ - Sections 140A, 220, 271(1A), 273A - collective order - Whether the inclusion of any amount over and above the tax and interest payable, such as penalties determined under various provisions as well as the assumption that such amount is collectively payable, is legally not sustainable.


CIT Vs M/s Express Newspapers Ltd (Dated : September 25, 2013)

Income tax – Section 2(18)(aa) – Whether when the revenue has accepted earlier that the holding company of the assessee is a company in which public is substantially interested and no appeal was filed, the said question cannot be raised when ‘B', which is having 51% shares of the holding company, is enjoying the status of a company under section 25 of the Companies Act.


CIT Vs ACE Software Exports Ltd (Dated : January 20, 2014)

Income Tax - Sections 10A, 115JB - STP - Whether the income and expenditure attributable to eligible undertaking u/s 10A has to be allowed in the case of assessee while computing book profit u/s 115JB - Whether deduction claimed by the assessee u/s. 10A in respect of STP unit can be allowed without adjustment of losses of other units and without adjustment of brought forward losses/unabsorbed depreciation of earlier years.


Sunisha Impex Pvt Ltd Vs CIT (Dated : January 6, 2014)

Income Tax - Writ - Sections 127(2), 131(1A), 132 - search - assessment - transfer - Whether an assessee has a right to be assessed by a particular Assessing Officer or at a particular place - Whether the power to transfer assessment proceedings from one place to another, can be excercised arbitrarily.


Sri Ashok P Magajikondi Vs ITO (Dated : November 12, 2013)

Income Tax - Sections 69, 80C, 144A, 148 - protective assessment - unexplained income - Whether income can be assessed in the individual capacity as against HUF status - Whether in case there is no valid HUF in existence, any business carried on in HUF capacity warrants addition as unexplained cash credit and the same has to be confirmed in the hands of the assessee in individual capacity on substantive base - Whether in such a case penalty for concealment of income can also be imposed - Whether having failed to file an appeal before the Tribunal, the assessee can contend before the High Court regarding existence of a HUF.

2014-TIOL-89-HC-KERALA-IT

CIT Vs Sri C V Sebastian (Dated : December 16, 2013)

Income Tax - Sections 40A(3), 143(1)(a), Rule 6DD - Whether an Assessing Officer can unilaterally disallow the claim made by the assessee by applying rule 6DD, unless and until AO calls upon the assessee to prove the claim made by him.


CIT Vs M/s Motorola India Electronics Pvt Ltd (Dated : December 11, 2013)

Income tax - Sections 10A(4), 10B - ECB, interest, industrial undertaking, exchange control manual, profit of the business, from the business of, income from profits and gains, Finance Act, 1001 - Whether interest income arising out of deposits with banks and EEFC account is eligible for deduction u/s 10A.



CIT Vs Bisazza India Limited (Dated: December 21, 2013)

Income Tax - Sections 2(24), 80HHC, 145A - turnover - excise duty - Whether Sales Tax and excise duty can be included in working out total turnover for the purpose of computing deduction u/s 80HHC.


CIT Vs M/s Commercial Motors Finance Ltd (Dated : December 13, 2013)

Interest Tax Act, 1974 - Sections 2(2), 2(7), 4, 8(2), 10, CBDT Circular No 760 of 1998 - Income Tax Act - Section 148 - hire purchase - loan - Non Banking Finance Company - credit institution - promissory note - collateral security - Whether in case the total amount of hire that hirer pays to assessee exceeds the price at which the vehicle was purchased from the dealer, excess can be termed as interest - Whether in case promissory note is executed by the hirer in favour of assessee for total hire payable for the motor vehicle as colateral security and the assessee company is given right to negotiate the said Demand Promissory Note in favour of their bankers or any other party for valuable consideration and also sue upon the same, the said assessee is a financing concern - Whether in case notice issued u/s 10 is invalid, it would render the entire assessment proceeding invalid - Whether in case an assessee files return of income in reponse to a notice, it can later challange the validity of such issued notice - Whether the service of notice issued u/s 10 can be made on the assessee itself or on its representative of Agency or its employee.



CIT Vs Alpanil Industries (Dated : December 26, 2013)

Income Tax - Sections 2(24), 80HHC, 145A - turnover - excise duty - Whether Sales Tax and excise duty can be included in working out total turnover for the purpose of computing deduction u/s 80HHC.


CIT Vs Enviro Control Associated Pvt Ltd (Dated : December 27, 2013)

Income Tax - Sections 40A(2), 80IA(4), 142(1), 143(1),143(2) - excessive payment - Whether any adhoc disallowance of payment made u/s 40A(2)(b) to a sister concern is warranted merely on the basis that it was run by the wife of the Director of the assessee company - Whether in such a case there would be a presumption of excessive claim.



Smt Prameela Krishna Vs ITO (Dated : November 18, 2013)

Income Tax - Sections 2(47), 139)1), 139(4), 147, 148 - Joint Development Agreement - Construction - Whether in case of a Joint Development Agreement, construction can be done without possession of property - Whether in case an assessee files return of income after issue of a statutory notice by the department, it can be said that the assessee has voluntarily filed return.


M/s Saravana Constructions Pvt Ltd Vs ACIT (Dated : December 12, 2013)

Income Tax - Writ - Sections 132, 139, 260A - search - Whether an order can be passed without giving an opportunity of audi alterm partem in case the assessee has not attended the hearing personally.


M/s Chandan Hospital Ltd Vs CIT (Dated : January 13, 2014)

Income Tax - Sections 40A(2)(b), 260A - estimate basis - Whether an estimation regarding a transaction is a question of fact - Whether in case a question of fact is disputed before the Tribunal, the High Court can pass a decision on that.


Vijay Pal Singh Vs ITO (Dated : January 3, 2014)

Income Tax - Sections 44AB, 44AD, 139 (9), 260A - Whether the challenge to a re-assessment proceeding after a considerable time period of 10 years is legally sustainable.


CIT Vs DR Roshan Kashyap (Dated : October 24, 2013)

Income Tax - Sections 55A, 69, 131(1) (d), 142A, 260A - Departmental Valuation Officer (DVO) - construction - unexplained investment - Whether reference to DVO u/s 142A can be made without rejection of books of accounts.


CIT Vs Gujarat State Road Transport Corporation (Dated : December 26, 2013)

Income Tax – Sections 2(24)(x), 28, 36(1)(va), 43B, 44 AB, 143(1) & (2), 139(1), 142(1)-Whether employees' contribution to provident fund credited after the statutory date under the respective Provident Fund Acts but within the due date of filing return u/s 139 is eligible for deduction u/s 36 of the Income Tax Act – Whether amendment in section 43B vide Finance Act, 2003 which deleted the second proviso can be applied for interpreting section 36(1)(va) – Whether section 36(1)(va) and section 43B operate in two different fields with respect to two different contributions - Whether merely because with respect to employer's contribution Second Proviso to Section 43B which provided that even with respect to employers' contribution, assessee was required to credit amount in the fund within the due date of the relevant Act, is deleted, it can be said that section 36(1)(va) also stands amended – Whether the Supreme Court decision in Alom Extrusions Ltd ., can be relied upon where the controversy in that case was with only with respect to employers' contribution as per section 43(B)(b) of the Act and not with respect to employees' contribution u/s 36(1)(va) - Whether when the High Court is of the opinion that only one view, i.e., the one canvassed by the Revenue is possible in the matter, it can differ from opinions of other High Courts – Whether deduction can be allowed during computation of income as per section 28, when the employee's contribution was not deposited in the funds within the due date prescribed under the relevant Acts.



CIT Vs Pramod Kumar Dang (Dated : January 10, 2014)

Income Tax - Sections 132(1), 132B, 140A, 143(1)(a), 154, 249(4)(a), 260A - deficit tax - Whether in case tax payable has been paid prior to issuance of a show cause notice, it would tantamount to compliance of the provisions of Section 249(4) - Whether in case an assessee either has paid the tax on returned income or sought adjustment of the amount lying with the Revenue towards the tax payable on the returned income, it can be denied a hearing.


Nehru Prasutika Aspatal Samiti Vs CIT (Dated : January 6, 2014)

Income Tax - Sections 10(23C) (iiiae), 143(3), 260A - Whether a hospital providing maternity care is not included in the definition of hospitals eligible for the purpose of availing exemption u/s 10(23C) (iiiae).


CIT Vs Narayan Land Estate (Dated : December 21, 2013)

Income Tax - Sections 80IB(1), 80IB(10) - construction - Whether in order to claim deduction u/s 80IB in respect of a Housing project, ownership is manadatory.


CIT Vs M/s Meghan Paper Mills (P) Ltd (Dated : December 10, 2013)

Income Tax - Sections 80J, 80 VVA(4) - Whether the deficiency u/s 80-J can be carried over for an indefinite period in view of the provisions of Section 80-VVA(4) when the carry forward of deficiency u/s 80-J cannot be allowed beyond the seventh year from the end of the initial year.

2014-TIOL-71-HC-RAJ-IT

CIT Vs Jaipur Vidyut Vitran Nigam Ltd (Dated : January 6, 2014)

Income Tax - Sections - 36(1)(va), 43B, 139, 260A - Whether the sum paid by the

assessee, after the due date mentioned under the relevant Act of GPF, CPF and ESI, can be allowed either u/s 36(1)(va) or u/s 43B.


Late (Smt) Nirmala Sahu Through Legal Heir Vijay K Sahu Vs CIT (Dated : December 19, 2013)

Income Tax - Sections 9, 24 (1) (vi), 36(1) (iii), 139, 260A - Whether when the assessee engaged in the real estate business lets out part of property to beat the lull in business and to reduce interest on borrowed funds, such rental income takes the colour of business receipt - Whether interest on “accumulated arrears of interest” is allowable as deduction - Whether in case business is temporarily closed, assessee is entitled for carry forward or set off the legal claims - Whether in case, asses see is not engaged in the business of letting out for the construction of the business complex, it has borrowed funds, rental income can be assessed under the head "income from business".



CIT Vs M/s Hanung Processors Pvt Ltd (Dated : January 6, 2014)

Income Tax - Sections 68, 143(3), 260A - creditworthy - untraceable - Whether any addition can be made on the ground of bogus purchase, ignoring the fact that parties are untraceable, even in case all ingredients of Section 68 were present for making additions - Whether in case, Tribunal has confirmed the factual finding recorded by CIT(A), is there any obligation on the High Court to interfere.


CIT Vs Hitul Kanubhai Patel (Dated : December 21, 2013)

Income Tax - Sections 132, 158BC, 158BFA(2), 158BD - penalty - search - incriminating - loan account - Whether in case, Tribunal has not considered anything on merits with respect to the quantum of penalty levied, High Court can interfere - Whether such an issue can be remanded for fresh consideration of documents.


DCIT Vs Jemby Chem Pvt Ltd (Dated : December 21, 2013)

Income Tax - Sections 143(3), 271(1)(c) - ex parte order - penalty - Whether penalty for concealment can be levied even if the assessee has negative income - Whether a

penalty order is justified, in case the assessee had not preferred the appeal against the quantum additions.


Hosmat Hospital Pvt Ltd Vs CIT (Dated : December 20, 2013)

Income Tax - Sections 201(1), 201(1A) - Whether until the final disposal of the appeal, both refund due to the assessee and recovery of outstanding dues by the Department can be kept in abeyance .


Coconut Palm Beach Garden Vs CIT (Dated : December 18, 2013)

Income Tax - Sections 143(2), 234B - Short Term Capital Gains - Land - Building - Whether the reopening of an assessment is bad for want of statutory notice under Section 143(2) of the Act - Whether the question of limitation is a matter of fact to be considered by the Tribunal.


Sri K V George Vs CIT (Dated : December 18, 2013)

I ncome Tax - Sections 143(2), 143(3), 269SS, 271D - Whether when the assessee accepts loan in cash, exceeding the limit u/s 269SS, and when the source of funds is not withdrawal from banks, such loan may be construed as black money and the same attracts penalty u/s 271D.



CIT Vs Cera Leasing Finance & Industries Ltd (Dated : December 21, 2013)

Income Tax - Section 268A - monetary limit - Whether an issue can be decided against the assessee without going into the merits on the ground that the tax effect involved in the assessee case is nil - Whether in case an assessee incurs losses, its notional tax effect is to be considered while considering the monetary limit.


CIT Vs M/s Comed Chemicals Pvt Ltd (Dated : December 26, 2013)

Income Tax - Section 80IA - Whether excise duty can be excluded from the valuation of closing stock of finished goods at the time of recording in the books of accounts - Whether interest derived from Bank Guarantee Deposits, Letter of Credit and on delayed payments, is eligible for deduction u/s 80IA - Whether interest received from trade debtor towards late payment of sale consideration is to be included in the profits of the industrial undertaking.


M/s Lachhmi Narain Gupta & Sons Vs CIT (Dated : October 24, 2013)

Income Tax - Sections 43(5)(d) & 94 (7) - Whether provision of section 43 (5)(d) is applicable for the A.Y 2004-05 - Whether the period of three months reckoned from the date of purchase of the units on 26.12.2003 would expire on 26.3.2004 for the purpose of section 94(7).


M/s Natural Stones Exports Ltd Vs ACIT (Dated : October 28, 2013)

Income Tax - Sections 10B, 80HHC, 143(3) - audit report - export - remand - Whether on remand, in case an assessing authority has not analysed the evidence produced by the assessee, such an order passed by the assessing authority is not tenable in the eyes of law - Whether in order to avail benefit u/s 80HHC, filing of an audit report is mandatory.


M/s Amin Manilal & Co Pvt Ltd Vs CIT (Dated : January 6, 2014)

Income Tax - Writ - Sections 127(2), 131(1A) - search - assessment proceedings - Whether not responding to summons issued u/s 131(1A) is sufficient reason to transfer the petitioner's assessment - Whether an assessee has a right to be assessed by a particular Assessing Officer or at a particular place - Whether the power to transfer assessment proceedings from one place to another, can be excercised without much reasons.

2014-TIOL-54-HC-AP-IT

Shri M Jaffer Saheb Vs CIT (Dated : December 19, 2013)

Income tax - Sections 237, 240, 244(1A) - Whether when the assesse pays excess tax, the refund and the interest thereof arise automatically and no claim is to be filed - Whether interest is to be calculated from the date of an order passed u/s 244 - Whether the assessee is entitled to interest on refund from the date of payment of excess tax till the date of grant of refund.



CIT Vs B Mohanachandran Nair (Dated : October 22, 2013)

Income Tax - Sections 80HHC, 143(3), 147, 148 - export - retrospective amendments - Whether a retrospective amendment of law and subsequent judgment of the Apex court after filing of the return of income and completion of assessment u/s.143(3) can be a basis for reopening for assessment u/s 147.


CIT Vs M/s Parthas, Power House Road (Dated : November 11, 2013)

Income Tax - Sections 143(2) & (3), 277AAA - Keywords - "penalty", "additional income", "disclosed income", "concealment".

Whether penalty u/s 271AAA can be imposed when the assessee has itself offered an additional income to avoid unnecessary controversy - Whether further such penalty can be imposed when the difference between the disclosed income and the final assessment income is meagre.


CIT Vs M/S Jogendra Singh & Company (Dated : January 6, 2014)

Income Tax - Sections 44AB, 68, 144, 260A - Whether addition made u/s 68 can be deleted on the basis of affidavits only - Whether in case an assessee could not prove the genuineness of its claim at any stage of assessment procceding, income can be computed on the basis of best judgment assessment.


CIT Vs Indo Swiss Embroidery Industries Ltd (Dated: December 26, 2013)

Income Tax - Sections 43B, 80IB, 115JB, - duty drawback - manufacturing activity - Whether income from duty drawback receipt and DEPB benefits are included in the net profits of elig ible industrial undertakings for the purpose of computing deduction u/s 80IA - Whether deduction for Provident Fund amount is to be allowed even in case deposit is made after the due date mentioned under the provident Fund Act.


CIT Vs Bloom Decor Private Ltd (Dated: December 3, 2013)

Income Tax - Section 80IA - Export Benefit - Whether export benefit adjustment should be included while computing deduction u/s 80IA.


CIT Vs M/s Chitra Prakashan (Dated : December 13, 2013)

Income Tax - Sections 3, 260A - technical issue - uniformity - Whether in case entire tax has been paid and there is no scope for escapement of income tax, disallowance can still be made - Whether in case a change is brought in books just to maintain uniformity in the accounting system, disallowance can be warranted on account of evasion of tax.

2014-TIOL-46-HC-RAJ-IT

CIT Vs M/s Vinayak Plasto Chem Pvt Ltd (Dated : December 4, 2013)

Income Tax - Sections 69, 143(3), 158BC, 158BD, 260A - search - project report - undisclosed investment - Whether in case AO has not recorded his satisfaction before issuing notice u/s 158BD, it is binding on the assessee - Whether in case assessee has not transferred the case to AO having jurisdiction over the matter, assessment can be made u/s 158BC - Whether on the basis of merely a project report, addition on account of undisclosed investment can be made - Whether an addition has to be based on proper foundation, an estimated project report can be a criteria of evaluating actual investment made by the assessee - Whether u/s 69, burden of proof is on the assessee.

2014-TIOL-45-HC-KOL-IT

Sumermal Jain Vs DCIT (Dated : December 24, 2013)

Income Tax - Writ - Sections 131, 132 - search - seizure - Whether in case search

notices are issued after the initiation of search proceedings, such proceedings are valid - Whether the officer who issued the notices u/s 131(1A) can also be the authorised officer u/s 132(1) - Whether a Director General or a Director can be authorised officers u/s 132 (1)(B) - Whether a Joint Director or an Assistant Director or a Deputy Director, can also be considered as the authorised officer pertaining to a matter u/s 132(1).


Master Naman Kumar Vs CIT(Dated : December 21, 2013)

Income Tax - Sections 24(1) (iv), 24(1)(vi), 142(1), 143(2), 143(1), 148 - Income Tax Act, 1922 - Sections 9(1)(iv) - Whether vague reference made to some unspecified circular of CBDT can make the re-opening of assessment invalid - Whether in case, assessment u/s 143(1) has been made in a summarised manner, its reopening is a matter of 'change of opinion' - Whether simple interest charged by the bank on the amount borrowed by the assessee from it for raising construction is to be allowed as expenditure - Whether such allowance is applicable in case of compound interest also.


C T Chacko Vs CIT (Dated : December 3, 2013)

Income Tax - Sections 139, 148, 271(1)(c), 275 - deemed concealment of income - Whether in case an assessee has not filed return of income in pursuance of notice issued u/s 148 for reopening assessment, it can be assumed that there was a deemed concealment of income - Whether penalty u/s 271(1)(c) can be levied in such cases.


CIT Vs Bharti Mishra (Dated : December 18, 2013)

Income Tax - Sections 54, 54F - capital gains - construction - Whether benefit of exemption u/s 54F can be denied in case assessee has commenced the construction of house property before the sale of shares.



CIT Vs M/s Triveni Sheets Glass Works Ltd (Dated : December 13, 2013)

Income Tax - Sections 35B, 35D, 37(3B), 80G, 143(3), 154, 260A - Export Market

Development allowance - Whether the provisions for exemption and deduction should be considered liberally even in case there is no ambiguity - Whether an assessing officer can file an application u/s 154 to rectify a mistake, on its own motion - Whether in order to rectify a mistake in a debatable question, application u/s 154 can be filed.


CIT Vs Dr K P Singh (Dated : December 9, 2013)

Income Tax - Sections 158BG, 260A - search - Whether while granting administrative approval u/s 158BG, CIT is obliged to give a hearing opportunity to assessee - Whether in case an assessee follows cash basis of accounting, interest income must be taken on receipt basis only.



CIT Vs Sri Sidh Nath Goel (Dated : September 10, 2013)

Income Tax - Sections 132, 139 (1), 143(3), 260A, 271(1)(c) - search - concealment - Whether in case, an assessee admits certain income during the course of search and seizure proceedings, the penalty for concealment can be levied on such income admitted.


CIT Vs M/s Fertilizer Traders (Dated : December 13, 2013)

Income Tax - Sections 132 154, 158 BC, 254 (1), 260A - Search - peak credit - undisclosed income - Whether in block assessment, computation of undisclosed income could be made only on the basis of seized material and matters seized during search - Whether in case credits appear not in the same account but in the accounts of different persons, genuineness of all the person can be disbelieved - Whether in that case, assessee will be entitled to set off and a determination of the peak credit after arranging all the credits in the chronological order.

2014-TIOL-35-HC-JHARKHAND-WT

CIT Vs Mrs Sairunnisha (Dated : December 20, 2013)

Wealth Tax Act - Section 16(3), CBDT Instruction No.2/2005 - Whether in case, the tax effect involved in an appeal preferred before the appellate authority is less than the presribed limit, such an appeal is not maintainable.


DIT Vs National Petroleum Constructions Company (Dated : December 24, 2013)

Income Tax - Sections 147, 148 - Special Leave Petition - Whether an assessment can be reopened u/s 147, in view of a subsequent pronouncement by a Court - Whether condonation of delay can be granted even if there were no cogent reasons for delay.


CIT Vs M/s The Nainital Bank Ltd (Dated : December 26, 2013)

Income Tax - Sections 37, 43B(f) - Whether payment made as an employer in lieu of any leave to the credit of its employees can be allowed as revenue expenditure - Whether such expenditure is certified as an expenditure not for personal purpose.


CIT Vs M/s Tata Yodogawa Ltd (Dated : December 6, 2013)

Income Tax - Sections 35AB, 143(1)(a), 195 - Whether prima facie adjustment can be made while processing the return u/s 143(1)(a) in respect of income tax due on technical knowhow fees paid, even in case the said tax paid by assessee is refunded.


CIT Vs Sri D S Manjunath (Dated : November 26, 2013)

Income Tax - Sections 158BC, 158BD - search - warrant - Prohibitory order - Whether in case after seizure of material it is found that there is certain undisclosed income of another person, then u/s 158BD authorities can proceed against such person - Whether in absence of a search warrant in the name of assessee, Revenue can pass a Block Assessment Order u/s 158BC read with Section 158BD in case of the materials seized from the assessee relates to him.


CIT Vs M/s Kirloskar Computer Services Ltd (Dated : October 30, 2013)

Income Tax - Sections 36(1)(iii), 37, 260A - license fee - bandwidth charges - Whether interest paid on loan borrowed for the purpose of purchase of plant and machinery is to be deducted u/s 36(1)(iii) - Whether in case of a new project, which is not a part of the existing project or a business carried on by the assessee, when the sum spent results in advantage of enduring benefit it can be allowed as a revenue expenditure.


Vodafone Limited Vs UoI (Dated : December 24, 2013)

Income Tax - Writ - Sections 80IB, 143(3), 246A, 254, 263 - natural justice - MAT - Whether the availability of an alternative remedy would by itself bar the exercise of writ jurisdiction - Whether non-consideration of assessee's response to the notice by making it impossible to assessee to file its reply before the AO would cause prejudice to the assessee - Whether in case an AO has called upon the petitioner to show cause why its claim for deduction should not be disallowed, a reasonable opportunity of filing its reply should be made available to the noticee - Whether granting of an opportunity to respond to the show cause notice in less then 24 hours is a flaw in the decision making process, which is amenable to judicial review.

2014-TIOL-21-HC-KOL-IT

UCO Bank Vs CIT (Dated : December 2, 2013)

Income Tax - Sections 43D, 145, 260A - Interest - Sticky Loans - Whether interest on loans and advances, of which recovery has become extremely doubtful, and which is written off for all practical purposes, but recorded separately, would come within the purview of chargeable interest - Whether non-operational sticky loans in respect of which mercantile actual of interest was shown in the suspense account, would in law, be payable on mercantile accrual basis.


Ashwani Dhingra Vs Addl.CIT (Dated : December 12, 2013)

Income tax - Sections 139(1), 142(1), 140A, 148, 234A, 234B, 234C - Land Acquisition Act - Sec 23 - Whether when the assessee receives interest on additional compensation in lieu of his land acquired by the State after the Supreme Court decision, interest is to be charged retrospectively - Whether interest under Ss 234A, B & C is compensatory in nature.



D C Rastogi Vs CIT (Dated : August 13, 2013)

Income Tax - Section 68 - unexplained income - Whether any amount other than the one found credited in the account/books of the assessee could be estimated and charged to tax u/s 68 - Whether in case, the profits reported by assessee are not accepted on the basis of the supporting accounts, department can process such profits by estimation after rejecting the books.


M/s Indo Scotish Brand Pvt Ltd Vs DCIT (Dated : December 16, 2013)

Income Tax - commission - Whether huge amount of commission paid to an individual for boosting sales of a corporate entity can be allowed as revenue expenditure - Whether such a payment must results in doubts.


M/s Modern Farm Services Vs CIT (Dated : December 21, 2013)

Income Tax - Sections 142(1), 143(2), 143(3), 144A, 147, 148, 282 - Post Warranty Services - Whether confirmation of addition on account of reserves in the Sundry World Bank Account is legally sustainable when the same have been duly accounted for under the head 'liabilities' in the regular books of account of the assessee - Whether AO is legally justified in making an addition on account of undisclosed income on octroi estamates on mere presumption and surmises without there being any independent evidence on record to corroborate the same.


Gujarat State Plastic Manufacturers Association Vs DDIT (Exemption) (Dated : June 25, 2013)

Income Tax - Sections 143(1), 143(2), 271(1)(c), 274, 282 - Whether there is a general principle that a party prevented from doing an act for some reasons beyond his control can do so at the first subsequent opportunity - Whether the said principle is based on the doctrine that law does not compel performance of an impossibility - Whether in case the last date for issue of a statutory notice falls on a public holiday, it can automatically shift to next working day - Whether in such a case issue of notice

can be considered as time barred.


M/s Kishore Trading Co Vs ITO (Dated : November 18, 2013)

Income Tax - Sections 143 (1)(a), 143 (2), 234-B, 260A, 271 (1) (c) - Whether when Tribunal has not considered the reasons properly and observed that the case is not fit for condonation of delay, it can be presumed that Tribunal has not excercised powers judiciously - Whether such an order of the fact finding authority can be held legal.


The Amritsar Improvement Trust Vs ACIT (Dated : December 26, 2013)

Income Tax - Sections 2(15), 260A - stay - demand - Whether merely because an appeal has been preferred against the assessment order, it would entitle an assessee to demand stay against its pending dues.

2014-TIOL-08-HC-DEL-ST

National Building Construction Corporation Ltd Vs CST (Dated: October 30, 2013)

Service Tax - Section 72 - Best Judgement - No order passed; only Show Cause Notice issued - assessee directed to reply to the Show Cause Notice.



Sri B Gajendra Kumar Vs ITO (Dated : December 2, 2013)

Income Tax - Sections 133A, 143(2), 142(1), 148, 271(1)(c), 274 - Whether when fact finding authority hasconcurrently held that the explanation offered by the assessee is false, in that case there is any ground to interfere with the same by the High Court.


Shri Nikhil Kelkar Vs ITO (Dated : December 23, 2013)

Income Tax - Writ - Sections 220(6), 221, 226 - Article 226 of the Constitution of India - demand - stay - Whether in a case recovery proceeding can be initiated even if the appeal is pending.

2014-TIOL-08-HC-DEL-ST

National Building Construction Corporation Ltd Vs CST (Dated: October 30, 2013)

Service Tax - Section 72 - Best Judgement - No order passed; only Show Cause Notice issued - assessee directed to reply to the Show Cause Notice.



CIT Vs Dr R Balaji (Dated: November 18, 2013)

Income Tax - Sections 54F, 143(2), 143(3) - residential construction - Whether Section 54F benefits can be denied on the ground that the house purchased by the assessee was not fit for residence as it had no doors nor windows - Whether the report of an Inspector is the sole criteria of allowing exemption u/s 54F - Whether in case it is proved that prior to sale, the vendor lived in the house and the same was sold along with the residential construction, exemption u/s 54F can't be denied.



CIT Vs M/s Carpet International (Dated: December 13, 2013)

Income Tax - Sections 139(1, 145 (3) - Supression of Turnover - Whether in case, there is no justification for increase in G.P Rate beyond the highest gross profit rate in comparable cases, reassessment u/s 147 can be initiated.

high court ruling (income tax)m/s pentasoft technologies ltd vs dcit (dated : november 25, 2013)...

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