Sec 292BB only cures defect in service of notice but not defect in issuance – ALL HC

The Hon’ble Allahabad High Court has recently laid down that Section 292BB comes to the rescue of the Income Tax Department only when there is defect in service of a notice. But the said section does not cure the defect in issuance of notice. While disposing off this appeal, the Hon’ble Court relied upon the […]

Kar HC overrules ITAT SB decision in All Cargo Logistics on s. 153A

The Hon’ble Karnataka HC holds that : 1. CIT cannot invoke revisional powers u/s 263 to review AO’s order once proceedings u/s 153A are initiated. 2. AO is entrusted with duty of bringing “total income” to tax u/s 153A by making reassessments even, means there can be only one assessment order in which both disclosed […]

Madras HC confirms penalty u/s 271(1)(c) even when only Book profit u/s 115JB is enhanced.

In a recent decision, the Hon’ble Madras HC has confirmed levy of penalty u/s 271(1)(c) even when only the book profit computed under section 115JB was enhanced and the taxable income remained NIL only. For complete text of judgement, click here Madras HC on Penalty on MAT

Madras HC : For valuation of Cosntruction, State PWD rates to be adopted over CPWD

In a recent decision, the Hon’ble Madras HC has held that for the purposes of valuation of construction of any building for computing undisclosed investment under section 69 of Income Tax Act, 1961, in case of conflict in State PWD Rates and Central PWD Rates, State PWD Rates are to be adopted. For complete text […]

AP HC holds Interest on Tax also covered u/s 43B

In a recent decision dated 02.07.2014, the Hon’ble Andhra Pradesh High Court has held that Interest on any tax levied under any statute is also covered u/s 43B and has to be paid before the specified date. While disposing off the case, the court distinguished the judgement of Hon’ble SC rendered in the case of […]

Delhi HC holds that by virtue of Sec 160(1)(i), expression “representative assessee” has to be seen “in respect of the income of a non-resident”

Hon’ble Delhi HC allows assessee’s writ, quashes notice u/s 163(2) and subsequent proceedings holding assessee company as ‘representative assessee’ of its former employee for AY 2003-04; Employee filed return in India for said year in capacity of ‘Resident & Ordinarily Resident’; Assessee-company cannot be treated as ‘representative assessee’ of employee based on subsequent change in […]

Kar HC holds : Denial of deduction u/s 80-IB due to non-production of completion certificate not justified when no provision for issuance of same under BDA Act

The Hon’ble Karnataka HC extends Sec 80IB(10) deduction to assessee-builder undertaking housing project approved by Bangalore Development Authority (‘BDA’); Denial of deduction on ground of non-production of project completion certificate not justified when there is no provision for issuance of same under BDA Act or under any other Karnataka State Municipal Act; Not proper in […]

Kar HC holds substantially financed in previous years eligible for exemption u/s 10(23C)(iiiab)

The Hon’ble Karnataka HC has held that for the purposes of sec. 10(23C)(iiiab), wherein exemption is available to Educational institutes substantially financed by government, the terms wholly or substantially financed by the Government contemplated in section 10(23C)(iiiab) of the Act would include finances and value of infrastructure given to the Institution during the previous AYs […]

Kar HC holds interest on tax refund u/s 244A taxable in yr of receipt

The Hon’ble Karnataka HC has confirmed addition holding that interest received on tax refund u/s 244A taxable in year of receipt, notwithstanding pendency of appeal; Rejects assessee’s argument that interest income an unascertained liability & not taxable since Revenue’s appeal against ITAT’s order granting refund was pending before HC; Holds that once assessee receives income […]

Madras HC allows Cast reusage cast iron moulds as revenue exp.

The Hon’ble Madras HC has allowed payment towards Cast reusage cast iron moulds as revenue expense. The Court held as under : 6. The question that is posed before this Court is as to whether in the nature of manufacturing process carried out by the assessee, where the shell life of the cast iron ingot […]