Tax
Seized Documents Lack Information About Receipt Of Money: Mumbai ITAT Deletes Addition
The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has deleted the income tax addition of Rs. 1.61 crores on the grounds that the seized documents lack information as to date and mode of receipt of “on money.”.The bench of Anikesh Banerjee (Judicial Member) and B.R. Baskaran (Accountant Member) has observed that the entries made in the document fall short of certain material...
Income Tax Disallowance Based On Presumptions Of Earning Dividend Income In Future Is Not Sustainable: Mumbai ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that income tax disallowance based on presumptions of earning dividend income in the future is not sustainable.The bench of Raj Kumar Chauhan (Judicial Member) and Padmavathy S (Accountant Member) has observed that the AO has proceeded for disallowance made on the basis of presumptions that the investment was made from...
Kerala High Court Allows Dealer To Correct Copy Of Stock Inventory Uploaded Along With Returns
The Kerala High Court has allowed the dealer to correct a copy of stock inventory uploaded along with returns.The bench of Justice Gopinath P. has observed that the mistake on the part of the petitioner-dealer was that she uploaded the stock inventory as of May 28, 2015, instead of the stock inventory as of March 31, 2015. The provisions of sub-rule (4A) of Rule 22 should be interpreted...
No Provision Mandating Assessee To Install All Capital Goods In Year Of Procurement Itself To Avail Cenvat Credit: Gauhati High Court
The Gauhati High Court has held that it is not mandatory for the assessee to install all capital goods in the year of procurement itself so as to avail CENVAT credit.The bench of Chief Justice Vijay Bishnoi and Justice Suman Shyam has observed that as long as the CENVAT credit is availed during the period of exemption available under the Notification dated July 8, 1999, the claim of the...
Purchasing Of Agricultural Land Is Outside Definition Of Capital Asset; Delhi ITAT Deletes Addition
The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that the assessee has purchased agricultural land, which is outside the definition of a capital asset; therefore, the deeming provision under Section 56(2)(x) of the Income Tax Act cannot be invoked.The bench of Sudhir Pareek (Judicial Member) and S.Rifaur Rahman (Accountant Member) has observed that the assessee...
Submission Of Form-67 Is Not Mandatory For Availing Foreign Tax Credit: Delhi ITAT
The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that submission of Form-67 is not mandatory for availing foreign tax credit (FTC).The bench of Sudhir Pareek (Judicial Member) and S. Rifaur Rahman (Accountant Member) has observed that filing Form-67 is a procedural or directory requirement and is not a mandatory requirement. Therefore, a violation of procedural norms does...
Income Tax Addition On Unaccounted Sales And Purchases Can't Be Solely Based On Loose Slips: ITAT Bangalore
The Banglore Bench of Income Tax Appellate Tribunal (ITAT) has deleted the income tax addition of Rs. 1.36 crore on alleged unaccounted sales and purchases that were solely based on loose slips.The bench of Keshav Dubey (Judicial Member) and Chandra Poojari (Accountant Member) has observed that the onus lies upon the Department to collect cogent evidence to corroborate the notings on the...
Delay In Approaching Revision Authority Under Income Tax Act Can't Be Condoned: Kerala High Court
The Kerala High Court has held that the delay in approaching the revision authority under the Income Tax Act cannot be condoned.The bench of Justice A.K. Jayasankaran Nambiar and Justice Syam Kumar V.M. has observed that it was the same aspect of delay or limitation that prevented the Department from re-assessing the income of the appellant for the assessment years 2004–2005 and...
Failure Of Assessee To Update E-Mail Address With Dept.; Kerala High Court Dismisses Writ Petition Challenging Demand Notice
The Kerala High Court has dismissed the writ petition challenging the assessment order and notice of demand on the grounds that they were issued in violation of the principles of natural justice.The bench of Justice Murali Purushothaman has observed that when the petitioner-assessee is at fault, as they did not update or change the email address with the Department, they cannot...
Prerogative Of Govt. To Fix Income Limit For Encashment Of Earned Leave Salary For Income Tax Exemption: Kerala High Court
The Kerala High Court has held that it is the prerogative of the government to fix the limit of income from the encashment of earned leave salary for the purposes of exemption from payment of income tax. Unless the government issues a notification fixing the limit of income for earned leave salary, an employee cannot claim exemption from payment of income tax on the encashment of earned leave...
CESTAT Cases Weekly Round-Up: 09 To 15 June 2024
Redemption Fine And Penalty Can Be Imposed On Re-export Of Prohibited Goods: CESTATCase Title: M/s. Scania Commercial Vehicles India Pvt. Ltd. Versus Commissioner of CustomsThe Chennai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that a redemption fine and penalty can be imposed on the re-export of prohibited goods. Section 125 enables the Customs Officer...
ITAT Cases Weekly Round-Up: 09 To 15 June 2024
Income From Reselling Of Subscription Based Product Is Royalty: ITATCase Title: Gartner Ireland Ltd. Versus DCITThe Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has held that the income from the reselling of subscription-based products is royalty.Income Tax Deduction Allowable On Expenditure Incurred On Warranty Claim: ITATCase Title: Grey Orange India Pvt. Ltd. Versus ACITThe Delhi...