Tax
No Addition Permitted U/s 69A Once Taxpayer Properly Explains Source Of Cash Deposit: Vishakhapatnam ITAT
Finding that the assessee has properly explained the source of cash deposit, the Visakhapatnam ITAT directed the AO to delete the addition made u/s 69A of the Income Tax Act. The Bench of Duvvuru Rl Reddy (Judicial Member) observed that “the assessee has mentioned about the receipts of sale consideration as per the sale of agreement in his books of accounts. As per...
Correction In Form 35A Is No Basis To Treat Such Form As Filed Beyond Time Limit: Mumbai ITAT Allows Expenses Incurred In Earning Capital Gain
Since the AO did not consider that assessee has incurred expenses as per the terms & conditions of the agreement, the Mumbai ITAT directed the AO to allow the claim of the assessee to treat Form No. 35A as filed after verification of the copy of agreement and copy of bank statement filed by the assessee. The Bench of Amit Shukla (Judicial Member) and Amarjit Singh (Accountant...
Time Barred Notice Issued U/s 153C And Consequent Assessment Order Passed U/s 143(3) R/w/s 153C Is Void Ab Initio: Chennai ITAT
The Chennai ITAT held that since the notice issued by AO for subject assessment year falls beyond the stipulated six assessment years and four relevant assessment years, considering the satisfaction note, the notice issued by AO u/s 153C of Income tax Act for initiation of proceeding against assessee and consequent assessment order passed u/s.143(3) r/w/s 153C is barred by limitation,...
Assessment Made Purely Based On Assumption & Unverified Statement Of Third Party, Is Bad In Law: Mumbai ITAT
Finding that the AO has completely relied on the statement of third party without giving opportunity to the assessee to prove its point of view, which is against natural justice, the Mumbai ITAT held that such assessment order to be bad in law which was made purely on the basis of assumption and unverified statement of the third party. The ITAT also held that the addition cannot be...
ITO Can Presume That Books Of A/C Found During Search U/s 132/ Survey U/s 133A Belongs To Person Upon Whom Said Action Is Initiated: Delhi ITAT
While rejecting the appeal challenging the validity of notice issued u/s 153A, the New Delhi ITAT held that section 292CC of the Income Tax Act empowers an officer to presume that the books of account or other document found during search u/s 132 or survey u/s 133A belongs to a person upon whom search or survey has been done. The Bench of M. Balaganesh (Accountant Member) and Yogesh...
AO Can't Reopen Assessment Beyond Period Of Four Years When There Was Full Disclosure By Assessee: Mumbai ITAT
On finding that the reopening of the assessment is beyond the time limit provided under the proviso to Section 147 of the Income Tax Act, the Mumbai ITAT quashed the order of disallowance passed by the AO for disallowing the interest paid for acquisition of the property from computation of short-term capital gain. The Bench of Amit Shukla (Judicial Member) and S Rifaur Rahman...
Eligible Industrial Undertakings Carrying Out Manufacturing Activity Is Only Essential Requisite For Claiming Benefit Of Sec 80IC: Delhi High Court
The Delhi High Court dismisses Revenue's appeal against ITAT's order in case of Dabur India Ltd., while reiterating that for purpose of deduction u/s 80IB & 80IC of the Income tax Act, the only essential requisite is that the eligible industrial undertakings should be carrying out manufacture or production of articles or things. With respect to valuation of shares of...
CESTAT Cases Weekly Round-Up: 21 April To 27 April 2024
Technical Assistance For Manufacture Of Aircraft & Engines Not Covered Under IPR-Services: CESTAT Case Title: M/s. Hindustan Aeronautics Limited Versus Commissioner of Central Excise, Customs and Service Tax The Kolkata Bench of Customs Excise and Service Tax Appellate Tribunal (CESTAT) has held that technical assistance for the manufacture of aircraft and engines is not...
Service Tax Demand Not Sustainable On Imparting Education With Intensive Preparation For Competitive Exams: CESTAT
The Hyderabad Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has held that the appellant-Society is not liable to pay service tax on their activity of imparting education as per the Intermediate curriculum, with intensive preparation for competitive exams.The bench of Anil Choudhary (Judicial Member) and A.K. Jyotishi, (Technical Member) has observed that post 2011, there...
CESTAT Cases Monthly Round Up: April 2024
Service Tax Payable On Income Received By Smaaash From Bowling Alley Would Be Covered Under Amusement Facility: CESTATCase Title: M/s Smaaash Leisure Limited Versus Commissioner of Central Goods & Service Tax, New DelhiThe Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the income received by the Smaaash from bowling alley would be covered...
Sanctioning Authority Has To Be PCCIT For Issuing Reopening Notice After Expiry Of Three Years: Bombay High Court
The Bombay High Court has held that the sanctioning authority has to be the Principal Chief Commissioner of Income Tax (PCCIT) for issuing a reopening notice after the expiry of three years.The bench of Justice K. R. Shriram and Justice Neela Gokhale has observed that, as per the order and the notice, the authority that has accorded the sanction is the PCIT-27, Mumbai. The matter pertains...
Life Of Provisional Attachment Order Is Only One Year: Delhi High Court
The Delhi High Court has held that the life of an order of provisional attachment is only one year.The bench of Justice Sanjeev Sachdeva and Justice Ravinder Dudeja has observed that the communication of attachment is dated August 14, 2019, and a period of one year has elapsed since the issuance of the communication. Consequently, the order dated August 14, 2019 has ceased to be effective...