Category Archives: Income Tax

Supreme Court Covid Limitation Extension Does Not Apply to Statutory Assessment Timelines, Dismissing Revenue Application

By | July 18, 2026
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Supreme Court Covid Limitation Extension Does Not Apply to Statutory Assessment Timelines, Dismissing Revenue Application Issue Whether the extension of limitation granted by the Supreme Court owing to Covid-19 applies to statutory assessment time limits, and whether the Tribunal’s order quashing a time-barred assessment can be recalled via a miscellaneous application. Facts The Dispute Resolution… Read More »

INCOME TAX CASE LAW DIGEST 16.06.2026

By | July 18, 2026
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INCOME TAX CASE LAW DIGEST 16.06.2026 INCOME TAX CASE LAW DIGEST 16.06.2026 Relevant Act Section Case Law Title Brief Summary Citation Income Tax Act, 1961 Section 11 National Academy of Agricultural Sciences v. Income-tax Officer Receipts from providing commercial conference and auditorium facilities are not incidental to charitable objects and constitute taxable business income under… Read More »

DGCEI is a Law Enforcement Agency, Exempting Revenue Appeals From Low Tax Effect Monetary Limits

By | July 18, 2026
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DGCEI is a Law Enforcement Agency, Exempting Revenue Appeals From Low Tax Effect Monetary Limits Issue Whether the Directorate General of Central Excise Intelligence (DGCEI) qualifies as a law enforcement agency under paragraph 10(e) of the CBDT Circular dated 11.07.2018 (read with Circular dated 20.08.2018), thereby exempting the Revenue’s appeal from dismissal based on low… Read More »

Order Violating Interim Stay Set Aside and Remanded for Reconsideration to Ensure Fair Hearing

By | July 18, 2026
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Order Violating Interim Stay Set Aside and Remanded for Reconsideration to Ensure Fair Hearing Issue Whether an order rejecting a tax pre-deposit waiver is sustainable when passed on insufficient notice and followed by an illegal tax recovery executed by the revenue authorities in direct violation of an active High Court interim stay. Facts The petitioner-assessee… Read More »

Section 153A Assessment is Invalid Without a Search Warrant or Panchnama in the Assessee’s Name

By | July 18, 2026
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Section 153A Assessment is Invalid Without a Search Warrant or Panchnama in the Assessee’s Name Issue Whether the Assessing Officer is legally justified in assuming jurisdiction and framing an assessment under Section 153A against an individual when the underlying search action under Section 132 was not validly initiated in that specific individual’s name. Facts The… Read More »

Escaped Assessment Notices Struck Down if for AY 2015-16, Else Remanded for Redetermination

By | July 18, 2026
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Escaped Assessment Notices Struck Down if for AY 2015-16, Else Remanded for Redetermination Escaped Assessment Notices Struck Down if for AY 2015-16, Else Remanded for Redetermination Issue Whether the impugned reassessment notices are liable to be struck down outrightly under the revenue’s concession if they pertain to Assessment Year 2015-16, or whether the matters should… Read More »

Assessing Officer Must Apply Comparable Gross Profit Rate and Cannot Make Separate Expense Disallowances After Rejecting Books

By | July 18, 2026
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Assessing Officer Must Apply Comparable Gross Profit Rate and Cannot Make Separate Expense Disallowances After Rejecting Books Assessing Officer Must Apply Comparable Gross Profit Rate and Cannot Make Separate Expense Disallowances After Rejecting Books Issue Whether the Assessing Officer is justified in estimating a liquor trader’s gross profit at 4% when a 3.13% rate was… Read More »

Unrecorded Sales Gross Profit Estimate Deleted As Assessing Officer Failed To Formally Reject Books

By | July 18, 2026
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Unrecorded Sales Gross Profit Estimate Deleted As Assessing Officer Failed To Formally Reject Books Unrecorded Sales Gross Profit Estimate Deleted As Assessing Officer Failed To Formally Reject Books Issue Whether the Assessing Officer can legally estimate a firm’s gross profit on unrecorded sales without formally rejecting its books of account under section 145(3) or invoking… Read More »

Medical Reimbursements Up to ₹15,000 Are Exempt From Fringe Benefit Tax for Employers

By | July 18, 2026
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Medical Reimbursements Up to ₹15,000 Are Exempt From Fringe Benefit Tax for Employers Issue Whether medical reimbursements up to ₹15,000 per employee per annum, which are exempt from tax in the hands of the employees, are liable for Fringe Benefit Tax (FBT) in the hands of the employer under Section 115WB. Facts The case pertains… Read More »

Pure Equity Debentures Excluded from MAT Transition Amount; Section 14A Disallowance Fails Without Recorded Dissatisfaction

By | July 18, 2026
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Pure Equity Debentures Excluded from MAT Transition Amount; Section 14A Disallowance Fails Without Recorded Dissatisfaction Pure Equity Debentures Excluded from MAT Transition Amount; Section 14A Disallowance Fails Without Recorded Dissatisfaction Issue Whether Fully Convertible Debentures (FCDs/ZOFCDs) consisting purely of equity components can be categorized as Compound Financial Instruments (CFIs) or “other equity” to trigger a… Read More »