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527 orders · Page 6 of 11
The Tribunal held that the activities of providing distance education by a recognized university were not to be treated as 'business'. It also noted that the assessee was not registered under Section 12AA, but this was not relevant if the institution existed solely for educational purposes.
The Tribunal held that while the change in head of income due to a lull in business might not be acceptable in quantum proceedings, it could be accepted in penalty proceedings. Given the circumstances and the availability of all facts, the penalty was quashed as the assessee's explanation was considered bonafide and plausible.
The Tribunal held that as per Section 268A of the Income Tax Act and CBDT Circular No. 21 of 2015, the Department should not have filed appeals where the tax effect is below the prescribed monetary limit. Such pending appeals should be withdrawn or not pressed.
The Tribunal held that as per Section 268A of the Income Tax Act and CBDT Circular No. 21 of 2015, the Department should not have filed appeals where the tax effect is below the prescribed monetary limit. Such pending appeals should be withdrawn or not pressed.
The Tribunal admitted the additional ground challenging the reassessment initiation as it was a legal issue going to the root of the matter. However, it remanded the case back to the CIT(A) to decide this issue first.
The Tribunal held that the Department ought not to have filed these appeals given the low tax effect and the binding instructions from the CBDT. Consequently, the appeals were dismissed.
The Tribunal held that the Department's appeal was not maintainable due to the low tax effect, as per CBDT instructions. The Department should have withdrawn or not pressed the appeal.
The Tribunal held that as per Section 268A of the Income Tax Act and CBDT Circular No. 21 of 2015, the Department should not have filed appeals where the tax effect is below the prescribed monetary limit. Such pending appeals should be withdrawn or not pressed.
The Tribunal held that the Department's appeal was not maintainable due to the low tax effect, as per CBDT Circular No. 21/2015. The circular mandates that appeals with a tax effect below a certain limit should not be filed or should be withdrawn.
The Tribunal upheld the CIT(A)'s decision, agreeing that the bad debt write-off, including principal and interest from a loan by an NBFC, is incidental to business and deductible as a business loss under Section 28 of the Act.
The Tribunal held that the assessee did not conceal or furnish inaccurate particulars of income, as the disallowance was based on information provided by the assessee. Penal provisions require proof beyond doubt, which was absent here.
The Tribunal confirmed the CIT(Appeals)'s decision to estimate the gross profit at 15%, considering the assessee's past history and the destruction of books. The Tribunal also upheld the deletion of the addition on sundry creditors, noting that confirmations were later provided and the AO had not made an independent addition on that ground.
The Tribunal held that the Department's appeal was not maintainable due to the low tax effect, as per CBDT Circular No. 21/2015. The Department should have withdrawn or not pressed the appeal.
The Tribunal dismissed the Revenue's appeals as the tax effect was below the prescribed limit. The Tribunal also dismissed the assessee's appeals, stating that losses must be determined by the AO to be allowed for carry-forward as per Sections 70 to 79 of the Income Tax Act.
The Tribunal dismissed the Revenue's appeals as the tax effect was below the prescribed limit. The Tribunal also dismissed the assessee's appeals, stating that losses must be determined by the AO to be allowed for carry-forward as per Sections 70 to 79 of the Income Tax Act.
The Tribunal held that the transaction of sale, based on the agreement for sale and possession given in 2007, should not have been assessed in the assessment year 2009-10. The AO erred in not considering the provisions of Section 247 and in determining the cost of acquisition.
The tribunal directed the Assessing Officer to re-examine the claim for set off of carryforward losses. The addition on account of loans was upheld, and the disallowance of depreciation was confirmed. However, the disallowance of salary expenses was reversed.
The Tribunal held that expenses incurred before the MCI notification of 10/12/2009 and CBDT circular of 01/08/2012 were not disallowable. However, additions on account of excess stock were upheld due to the assessee's inability to reconcile inventory.
The Tribunal held that the identity of the donors was not in doubt and their creditworthiness was supported by substantial landholdings. The Tribunal found that the Assessing Officer doubted the creditworthiness on mere assumption and directed the deletion of the addition.
The tribunal confirmed the addition of short-term capital gain to the assessee's income, finding that the assessee failed to provide any evidence to support his benami claim. The tribunal also disallowed brokerage expenses due to a lack of supporting evidence.
The Tribunal held that the appeal was not maintainable in view of CBDT Circular No. 21/2015, which stipulates that appeals with a tax effect below Rs. 10,00,000/- should not be filed or pressed. The Department should have withdrawn the appeal.
The Tribunal held that the appeal was not maintainable in view of CBDT Circular No. 21/2015, which mandates that appeals with a tax effect below Rs. 10,00,000/- should not be filed or should be withdrawn. The circular was also applicable to pending appeals.
The Tribunal, following established legal principles regarding vigilance and non-prosecution, decided to dismiss the appeals. The assessee was granted liberty to apply for recalling the order if sufficient cause for absence was shown.
The Tribunal held that expenses incurred before the MCI notification of 10/12/2009 and CBDT circular of 01/08/2012 were not disallowable. However, additions on account of excess stock were upheld due to the assessee's inability to reconcile inventory.
The Tribunal held that the reopening of assessment under Section 147 was improper and illegal as the reasons recorded by the AO were vague and lacked supporting material. Consequently, the addition made on merits was also quashed.
The Tribunal held that the CIT erred in revising the assessment order as the Assessing Officer had conducted sufficient inquiry. The revision order was deemed invalid, and consequential proceedings were rendered redundant.
The Tribunal held that neither the AO nor the CIT(A) provided a basis for restricting the interest rate. For car-related expenses, it was held that insurance, depreciation, and interest on car loans should not be disallowed as they are incurred even if the vehicle is not used for personal purposes. A partial disallowance was upheld for telephone expenses.
The Tribunal upheld the decision of the CIT(A) to delete the penalty. It found that the additions were based on debatable issues or bonafide beliefs, and not on concealment or furnishing of inaccurate particulars of income. The Tribunal also noted that similar issues in a prior assessment year had resulted in penalty deletion.
The Tribunal found that the appeal's tax effect was below the threshold specified in CBDT Circular No. 21/2015, which has statutory force. Therefore, the appeal was not maintainable.
The Tribunal held that the CIT(A) passed the order prematurely without affording the assessee a proper opportunity to be heard. This violated the principles of natural justice.
The Tribunal confirmed the addition of Rs. 61,25,000, finding that the assessee failed to prove the creditworthiness and genuineness of the loan transactions. However, the addition of Rs. 11,09,350 under Section 41(1) was set aside and remanded for further inquiry.
The Tribunal held that the initiation of proceedings under Section 147 of the Income Tax Act, 1961, was invalid. The Tribunal relied on the decision of the jurisdictional High Court in CIT vs. G&G Pharma India Ltd., which held that the AO must apply their own mind to the materials to form a reason to believe that income has escaped assessment. In the present case, the reasons recorded were based on information received from the DIT (Inv.) and merely narrated that information without demonstrating any independent application of mind by the AO to form his own belief. The Tribunal found that the AO had simply recorded the information received from the Investigation Wing and, without exercising his mind on this information, concluded that income had escaped assessment and issued notice under Section 148. Therefore, the assessment framed under Section 147 read with Section 143(3) was held to be void-ab-initio. Consequently, the issue regarding the addition of Rs. 10,01,045/- became infructuous. Ground No. 1(a) was allowed.
The Tribunal held that the process of converting menthol oil into crystals constituted manufacturing, entitling the assessee to deduction under Section 80IB, as the profit was derived from manufactured goods in opening stock. The revenue's appeal was dismissed due to low tax effect.
The Tribunal noted confusion regarding the address for notice service and the ex-parte assessment. To ensure fairness and considering the assessee's undertaking to cooperate, the assessment was set aside and remanded to the Assessing Officer for a fresh assessment.
The Tribunal found that the CIT(A) had not properly verified facts, including whether the commission agents had paid taxes on their income. Therefore, the matter was restored to the CIT(A) for fresh adjudication after proper verification and affording opportunities to both parties.
The Tribunal held that the rejection of books of accounts and estimation of gross profit by the AO was unjustified. The CIT(A)'s deletion of the additions was confirmed as the assessee maintained regular books, provided sufficient details, and the nature of the business made a stock register less critical.
The Tribunal held that the RBI regulations do not determine the true nature of the receipt in the hands of the assessee. It found no distinguishing features from earlier years' decisions and concluded that the discounting charges were not in the nature of interest.
The Tribunal held that the AO's ad-hoc additions and disallowances were not justified as the books of accounts were not formally rejected and no cogent reasons or evidence supported the AO's findings. The Tribunal also noted that the assessee was not granted proper opportunities.
The Tribunal held that the AO failed to bring sufficient material on record to prove that the purchases were not genuine or that the books of accounts were unreliable. The Tribunal also found that additions regarding sundry creditors were untenable as they related to prior years, and the issue of share application money pertained to previous years.
The Tribunal dismissed the appeal regarding the addition of unsecured loans, finding that the lenders lacked creditworthiness and the transactions were not genuine. However, the appeal concerning the disallowance for non-deduction of TDS was allowed with directions to the AO.
The Tribunal upheld the CIT(A)'s decision, confirming that capital gains on property transferred to a firm as capital contribution are taxable under Section 45(3) in the year of transfer. The difference in the capital account was also deleted as it was a genuine accounting error explained by documented loan advancements.
The Tribunal held that a transfer of property occurred as possession was handed over, making capital gains chargeable. It also confirmed that HUFs were not eligible for deduction under Section 54B for AY 2012-13, as the amendment extending this benefit to HUFs was effective from AY 2013-14.
The Tribunal held that the notice under Section 148 was issued beyond the time limit prescribed by Section 150(2) read with Section 149 of the Income Tax Act. Therefore, the reassessment notice was quashed.
The Tribunal held that the assessee had sufficient cash available for the purchase of a residential flat, confirming the deletion of the addition. It also confirmed the deletion of disallowances for interest and miscellaneous expenses, finding no basis for ad-hoc additions.
The Tribunal, following its own order for the previous assessment year, directed the AO to make the addition of only the peak credit of the bank deposits as income, after providing the assessee with an opportunity of being heard. Other grounds were rendered infructuous.
The Tribunal dismissed the Revenue's appeals as the tax effect was below the prescribed limit. The Tribunal also dismissed the assessee's appeals, stating that losses must be determined by the AO to be allowed for carry-forward as per Sections 70 to 79 of the Income Tax Act.
The Tribunal held that the Department's appeal was not maintainable as the tax effect was below the prescribed monetary limit as per CBDT Circular No. 21/2015. The circular is applicable to pending appeals.
The Tribunal dismissed the Revenue's appeals as the tax effect was below the prescribed limit. The Tribunal also dismissed the assessee's appeals, stating that losses must be determined by the AO to be allowed for carry-forward as per Sections 70 to 79 of the Income Tax Act.
The Tribunal found that the CIT(A) had dismissed the appeal. However, considering the assessee's contention of an error in expense categorization, the Tribunal restored the matter to the AO for fresh adjudication.
The Tribunal held that neither the AO nor the CIT(A) provided a basis for restricting the interest rate. For car-related expenses, it was held that insurance, depreciation, and interest on car loans should not be disallowed as they are incurred even if the vehicle is not used for personal purposes. A partial disallowance was upheld for telephone expenses.