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63 orders · Page 1 of 2
The Tribunal condoned the delay in filing the appeal. Regarding the addition, the Tribunal held that the deposits represented sale proceeds and directed the AO to estimate a reasonable profit on such turnover, rather than taxing the entire deposit.
The Tribunal found that the AO had not applied independent mind while reopening the assessment and had not considered the cost of construction/improvement. For one property, the timing of construction was disputed and required further verification by the AO.
The Tribunal upheld the CIT(A)'s decision, finding the assessee's claimed expenditure of around 4.9% to be unrealistic. The tribunal agreed that estimating expenditure at 15% of gross agricultural income was a reasonable view.
The Tribunal upheld the CIT(A)'s decision to estimate expenditure at 15% of gross agricultural income, finding the assessee's claimed expenditure to be unrealistic. The appeal was dismissed.
The Tribunal found that the AO had not applied independent mind while reopening the assessment and had not considered the cost of construction/improvement. For one property, the timing of construction was disputed and required further verification by the AO.
The Tribunal held that if a portion of the incentive/commission income was already offered to tax in the preceding year based on accrual and Form 26AS, it cannot be taxed again based on receipt in the current year to avoid double taxation.
The Tribunal held that the assessee furnished inaccurate particulars of income by claiming bogus long-term capital gains. The surrender of income during assessment proceedings, coupled with the lack of verifiable evidence, supported the penalty.
The Tribunal held that penalty under Section 271(1)(c) cannot be levied on a legal heir when the deceased assessee is not available to explain the default. The disclosure by the legal heir was considered bona fide.
The Tribunal held that the CIT(A) dismissed the appeal summarily without discussing the merits. Therefore, one more opportunity should be granted to the assessee to present her case.
The Tribunal accepted the assessee's prayer to withdraw the appeal. The appeal was dismissed as withdrawn by the assessee.
The Tribunal held that even if the interest expenditure was for business purposes, it would result in a business loss eligible to be set off against other income, including interest income. Therefore, the claim of interest expenditure against interest income was allowable.
The Tribunal held that the existence of the boundary wall was not denied by the AO, and the assessee had provided receipts and affidavits. Therefore, the claim for the cost of construction of the boundary wall could not be rejected in toto.
The Tribunal held that even if the interest expenditure was for business purposes, it would result in a business loss eligible to be set off against other income, including interest income. Therefore, the claim of interest expenditure against interest income was allowable.
The Tribunal held that for deduction under Section 57(iii), the expenditure must be wholly and exclusively for earning income, and the end result or rate comparison is not relevant. The disallowance made by the AO and confirmed by the CIT(A) was unjustified.
The Tribunal held that income taxed under Section 68 as unexplained cash credit cannot be set off against business losses. The appeal was dismissed, though a partial allowance was made for opening cash balance.
The Tribunal found that the assessee had raised specific objections regarding entries in Form 26AS not pertaining to them and also pointed out reversed entries in a reconciliation statement. The AO had not properly verified these claims.
The Tribunal held that the commission income received by the assessee is an explained source for the loss incurred in commodity transactions. Therefore, the loss incurred in commodity exchange is eligible for set-off against the commission income.
The Tribunal set aside the issue of unsecured loan to the AO for verification of additional evidence and creditworthiness of the creditor. Additions related to stamp duty were deleted as they were not part of the Section 263 proceedings. Other grounds were dismissed or not pressed.
The Tribunal held that the assessee failed to explain the cause of delay in filing the appeal. Therefore, the appeal was not maintainable as it was barred by limitation.
The Tribunal noted that for a subsequent assessment year, the AO allowed interest expenditure to the extent of interest income. Following this precedent, the Tribunal allowed the claim of interest expenditure to the extent of interest income earned by the assessee.
The Tribunal held that since the property was shown as a business asset and used for security purposes without charging rent, it could not be assessed as income from house property. The addition made by the AO was deleted.
The Tribunal held that since the assessee provided all details regarding the cost of acquisition, and the discrepancy was due to a computation error in indexed cost spread over many years, it did not amount to concealment of income or furnishing inaccurate particulars.
The Tribunal partially allowed the appeal. It deleted disallowances on telephone, travelling, and office expenses, finding them to be either verifiable or not excessive. However, it upheld the 10% disallowance on building repair and maintenance expenses due to cash payments and self-made vouchers.
The Tribunal held that the disallowance of development expenditure was uncalled for as the assessee had produced documentary evidence and the work was actually carried out. Similarly, the disallowance of 50% of development expenses for contract work was deleted as the work was certified by JVVNL, despite minor irregularities in documentation.
The Tribunal held that the penalty under Section 271AAB is not automatic but discretionary and must be levied based on the specific definition of undisclosed income provided in the section. Following its own prior decisions in identical cases, the Tribunal deleted the penalty.
The Tribunal held that the assessee had provided sufficient evidence to establish the identity, creditworthiness, and genuineness of the loan transactions. Regarding the capital introduction, the Tribunal found that the assessee had a substantial opening cash balance, thus explaining the source of the capital.
The Tribunal agreed that the lack of documentary evidence was an issue but found the 20% disallowance to be excessive. It restricted the disallowance to 10% of the claimed expenses, considering them essential for business operations.
The Tribunal found that the lower authorities had not determined the dominant intent and purpose of the corporation's establishment. Therefore, the matter was remanded to the CIT(A) to re-examine the dominant purpose, considering the relevant Act and High Court decisions.
The Tribunal held that the appeals filed by the department were not maintainable as the tax effect did not exceed the monetary limit prescribed by the CBDT. The department was granted liberty to file a miscellaneous application if the tax effect was found to be higher.
The Tribunal held that the CIT(A) erred in rejecting additional evidence without proper inquiry or a remand report. The matter was set aside to the AO for fresh verification of the evidence and a decision after providing an opportunity to the assessee.
The Tribunal held that issuing a notice under Section 143(2) is a mandatory prerequisite for assuming jurisdiction when an assessment is completed based on a return filed by the assessee, even in reassessment proceedings. Failure to issue such a notice renders the assessment order void ab initio.
The Tribunal found that the lower authorities had not determined the dominant intent and purpose of the corporation's establishment. Therefore, the matter was remanded to the CIT(A) to re-examine the dominant purpose, considering the relevant Act and High Court decisions.
The Tribunal held that the payment of Rs. 19,60,000/- by the tiller/tenant through banking channels, as admitted in his statement, could not be doubted as agricultural income. Combined with past savings, the source of a significant portion of the deposit was explained.
The Tribunal held that the appeals filed by the department were not maintainable as the tax effect did not exceed the monetary limit prescribed by the CBDT. The department was granted liberty to file a miscellaneous application if the tax effect was found to be higher.
The Tribunal held that the AO's reasons for reopening were vague and based on borrowed satisfaction without independent application of mind. The reassessment proceedings were initiated on incomplete and incorrect information.
The Tribunal held that additions/disallowances in section 153A proceedings are not sustainable without incriminating material found during search. The disallowance of tuition fees was upheld due to lack of evidence, while disallowance of interest expenses and addition on LTCG were deleted.
The Tribunal held that additions made under Section 153C without any incriminating material found during the search belonging to the assessee are not sustainable. Consequently, the additions on account of FDR interest and Post Office/Savings Bank interest were deleted.
The Tribunal held that additions/disallowances in section 153A proceedings are not sustainable without incriminating material found during search. The disallowance of tuition fees was upheld due to lack of evidence, while disallowance of interest expenses and addition on LTCG were deleted.
The Tribunal held that additions made under Section 153C without any incriminating material found during the search belonging to the assessee are not sustainable. Consequently, the additions on account of FDR interest and Post Office/Savings Bank interest were deleted.
The Tribunal held that additions made under Section 153C without any incriminating material found during the search belonging to the assessee are not sustainable. Consequently, the additions on account of FDR interest and Post Office/Savings Bank interest were deleted.
The Tribunal held that the Power of Attorney and sale deed did not prove a prior sale by the assessee. However, the issue of indexed cost of acquisition/improvement was set aside to the AO for verification of supporting evidence.
The Tribunal held that the AO's failure to issue a draft assessment order before passing the final assessment order, as mandated by Section 144C, renders the assessment order illegal and without jurisdiction. A show-cause notice cannot substitute for a draft assessment order.
The Tribunal set aside the order of the CIT(A) and remanded the matter back for a decision on merits. The assessee was directed to attend the proceedings and not seek adjournments without reasonable cause.
The Tribunal allowed the assessee's application to admit additional evidence, finding it necessary for adjudicating the controversy. The issue was restored to the Assessing Officer (AO) for verification of these documents and passing a fresh assessment order.
The Tribunal held that interest under Section 234C cannot be charged for advance tax installments due before the date of the search, as the assessee could not have foreseen the additional income. However, interest for the installment due on March 15, 2016, is applicable.
The Tribunal concurred with the CIT(A)'s decision, stating that penalty under Section 271(1)(c) cannot be levied on additions made purely on an estimation basis without specific instances of profit suppression.
The Tribunal held that the disputed refund claim, which was rejected by the Customs authorities, could not be considered as accrued income. Therefore, it was not taxable in the hands of the assessee.
The Tribunal held that the manual filing within the limitation period constituted a valid appeal, and the delay in electronic filing was a technical breach. The CIT(A)'s order was set aside to decide the matter on merits.
The Tribunal held that while locational advantage and actual commercial use are relevant for determining fair market value, they do not automatically reclassify a residential property as commercial. The DVO erred in applying commercial rates to a property that is residential as per record, even if it was being used for commercial purposes. Unauthorized use does not enhance the value to the extent of reclassifying it as commercial. The Tribunal noted that the Stamp Duty Authority initially applied residential rates but revised them to commercial rates, possibly based on actual use. The Tribunal found that the DVO's determination of fair market value required a fresh look, considering the prevailing fair market price and comparable sale instances, particularly the sale instances brought on record by the assessee. The Tribunal set aside the issue of fair market value to the DVO/AO for redetermination, directing them to consider the actual character of the property and comparable sale instances. The Tribunal also noted that for computing the cost of construction, State PWD rates should be applied. Since comparable sale instances supported the assessee's contention that the fair market value could not exceed the purchase consideration, no addition under Section 56(2)(vii) was called for. The addition made by the AO and sustained by the CIT(A) was deleted.
The Tribunal held that the appeals filed by the department were not maintainable as the tax effect did not exceed the monetary limit prescribed by the CBDT. The department was given liberty to file a Miscellaneous Application if the tax effect was found to be higher or if the case fell under any exceptions.