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164 orders · Page 1 of 4
The Tribunal condoned the delay in filing the appeal, acknowledging that the assessee is a senior citizen and that the Revenue did not object. The Tribunal restored the matter to the Assessing Officer for a fresh decision, providing the assessee with an opportunity to be heard, and imposed costs on the assessee for his non-vigilance.
The Tribunal held that the interest income earned on assets declared under IDS, 2016, should be considered explained. The immunity granted under IDS extends to the income derived from the declared assets, including interest earned during the intervening period.
The Tribunal noted that the CIT(A) had dismissed the rectification application, holding that the mistake was not apparent from the record as per Section 154 of the Act and relying on Supreme Court decisions. However, the Tribunal restored the matter to the AO.
The Tribunal noted that the assessee argued for a reasonable opportunity of being heard and for the matter to be remanded. The Tribunal acknowledged the assessee's contention that the CIT(A) ignored submitted material and did not provide a fair hearing.
The Tribunal noted that the assessee claimed income was taxed twice. The assessee demonstrated that income from property and other sources was already offered, and reclassifying it under business income was incorrect. The Tribunal found merit in the assessee's argument.
The Tribunal observed that while the assessee's representative argued that non-compliance was due to the Covid pandemic and a short span for responding to notices, there was also non-appearance before the CIT(A). The Tribunal decided to restore the matter to the Assessing Officer for a fresh assessment.
The Tribunal held that the lower appellate authority (Addl./JCIT(A)) passed conflicting orders by dismissing the appeal for delay while also giving directions for re-computation of capital gains. The Tribunal restored the matter to the AO for a fresh decision, providing the assessee with another opportunity to be heard.
The Tribunal held that the evidence submitted by the assessee regarding foreign remittance for the creation of FDRs worth Rs. 1,40,00,000/- established the source of investment. Therefore, it was not a case of unexplained investment attracting Section 69.
The Tribunal held that the issue of allowance/disallowance of interest claimed under Section 36(1)(iii) in respect of amounts invested in subsidiaries/group companies/associates requires a fresh determination. The findings of the CIT(A) on this issue were set aside, and the matter was remitted to the Assessing Officer (AO) to determine the amount of interest-free funds available with the assessee after verifying relevant documents. The AO is to adjudicate the issue in accordance with law. Regarding the valuation of shares and any resulting loss from the merger of CFCL Technologies Ltd. with CFCL Ventures Ltd., the Tribunal found that the valuation needed to be assessed before any further findings could be recorded. The CIT(A)'s findings in this regard were also set aside, and the matter was remanded to the AO for determining the valuation of shares as on the date of transfer, after providing an opportunity of being heard to the parties. The Tribunal noted that there was no merit in the Revenue's contention that the merger was not a 'transfer' under Section 2(47) of the Act, citing the decision in Commissioner of Income Tax, Cochin v. Mrs. Grace Collis and Ors. The appeals filed by the department were partly allowed for statistical purposes concerning the interest disallowance issue, and dismissed on other issues based on the findings recorded.
The Tribunal set aside the CIT(A)'s findings on interest disallowance and remitted the matter back to the Assessing Officer to determine the availability of interest-free funds. Regarding the valuation of shares and capital loss, the Tribunal also remanded the issue to the Assessing Officer for fresh determination.
The Tribunal set aside the CIT(A)'s findings on interest disallowance and remitted the matter back to the Assessing Officer to determine the availability of interest-free funds. Regarding the valuation of shares and capital loss, the Tribunal also remanded the issue to the Assessing Officer for fresh determination.
The Tribunal set aside the findings of the CIT(A) regarding the disallowance of interest claimed under Section 36(1)(iii) in respect of amounts invested in subsidiaries/group companies/associates. The matter is remitted to the Assessing Officer (AO) to determine the amount of interest-free funds available with the assessee during the assessment years under consideration, after verifying relevant documents, and then adjudicate the issue in accordance with law. Regarding the valuation of shares and any resultant loss from the merger of CFCL Technology Limited, the Tribunal also set aside the CIT(A)'s findings. This issue is remanded to the AO for determination of the valuation of shares as on the date of transfer, after providing a reasonable opportunity to the parties. The Tribunal noted that the merger appeared to be a veiled attempt at tax avoidance. The appeals filed by the department are partly allowed for statistical purposes, and for other issues, the appeals are dismissed.
The Tribunal set aside the CIT(A)'s findings on interest disallowance and remitted the matter back to the Assessing Officer to determine the availability of interest-free funds. Regarding the valuation of shares and capital loss, the Tribunal also remanded the issue to the Assessing Officer for fresh determination.
The Tribunal condoned the short delay in filing the appeal. On merits, considering the previous counsel's demise and the unresolved issue of notice communication, the Tribunal restored the matter to the Learned CIT(A) for a fresh decision after providing the assessee a reasonable opportunity of being heard, disposing of the appeal for statistical purposes.
The Tribunal condoned the delay in filing the appeal. On merits, the Tribunal decided to remit the matter back to the Assessing Officer for a fresh decision after providing the assessee with a reasonable opportunity of being heard.
The Tribunal held that the assessment under section 153A, initiated after a search, obliges the Assessing Officer to assess or re-assess the total income for the preceding six assessment years. However, the second proviso to section 153A states that if an assessment for a year within that period is pending on the date of search, it abates. In this case, the assessment for the year under consideration had attained finality. Therefore, additions beyond the finally assessed income could not be made without incriminating material found during the search. The Tribunal found that the amount of share capital and security premium of Rs. 14,80,00,000/- received by the assessee company was genuine and could not be classified as bogus or accommodation entry. The Tribunal reasoned that the assessee had established the creditworthiness, identity of the payee, and genuineness of the transaction during the original assessment proceedings, and no new incriminating material was found during the search that would warrant a re-assessment under section 153A. Consequently, the additions made by the Assessing Officer were deleted.
The Tribunal held that the PCIT erred in setting aside the assessment order. The Tribunal noted that the Assessing Officer (AO) had recorded his satisfaction regarding the amount received in the financial year 2013-14. The AO had categorically observed that the total amount of Rs. 20,35,00,000/- was not received, and the assessee company had failed to explain the cash credit to the tune of Rs. 14,80,00,000/- received as share capital from M/s Vindus Holdings Ltd. in the financial year 2013-14. The Tribunal found that the PCIT's observation that the AO passed the assessment order in a routine and casual manner without proper verification was incorrect, especially since the assessee had provided details and the AO had made inquiries, including issuing a notice under Section 133(6) to M/s Vindus Holdings Limited. The Tribunal concluded that the assessment order was not erroneous as per the PCIT's raised issue. Therefore, the appeal filed by the assessee was allowed, and the order of the PCIT was set aside. The issue of condonation of delay in filing the assessee's appeal was also addressed, with the delay being condoned.
The tribunal held that the appellant failed to establish that they acted solely as a 'kachhaarhatia'. The difference between declared turnover in GST and ITR further indicated incorrect declaration. Consequently, only full credit of TDS u/s 194H was allowed.
The Tribunal allowed the condonation of delay, noting that the assessee's affidavit was unchallenged and the C.A.'s negligence was a valid ground. On merits, the Tribunal set aside the penalty orders, finding that the assessee, an agriculturist, had not received notice u/s 148 of the Act.
The Tribunal found that the assessee did not appear before the CIT(A) despite multiple notices and did not submit evidence. The matter was remanded to the Assessing Officer for a fresh decision after providing the assessee a reasonable opportunity to be heard, with the assessee being burdened with costs.
The Tribunal held that the CIT(A) correctly set aside the assessment orders. The proceedings initiated under Section 148 were found to be not sustainable in view of the High Court's decision in Shyam Sunder Khandelwal v. ACIT, which quashed similar notices.
The Tribunal noted that the department issued notices u/s 153C in compliance with the High Court's decision. Therefore, the appeals filed by the department were held to be not maintainable as the department had already given effect to the High Court's decision.
The Tribunal condoned the delay in filing the appeal, holding that the assessee should not suffer due to the lapse of the previous Chartered Accountant. On merits, the Tribunal decided to remit the issue of deduction to the Assessing Officer for decision.
The Tribunal held that the CIT(A) correctly set aside the assessment orders. The proceedings initiated under Section 148 were found to be not sustainable in view of the High Court's decision in Shyam Sunder Khandelwal v. ACIT, which quashed similar notices.
The Tribunal held that since the department issued a notice under Section 153C in compliance with the High Court's decision, it effectively acknowledged the prior ruling.
The Tribunal noted that the department issued notices u/s 153C in compliance with the High Court's decision. Therefore, the appeals filed by the department were held to be not maintainable as the department had already given effect to the High Court's decision.
The Tribunal held that since the department itself had issued a notice under Section 153C of the Act in compliance with the High Court's decision, the subsequent appeal challenging the set aside order was not maintainable. The special procedure under Section 153A and 153C prevails over general provisions like Section 147/148.
The Tribunal held that the agricultural lands sold by the assessee were not capital assets as defined under Section 2(14) of the Income Tax Act, 1961. The Tribunal analyzed the provisions of Section 2(14)(iii) concerning the definition of capital assets, specifically sub-clause (b) which deals with lands situated within specified distances from municipalities and their populations. The Tribunal found that while the population of Samalakha exceeded 10,000, the lands were not situated within 2 Kms. of the local limit of the Municipality of Samalakha, as required by limb (I) of sub-clause (b). Furthermore, considering Panipat, the population was less than 10,00,000, and the lands were situated at distances of 10.96 Kms. and 12.01 Kms., which exceeded the 6 Kms. limit stipulated in limb (II) of sub-clause (b). Therefore, the lands did not fall within the exceptions provided for treating them as capital assets. The Tribunal directed the AO to delete the addition of Rs. 38,56,889/-. Grounds 1 and 1.1 of the assessee's appeal were allowed.
The Tribunal noted that the assessee had admitted to undisclosed income of Rs. 70,00,003/- during the survey proceedings, which included unaccounted cash, excess stock, cash given to debtors, and investment in shop construction. The assessee had offered this income in his return and paid tax at normal rates. However, the AO treated these items as unexplained under Sections 69, 69A, and 69B and applied the higher tax rate under Section 115BBE. The assessee's contention that the excess stock was business income and that the survey statement was given under a mutual understanding was not accepted by the AO due to the lack of documentary evidence to substantiate the claim of business activities. The AO found the assessee's reply unsatisfactory and proceeded to tax the amounts under Section 115BBE. The CIT(A) upheld this view. The Tribunal, in its decision, has not explicitly stated its finding on each issue or provided detailed reasoning for its decision in the provided excerpt. The operative directions and the specific relief granted are also not detailed in this portion of the judgment. The judgment is incomplete.
The Tribunal held that the penalty under Section 271(1)(c) is not leviable when the income is returned under Section 148 and the disallowances were due to non-submission of bills, not concealment of income. The Tribunal also admitted additional evidence supporting the genuineness of the expenditure.
The Tribunal held that registered property deeds cannot be considered incriminating material. Since the revenue could not establish that the documents were incriminating or that the transactions were not disclosed in the original returns, the jurisdictional requirement for invoking Section 153A/153C was not satisfied.
The Tribunal noted that the society obtained registration under Section 12A and 80G on 25.07.2025, after the assessment order and the CIT(A) order. The Tribunal restored the matter to the Assessing Officer for fresh decision, considering the registration.
The Tribunal held that the case law relied upon by the Revenue (Kachwala Gems) was distinguishable on facts. Considering the assessee's past GP rates and the fact that the declared GP was in line with preceding years and not below industry standards, the addition was deleted.
The tribunal restored the matter to the CIT(A) to enable the assessee to file an application for condonation of delay. The CIT(A) is directed to decide the application first after giving an opportunity of being heard, and then proceed with the appeal.
The Tribunal noted that while some documents were submitted, it was unclear if all requested documents were provided to the CIT(E). The Tribunal restored the matter to the CIT(E) to provide the appellant with another opportunity to be heard and to dispose of the applications afresh.
The Tribunal held that the assessment orders passed under section 143(3) r.w.s. 153A were not void ab-initio. Regarding the addition of undisclosed brokerage, the Tribunal noted that the assessee admitted receiving brokerage on certain transactions during his statement under section 132(4) which were not recorded in his books. The AO's calculation of brokerage at 0.10 paisa per hundred per month was based on precedents accepted by the department. The Tribunal found that the assessee failed to provide documentary evidence for the period of loans and for certain transactions, leading to the AO's estimation. The Tribunal did not find merit in the assessee's claim that certain amounts were declared or not received, given the admissions made. The Tribunal did not specifically address the applicability of section 115BBE in the provided text, but the grounds suggest it was confirmed by the lower authorities. The operative direction was to uphold the additions made by the AO and sustained by the CIT(A) on the issue of undisclosed brokerage.
The Tribunal noted that while some documents were submitted, it was unclear if all requested documents were provided to the CIT(E). The Tribunal restored the matter to the CIT(E) to provide the appellant with another opportunity to be heard and to dispose of the applications afresh.
The Tribunal held that the assessment order was void ab initio as the notice under Section 142(1) was issued by an AO who lacked territorial jurisdiction. Consequently, the assessment order was quashed.
The Tribunal held that the assessee was non-compliant and failed to provide necessary documentation. Consequently, the grounds raised by the assessee were dismissed, and the orders of the lower authorities were confirmed.
The Tribunal held that the assessee was non-compliant and failed to provide necessary documentation. Consequently, the grounds raised by the assessee were dismissed, and the orders of the lower authorities were confirmed.
The Tribunal decided on the issues as follows: Issue 1 (Void ab initio assessment order): This issue was raised as a ground of appeal but was not explicitly addressed or decided upon by the Tribunal in the provided extract. The judgment proceeds to discuss other grounds. Issue 2 (Addition on account of undisclosed brokerage): The Tribunal did not provide a specific finding or decision on this issue in the provided extract. The discussion focuses on the addition related to diamond jewellery. Issue 3 (Applicability of Section 115BBE): The Tribunal did not provide a specific finding or decision on this issue in the provided extract. The discussion focuses on the addition related to diamond jewellery. Regarding the addition of Rs. 7,63,278/- on account of unexplained diamond/precious stones (discussed under ground no. 5 by the assessee, which seems to be a separate issue from the numbered grounds): The Tribunal found force in the assessee's argument that the addition was made solely because the valuation shown in the wealth tax return differed from the valuation undertaken at the time of search. The Tribunal noted that there was no finding by the lower authorities that the weight and items declared in the wealth tax return were not the same as those found. The mere existence of a difference in valuation, without a finding that the assessee purchased additional diamonds thereafter and remained unaccounted for, does not warrant an addition. Therefore, the addition of Rs. 7,63,278/- was directed to be deleted. This observation led to ground no. 5 being allowed. Operative Directions: The addition of Rs. 7,63,278/- on account of unexplained diamond/precious stones is deleted. The appeals are partly allowed.
The Tribunal addressed the issue of employee's Provident Fund (PF) contributions first. It noted that the PF contributions were deducted from salary but not deposited within the prescribed due dates. Section 2(24)(x) treats such contributions as deemed income, and Section 36(1)(va) disallows deduction if payment is not made within the due date. The Tribunal found that the issue is settled by the Hon'ble Supreme Court in the case of Checkmate Services (P.) Ltd. vs. CIT (448 ITR 518), which ruled against the assessee. Therefore, the Tribunal upheld the order of the CIT(A) in confirming the addition made by the AO and dismissed the assessee's cross objections for both assessment years. Regarding the Revenue's grounds concerning Section 14A and Section 115JB(2), the judgment states that the appeals of the Revenue are dismissed. However, the detailed reasoning for dismissing the Revenue's grounds is not fully provided in the excerpt, beyond a general statement that the matter is decided in favour of the assessee and against the Revenue, referencing decisions of the Rajasthan High Court and the dismissal of SLP by the Supreme Court in the case of Rajasthan State Beverages Corporation Ltd. The Tribunal noted that the issue of PF contribution disallowance is covered against the assessee by the Supreme Court in Checkmate Services.
The Tribunal condoned the delay in filing the appeal. While the Ld. CIT(A) dismissed the appeal ex-parte due to the assessee's failure to provide submissions, the Tribunal felt the matter should be decided on merits. Therefore, the case was restored to the Ld. CIT(A) for fresh adjudication.
The Tribunal held that the issue regarding employee's contribution to PF, deducted but not deposited within the due date prescribed under the relevant Act/Rule, is covered against the assessee by the Hon'ble Supreme Court's judgment in the case of Checkmate Services (P.) Ltd. Vs. CIT reported in 448 ITR 518. Consequently, the Tribunal upheld the order of the CIT(A) in confirming the addition made by the AO. The Tribunal dismissed the assessee's cross-objections for both assessment years. Regarding the Revenue's appeals concerning Section 14A and Section 115JB(2), the judgment notes that these grounds were taken by the Revenue. However, the operative part of the decision focuses solely on the dismissal of the Revenue's appeals and the assessee's cross-objections based on the PF contribution issue. The specific findings on the Section 14A and Section 115JB(2) issues are not explicitly detailed in the provided excerpt, but the dismissal of the Revenue's appeals implies they were not found to be sustainable. The ratio decidendi for the dismissal of the cross-objections is the Supreme Court's decision in Checkmate Services.
The Tribunal held that the AO failed to provide concrete evidence to prove the sales were bogus. The Tribunal also noted that the sales were already offered to tax in the trading account and could not be taxed again under Sections 68 or 69A.
The Tribunal held that the proceedings initiated under section 263 by the PCIT failed to satisfy the twin conditions required for invoking the said section, namely that the order of the AO must be both erroneous and prejudicial to the interest of the revenue. The Tribunal found that the PCIT did not demonstrate that the assessment order was prejudicial to the interest of the revenue on any of the issues raised. Specifically, regarding the issue of TDS on managerial commission, the Tribunal noted that the PCIT herself held the AO's order as erroneous but not prejudicial to the revenue. The Tribunal further observed that the assessee's explanation that the commission was a provision made at the end of the year and that TDS was not applicable, and that the commission remained unpaid, was a valid contention. The Tribunal also considered the assessee's argument that even if the expense were added back, it would be eligible for deduction under section 80IA, thus having no impact on the total income or tax payable. Citing the Hon'ble Supreme Court's decision in Malabar Industrial Co. Ltd. Vs. CIT, the Tribunal emphasized that both conditions must be satisfied. Consequently, the Tribunal found that the AO's order could not be considered hit by the provisions of section 263. Therefore, all grounds of appeal raised by the assessee were allowed, and the order passed by the PCIT was quashed.
The Tribunal held that the delay in filing Form 10CCB was a procedural lapse and not a substantive condition for claiming the deduction. The eligibility criteria for the startup were not disputed.
The Tribunal held that while the AO was justified in initiating penalty proceedings for non-compliance with notice u/s 142(1), considering the facts and circumstances, and the provisions of Section 273B, the assessee had a reasonable cause for not submitting the required details. Therefore, the penalty was deleted.
The Tribunal held that the difference in stock valuation was minor and attributable to estimation differences in weight due to impurities in jewellery, which should be ignored. Therefore, the addition made by the AO was deleted.
The Tribunal allowed the assessee to withdraw the appeal, as the Departmental Representative had no objection. The appeal was accordingly dismissed as withdrawn.