Kapil Gupta, Jaipur vs. Income Tax Officer, Ward-6(4), Jaipur
In the result, this appeal of the assessee is allowed
ITA 571/JPR/2023[2017-18]Status: DisposedITAT Jaipur19 Dec 2023AY 2017-18
Bench: HON’BLE SHRI SANDEEP GOSAIN, JM & HON’BLE SHRI RATHOD KAMLESH JAYANTBHAI (Accountant Member)
For Appellant: Shri S.R. Sharma, CA &For Respondent: Shri A.S. Nehra, Addl. CIT
Section 143(2)Section 22Section 250Section 57
…ce are deductible, just as income tainted with illegality is assessable; even in an illegal business it is the profits, and not the gross receipts, that are taxable CIT Vs. Kothari 82 ITR 794, 801-802 (SC), CIT Vs. Tinplate 207 ITR 72, Nilgiri Finance Vs. CIT 213 ITR 384, CIT Vs. Piara Singh 124 ITR 40 and 5 Shri Kapil Gupta, Jaipur. various cases of High Courts. Where the entire business of the assessee is illegal, and that income is sought to be taxed by the Income tax Officer, then the expenditure incurred in the illegal activities will also have to be allowed as deduction, CIT Vs. Panchganga 250 ITR 772. A br…
