R. Rajagopal Reddy v. Padmini Chandrasekharan

213 ITR 340Supreme Court of India1995#9530 most cited

What is R. Rajagopal Reddy v. Padmini Chandrasekharan authority for?

Amendments, even if framed as 'declaratory' or for the 'removal of doubts', are not presumed retrospective if they substantively change the law. Courts must examine the substance of an amendment, not just its wording, to determine if it's clarificatory or transformative.

11

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2015 to 2025.

Also referred to as

R. Rajagopal Reddy v. Padmini Chandrasekharan · 213 ITR 340 · SC · 1995 · retrospective effect · declaratory amendment · substantive amendment · removal of doubts · substance over form

Sections most often in play

Section 115JBSection 143(3)Section 14ASection 250Section 8D

Judgments citing R. Rajagopal Reddy v. Padmini Chandrasekharan

Apcotex Industries Limited, Raigarh vs. Asst Commissioner of Income Tax - 15(1)(1), Mumbai

In the result, the appeal of the assessee bearing ITA No

ITA 6121/MUM/2025[2012-13]Status: DisposedITAT Mumbai27 Nov 2025AY 2012-13

Bench: Shri Anikesh Banerjee & Smt. Renu Jauhri

For Appellant: Shri Piyush Chhajed (Virtually appear)For Respondent: Shri Surendra Mohan (SR DR)
Section 115JSection 143(3)Section 14ASection 250

…(share capital, reserves and surplus) which are more than the value of the investments, then a presumption arises that such investments are made out of own funds. Same view was taken by the Hon’ble Bombay High Court in CIT vs. Reliance Utilities & Power Ltd, 213 ITR 340 (Bom). Respectfully considering the above Judgments of Hon’ble Bombay High Court the amount of disallowance done by the assessee the expenses u/s 14A is acceptable. 4. The Ld. AR further argued that the Ld. AO erred in disallowing amount to Rs.15,40,828/- U/s 14A with appreciating fact that assessee has excess Capital Reserve against the investm…

The Commissioner of Income Tax - International Taxation -3 vs. Telstra Singapore Pte Ltd

ITA/334/2022HC Delhi24 Jul 2024

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

Section 9

…w principles, upon which liabilities might arise. Such amendments though framed as clarificatory, are in fact transformative substantive amendments, and incapable of being given retrospective effect. In R. Rajagopal Reddy v. Padmini Chandrasekharan (1995) 213 ITR 340 (SC) ; (1995) 2 SCC 630, it was held that the use of the words "it is declared" is not conclusive that the Act is declaratory because it may be used to introduce new rules of law. If the amendment changes the law it is not presumed to be retrospective irrespective of the fact that the phrase used is "it is declared" or "for the removal of do…

The Commissioner of Income Tax - International Taxation -3 vs. Telstra Singapore Pte Ltd

ITA/206/2023HC Delhi24 Jul 2024

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

Section 9

…w principles, upon which liabilities might arise. Such amendments though framed as clarificatory, are in fact transformative substantive amendments, and incapable of being given retrospective effect. In R. Rajagopal Reddy v. Padmini Chandrasekharan (1995) 213 ITR 340 (SC) ; (1995) 2 SCC 630, it was held that the use of the words "it is declared" is not conclusive that the Act is declaratory because it may be used to introduce new rules of law. If the amendment changes the law it is not presumed to be retrospective irrespective of the fact that the phrase used is "it is declared" or "for the removal of do…

The Commissioner of Income Tax - International Taxation -3 vs. Telstra Singapore Pte Ltd

ITA/61/2023HC Delhi24 Jul 2024

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

Section 9

…w principles, upon which liabilities might arise. Such amendments though framed as clarificatory, are in fact transformative substantive amendments, and incapable of being given retrospective effect. In R. Rajagopal Reddy v. Padmini Chandrasekharan (1995) 213 ITR 340 (SC) ; (1995) 2 SCC 630, it was held that the use of the words "it is declared" is not conclusive that the Act is declaratory because it may be used to introduce new rules of law. If the amendment changes the law it is not presumed to be retrospective irrespective of the fact that the phrase used is "it is declared" or "for the removal of do…

The Commissioner of Income Tax - International Taxation -3 vs. Telstra Singapore Pte Ltd

ITA/55/2023HC Delhi24 Jul 2024

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

Section 9

…w principles, upon which liabilities might arise. Such amendments though framed as clarificatory, are in fact transformative substantive amendments, and incapable of being given retrospective effect. In R. Rajagopal Reddy v. Padmini Chandrasekharan (1995) 213 ITR 340 (SC) ; (1995) 2 SCC 630, it was held that the use of the words "it is declared" is not conclusive that the Act is declaratory because it may be used to introduce new rules of law. If the amendment changes the law it is not presumed to be retrospective irrespective of the fact that the phrase used is "it is declared" or "for the removal of do…

Srm Sweets and Cakes, Erode vs. ADIT-CPC, Bangalore

In the result, appeal filed by the assessee is allowed for

ITA 545/CHNY/2022[2019-2020]Status: DisposedITAT Chennai21 Jul 2022AY 2019-2020

Bench: Shri Mahavir Singh, Vice- & Shri G. Manjunatha

For Appellant: Mr. AR.V.Sreenivasan, Addl.CITFor Respondent: 21.07.2022
Section 143(1)Section 36(1)(va)Section 43BSection 5

…ec.43B are to have effect for and from the asst.year 2021-22. 6. The learned CIT(A) erred in not considering section 5 of The General Clauses Act and the impact of the decisions reported in 72 TTR 595 [SC]; 183 ITR 1 [SC]; 183 ITR 559 [sC]; 205 ITR 569 [Bom]; 213 ITR 340, 357 [SC], 243 TTR 56 [SC], 375 TTR 392 [SC], AIR 1995 SC 226, AIR 1996 SC 224 and AIR 1996 SC 238. The learned CIT(A) erred in not considering the decisions of IT AT, more particularly decisions which had clearly discussed the impact of the newly inserted Explanations to sections 361)(va) and 43B. 7. The learned CIT(A) erred in not considering…

DCIT, Circle-1, Siliguri vs. M/S Durga Automotives Pvt. Ltd., Siliguri

In the result, Revenue’s appeal stands dismissed

ITA 1553/KOL/2016[2012-13]Status: DisposedITAT Kolkata03 May 2018AY 2012-13

Bench: Shri Waseem Ahmed & Shri S.S.Viswanethra Raviassessment Year:2012-13

Section 143(3)Section 36(1)(iii)

…आयकर अपील"य अधीकरण, "यायपीठ – “D” कोलकाता, IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH “D” KOLKATA Before Shri Waseem Ahmed, Accountant Member and Shri S.S.Viswanethra Ravi, Judicial Member Assessment Year:2012-13 DCIT, Circle-1, Aayakar M/s Durga Automotives Pvt. बनाम / Bhawana, Paribahan Ltd., T.N Road, Dagapur, V/s. Nagar, Matigara, Siliguri, Pin-734003 Siliguri Pin-734010 [PAN No.AABCD 7913 K] .. अपीलाथ" /Appellant ""यथ" /Respondent Soumyajitd Dasgupta, Addl. CIT-DR अपीलाथ" क" ओर से/By Appellant Shri Siddharth Agarwal, Ld.Advocate ""यथ" क" ओर से/By Respondent 20-03-2018 सुनवाई क" तार"ख/Date of Hear…

DDIT, New Delhi vs. M/S Shin Satellite Public Co. Ltd., New Delhi

ITA 3593/DEL/2011[2005-06]Status: DisposedITAT Delhi16 Oct 2017AY 2005-06

Bench: Shri H.S.Sidhu & Shri Prashant Maharishi

For Appellant: Shri F V Irani, AdvFor Respondent: Shri TS Shivkumar, CIT DR
Section 143(3)Section 144C(1)Section 234BSection 9Section 9(1)

…s new principles, upon which liabilities might arise. Such amendments though framed as clarificatory, are in fact transformative substantive amendments, and incapable of being given retrospective effect. In R. Rajagopal Reddy v. Padmini Chandrasekharan [1995] 213 ITR 340 (SC) ; [1995] 2 SCC 630, it was held that the use of the words "it is declared" is not conclusive that the Act is declaratory because it may be used to introduce new rules of law. If the amendment changes the law it is not presumed to be retrospective irrespective of the fact that the phrase used is "it is declared" or "for the removal of doubts"…

Ambattur Clothing Ltd., Chennai vs. DCIT, Chennai

In the result, the appeals of the assessee in ITA Nos

ITA 910/CHNY/2015[2010-11]Status: DisposedITAT Chennai28 Dec 2015AY 2010-11

Bench: Shri Chandra Poojari & Shri V. Durga Raoआयकर अपील सं./ I.T.A. Nos.1436, 1643/Mds/2014, 910/Mds/2015 ("नधा"रण वष" / Assessment Year : 2008-09, 2009-10 & 2010-2011)

For Appellant: Shri. T. Banusekar, C.AFor Respondent: Shri. Rajib Kumar Hota, IRS, CIT
Section 10BSection 14ASection 14A(2)

…Even with the Reserves & Surplus figure quoted in the balance sheet, we feel that the assessee has the responsibility of explaining the interest expenditure of ₹4.09 crores’’ The decision of Bombay High Court in the case of Reliance Utilities and Power Ltd (213 ITR 340), which states that if interest-free own funds are available, it can be presumed that investments were made I.T.A.Nos.1436 & 1643/Mds/14 & :- 13 -: I.T.A. No.910/Mds/2015. from interest-free funds is also not acceptable for the simple reason that this is only a presumption which has no relevance in the pariance of law. They have not laid do…

Ambattur Clothing Ltd., Chennai vs. DCIT, Chennai

In the result, the appeals of the assessee in ITA Nos

ITA 1643/CHNY/2014[2009-10]Status: DisposedITAT Chennai28 Dec 2015AY 2009-10

Bench: Shri Chandra Poojari & Shri V. Durga Raoआयकर अपील सं./ I.T.A. Nos.1436, 1643/Mds/2014, 910/Mds/2015 ("नधा"रण वष" / Assessment Year : 2008-09, 2009-10 & 2010-2011)

For Appellant: Shri. T. Banusekar, C.AFor Respondent: Shri. Rajib Kumar Hota, IRS, CIT
Section 10BSection 14ASection 14A(2)

…Even with the Reserves & Surplus figure quoted in the balance sheet, we feel that the assessee has the responsibility of explaining the interest expenditure of ₹4.09 crores’’ The decision of Bombay High Court in the case of Reliance Utilities and Power Ltd (213 ITR 340), which states that if interest-free own funds are available, it can be presumed that investments were made I.T.A.Nos.1436 & 1643/Mds/14 & :- 13 -: I.T.A. No.910/Mds/2015. from interest-free funds is also not acceptable for the simple reason that this is only a presumption which has no relevance in the pariance of law. They have not laid do…

Ambattur Clothing Ltd., Chennai vs. DCIT, Chennai

In the result, the appeals of the assessee in ITA Nos

ITA 1436/CHNY/2014[2008-09]Status: DisposedITAT Chennai28 Dec 2015AY 2008-09

Bench: Shri Chandra Poojari & Shri V. Durga Raoआयकर अपील सं./ I.T.A. Nos.1436, 1643/Mds/2014, 910/Mds/2015 ("नधा"रण वष" / Assessment Year : 2008-09, 2009-10 & 2010-2011)

For Appellant: Shri. T. Banusekar, C.AFor Respondent: Shri. Rajib Kumar Hota, IRS, CIT
Section 10BSection 14ASection 14A(2)

…Even with the Reserves & Surplus figure quoted in the balance sheet, we feel that the assessee has the responsibility of explaining the interest expenditure of ₹4.09 crores’’ The decision of Bombay High Court in the case of Reliance Utilities and Power Ltd (213 ITR 340), which states that if interest-free own funds are available, it can be presumed that investments were made I.T.A.Nos.1436 & 1643/Mds/14 & :- 13 -: I.T.A. No.910/Mds/2015. from interest-free funds is also not acceptable for the simple reason that this is only a presumption which has no relevance in the pariance of law. They have not laid do…

R. Rajagopal Reddy v. Padmini Chandrasekharan (213 ITR 340) — Cited in 11 Judgments | BharatTax