“deferred consideration”

Capital GainsSection 48Section 4818 judgments

FULLERTON FINANCIAL HOLDINGS PTE. LTD.,SINGAPORE vs. THE ASSISTANT COMMISSIONER OF INCOME-TAX - (INTERNATIONAL TAXATION), CIRCLE 2(3)(1) - MUMBAI, MUMBAI

ITA 1137/MUM/2025[2022-23]Status: DisposedITAT Mumbai28 Oct 2025AY 2022-23

Bench: Smt. Beena Pillai () & Smt. Renu Jauhri ()

Section 143(2)Section 143(3)Section 144CSection 144C(1)Section 144C(13)Section 144C(5)Section 153

Ground No.6: Without prejudice to the above grounds, the AO/DRP failed to consider the revised sales price of the share arising from a contingent deferred consideration that was not received by the assessee. 6.1 The AO/DRP failed to consider the revised sale price arising due to the contingent deferred consideration ... same will also not be taxable in India under the DTAA. Re: Ground of Appeal No. 6; Without prejudice to the above, Contingent Deferred Consideration 31 ITA No.1137/Mum/2025; A.Y. 2022-23 Fullerton Financial Holdings Pte. Ltd. -Not Taxable in the Absence of Accrual or Receipt 56. As per the terms

RAJESH BALVANTRAI BRAHMBHATT,AHMEDABAD vs. THE PR. CIT(CENTRAL), AHMEDABAD

In the result, the appeals of the assessee is allowed

ITA 1160/AHD/2025[2020-21]Status: DisposedITAT Ahmedabad30 Sept 2025AY 2020-21

Section 131Section 132Section 133(6)Section 133ASection 143(3)Section 153CSection 263

According to the learned DR, this shows that\nthe Assessing Officer has not discharged his duty in the manner\nexpected under law, as he deferred consideration of incriminating\nmaterial despite being obliged to adjudicate the same in the assessee's\ncase under section 153C. It was therefore submitted that

RAJESH BALVANTRAI BRAHMBHATT,AHMEDABAD vs. THE PR. CIT(CENTRAL), AHMEDABAD

In the result, the appeals of the assessee is allowed

ITA 1159/AHD/2025[2019-20]Status: DisposedITAT Ahmedabad30 Sept 2025AY 2019-20

Section 131Section 132Section 133(6)Section 133ASection 143(3)Section 153CSection 263

RAJESH BALVANTRAI BRAHMBHATT,AHMEDABAD vs. THE PR. CIT(CENTRAL), AHMEDABAD

In the result, the appeals of the assessee is allowed

ITA 1158/AHD/2025[2018-19]Status: DisposedITAT Ahmedabad30 Sept 2025AY 2018-19

Bench: Shri Siddhartha Nautiyal & Shri Makarand V.Mahadeokar

Section 131Section 132Section 133(6)Section 133ASection 143(3)Section 153CSection 263

According to the learned DR, this shows that the Assessing Officer has not discharged his duty in the manner expected under law, as he deferred consideration of incriminating material despite being obliged to adjudicate the same in the assessee’s case under section 153C. It was therefore submitted that

RAJESH BALVANTRAI BRAHMBHATT,AHMEDABAD vs. THE PR. CIT(CENTRAL), AHMEDABAD

In the result, the appeals of the assessee is allowed

ITA 1157/AHD/2025[2017-18]Status: DisposedITAT Ahmedabad30 Sept 2025AY 2017-18

Bench: Shri Siddhartha Nautiyal & Shri Makarand V.Mahadeokar

Section 131Section 132Section 133(6)Section 133ASection 143(3)Section 153CSection 263

SS THEATRES LLP,CHENNAI vs. DCIT, NCC-11(1), CHENNAI

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

ITA 1038/CHNY/2025[2021-22]Status: DisposedITAT Chennai31 Jul 2025AY 2021-22

Bench: Shri Aby T. Varkey & Shri Jagadishआयकर अपील सं./Ita No.1038/Chny/2025 िनधा:रण वष: /Assessment Year: 2021-22 Ss Theatres Llp, The Dy. Commissioner Of No.3, 2Nd Street Subba Rao Avenue Vs. Income Tax, Greams Road S.O., Non Corporate Circle-11(1), Nungambakkam, Chennai. Chennai – 600 006. [Pan: Aadfs 5384D]

For Appellant: Shri N.V.Balaji, AdvocateFor Respondent: Ms. Gouthami Manivasagam,JCIT

Section 154Section 5

also submitted that in A.Y. 2020-21, an estimated debt adjustment of Rs. 2,66,75,972/- was reduced from the deferred consideration of Rs.28,66,66,666/- relating to the current year. The Ld. A.R has argued that the alleged difference of Rs.3,06,57,361/- neither accrued

ACIT, LTU-2,, CHENNAI vs. ASHOK LEYLAND LIMITED, CHENNAI

In the result, appeal filed by the assessee is partly allowed and the appeal of the Revenue is dismissed

ITA 2618/CHNY/2019[2015-16]Status: DisposedITAT Chennai07 Jul 2025AY 2015-16

Bench: Shri Aby T. Varkey & Shri Amitabh Shukla

For Appellant: Mr.R. Vijayaraghavan, AdvFor Respondent: Mr.A. Sasikumar, CIT

Section 115JSection 143(3)Section 14A

consideration of Rs.93,00,00,000/- (Rupees Ninety-Three Crores only) to be paid for all assets and liabilities except for unbilled revenue. ii. Deferred consideration for unbilled revenue accrued up to the Effective Date payable by Buyer to the Seller on realization from TANGEDCO….” 9.3 Accordingly ... legal owner of the business till the date of transfer. The assessee is therefore noted to have explained the reason for incorporating a deferred consideration component, apart from the lumpsum consideration of Rs.93 crores, as it was not possible for the parties to quantify the unbilled revenues for the interim

ASHOK LEYLAND LIMITED,,CHENNAI vs. ACIT,, CHENNAI

ITA 2330/CHNY/2019[2015-16]Status: DisposedITAT Chennai07 Jul 2025AY 2015-16

Section 115JSection 143(3)Section 14A

consideration of Rs.93,00,00,000/- (Rupees Ninety-Three\nCrores only) to be paid for all assets and liabilities except for unbilled\nrevenue.\nii. Deferred consideration for unbilled revenue accrued up to the\nEffective Date payable by Buyer to the Seller on realization from\nTANGEDCO....\"\n9.3\nAccordingly ... legal owner of the business till\nthe date of transfer. The assessee is therefore noted to have explained\nthe reason for incorporating a deferred consideration component, apart\nfrom the lumpsum consideration of Rs.93 crores, as it was not possible for\nthe parties to quantify the unbilled revenues for the interim

SSNC FINTECH SERVICES INDIA PRIVATE LIMITED,HYDERABAD vs. DCIT., CIRCLE 8(1), HYDERABAD

ITA 916/HYD/2024[AY 2020-21]Status: DisposedITAT Hyderabad03 Jul 2025

For Appellant: CA, Ketan K. VedFor Respondent: Shri B. Bala Krishna, CIT-DR

Section 143(3)Section 144C(5)Section 920

share purchase agreement for an upfront\ncash consideration of Rs. 1,87 crore and a deferred\nconsideration of up to Rs. 608 Cr.\nThe deferred consideration is payable to the selling\nshareholders of Lodestone on the third anniversary of\nthe acquisition date and is contingent upon their\ncontinued employment ... period of three years. The\ninvestment in Lodestone has been recorded at the\nacquisition cost and the deferred consideration is being\nrecognized on a proportionate basis over a period of\nthree years from the date of acquisition. An amount of\nRs. 228 Crore and Rs. 85 Cr representing the\nproportionate

INCOME TAX OFFICER, PARWANOO, H.P vs. DEYEM INDUSTRY, NALAGARH SOLAN

In the result, appeal of the Revenue is dismissed

ITA 708/CHANDI/2023[2012-13]Status: DisposedITAT Chandigarh09 Jun 2025AY 2012-13

Bench: SHRI. LALIET KUMAR (Judicial Member), SHRI. KRINWANT SAHAY, AM आयकर अपील सं. / ITA No. 708/Chd/2023 निर्धारण वर्ष / Assessment Year : 2012-13 The ITO Parwanoo, Himachal Pradesh बनाम DEYEM INDUSTRY Nalagarh, Ropar Road Near Hazat Khana, Nalagarh, H.P.- 174101 स्थायी लेखा सं./ PAN NO: AAGFD0437L अपीलार्थी/ Appellant प्रत्यर्थी/Respondent निर्धारिती की ओर से/Assessee by : Shri Ankit Awal, Ms. Khushbu Sood, Advocates राजस्व की ओर से/ Revenue by : Shri Rohit Sharma, CIT DR (Virtual) सुनवाई की ता

For Appellant: Shri Ankit Awal & Ms. Khushbu Sood, AdvocatesFor Respondent: Shri Rohit Sharma, CIT DR (Virtual)

Section 143(3)Section 147Section 2(47)Section 271(1)(c)Section 53A

date, i.e., in AY 2013-14, when it was offered to tax. This tax treatment is in accordance with well-settled legal principles that deferred consideration under a contractual agreement cannot be subjected to tax in an assessment year in which it has not accrued. 6.8 The Ld. AR placed

OPEN TEXT TECHNOLOGIES INDIA PRIVATE LIMITED ,HYDERABAD vs. DY. COMMISSIONER OF INCOME TAX , CIRCLE-16(2), HYDERABAD

ITA 2387/HYD/2018[2014-15]Status: DisposedITAT Hyderabad05 May 2025AY 2014-15

Section 143(3)Section 92B

share purchase\nagreement for an upfront cash consideration of Rs. 1, 87 crore and a deferred\nconsideration of up to Rs. 608 Cr. The deferred consideration is payable to the selling\nshareholders of Lodestone on the third anniversary of the acquisition date and is\ncontingent upon their continued employment ... three\nyears from the date of acquisition. An amount of Rs. 228 Crore and Rs. 85 Cr\nrepresenting the proportionate charge of the deferred consideration has been\nrecognized as an expense during the years ended March 31, 2014 and March 31,\n2013 respectively.\"\nExtraction from Page

SHUVRO CHATTARAJ,KOLKATA vs. PCIT , BURDWAN

In the result, the appeal of the assessee is partly allowed

ITA 226/KOL/2022[2015-16]Status: DisposedITAT Kolkata28 Aug 2024AY 2015-16

Bench: Shri Rajpal Yadav & Shri Rakesh Mishraassessment Year: 2015-16

For Appellant: Shri Vinod Kumar Jain, FCAFor Respondent: Shri Subhendu Datta, CIT, DR

Section 143(3)Section 263Section 54E

with a developer M/s. R.K. Constructions, a proprietary concern of Dr. Malaya Mukherjee for joint development. The terms of payment were under deferred consideration. Pursuant to the above MOU, the assessee and said developer executed an unregistered development agreement on 10.02.2012, with the following terms: a. In lieu ... land, the assessee would get Rs. 1,95,00,000 (One Crore Ninety five lakh) in deferred consideration manner spread over 60 months; b. Along with 8 (Eight) flats with 8(Eight) car park upon construction. 5. The assessee received Rs. 38 (Thirty Eight) Lakh

VIJAYWADA GUDUGOLANU ROAD PROJECT PRIVATE LIMITED,NEW DELHI vs. ACIT CIRCLE-26(2), NEW DELHI

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

ITA 1839/DEL/2020[2015-16]Status: DisposedITAT Delhi06 Aug 2024AY 2015-16

Bench: Shri Challa Nagendra Prasad & Shri Naveen Chandra

For Appellant: NoneFor Respondent: Shri Amit Katoch, Sr. DR

Section 115JSection 32(1)(ii)

collect tolls from vehicles passing through them as a consideration for having developed them. The right to collect toll from vehicles was merely a deferred consideration for putting up the Road and for maintaining them during the term under the respective concessionaire agreements. No separate consideration was paid

HUNTSMAN INVESTMENTS (NETHERLANDS),MUMBAI vs. THE DY COMMISSIONER OF INCOME TAX INTERNATIONAL TAX CIRCLE-2(2)(2), MUMBAI, MUMBAI

In the result, appeal of the assessee is allowed

ITA 4222/MUM/2023[2021-22]Status: DisposedITAT Mumbai31 Jul 2024AY 2021-22

Section 144C(13)Section 144C(5)Section 234ASection 234B

clause 2.3 of the Share Purchase Agreement ('SPA') dated\nOctober 2020, sales consideration contains 2 components:\n1. Closing date consideration; and\n2. Total deferred consideration (subject to clause 2.6 and 2.7 of the SPA')\npayable within 18 months of the date of the SPA if conditions mentioned\nin clause ... based on closing date\nconsideration) amounts to USD 17,06,48,166. Working of the same is\nenclosed at Annexure D.\nWith regard to deferred consideration (i.e., point 2 above), the same is\noffered to tax in the subsequent assessment year (AY 2022-23) since the\nconditions in clause

RAINBOW PROMOTORS P.LTD,NEW DELHI vs. ITO, WARD 21(1), NEW DELHI

In the result, the appeal of the assessee is allowed

ITA 1906/DEL/2023[2018-19]Status: DisposedITAT Delhi23 Nov 2023AY 2018-19

Bench: Shri Pradip Kumar Kedia

For Appellant: Shri Ajay Bhagwani, CAFor Respondent: Shri Om Prakash, Sr.DR

Section 143(3)Section 199

Developers Pvt. Ltd. on 05.07.2017. As per the sale deed, annexed in the paper book, the sale however was made on the basis of deferred consideration where 50% of consideration was received in F.Y. 2017-18 and accordingly the seller deducted TDS thereon to the extent of consideration of Rs.80

JCIT (OSD) CIRCLE-8(3)(1), MUMBAI vs. M/S. TRIDOSS LABORATORIES PRIVATE LTD., MUMBAI

In the result, appeal of the assessee is partly allowed and appeal of the Revenue is partly allowed

ITA 1489/MUM/2018[2002-03]Status: DisposedITAT Mumbai20 Oct 2022AY 2002-03

Section 143(3)Section 36(1)(iii)Section 37

accrued at all. The High Court had correctly found that in view of the categorical stipulation that interest would be payable on the deferred consideration amount in respect of the sale, which became effective from 1-3- 1977, the interest started accruing on that time basis from

M/S. TRIDOSS LABORATORIES PRIVATE LTD.,MUMBAI vs. ACIT CENT. CIR. - 14, MUMBAI

In the result, appeal of the assessee is partly allowed and appeal of the Revenue is partly allowed

ITA 1462/MUM/2018[2002-03]Status: DisposedITAT Mumbai20 Oct 2022AY 2002-03

Section 143(3)Section 36(1)(iii)Section 37

THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE- 1(1), MYSURU vs. M/S. BHORUKA ALUMINIUM LIMITED, MYSURU

In the result, appeal of the Revenue is allowed

ITA 2551/BANG/2019[2014-15]Status: DisposedITAT Bangalore16 Aug 2022AY 2014-15

Bench: Shri N. V. Vasudevan & Shri Laxmi Prasad Sahuassessment Year : 2014-15 Acit, Vs. M/S. Bhoruka Aluminium Ltd., No.427E, 2Nd Floor, Hebbal Industrial Circle – 1(1), Mysuru. Area, Metagalli, Mysuru – 570 016. Pan : Aaacb 8073 D Appellant Respondent Assessee By : Shri. S. Ramasubramanian, Ca Revenue By : Dr. Manjunath Karkihalli, Cit(Dr)(Itat), Bengaluru. Date Of Hearing : 08.08.2022 Date Of Pronouncement : 16.08.2022 O R D E R Per N. V. Vasudevan:

For Appellant: Shri. S. Ramasubramanian, CAFor Respondent: Dr. Manjunath Karkihalli, CIT(DR)(ITAT), Bengaluru

Section 2Section 288Section 35ASection 43Section 43(6)(c)Section 48Section 49Section 50B

Rs.20 crores for the purpose of computation of capital gain. The CIT(A) observed that the agreement dated 25th January, 2006 also provided for deferred consideration which was capped at Rs.20 crores, which had to be paid in terms of formula prescribed in the agreement dated 25th January ... formula could Page 12 of 18 lead and in fact had led to a situation where no amount on account of deferred consideration for the sale of shares was receivable by the assessee in the immediate succeeding assessment year i.e. assessment year 2007-08. On the analysis of agreement