Section 142(1) of the Income Tax Act

Income-tax Act, 2025: s.268

Section 142(1) falls under section 142 of the Income-tax Act, 1961, which corresponds to section 268 (Inquiry before assessment) of the Income-tax Act, 2025.

Read section 268 of the 2025 Act

Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.

The decision most relied on for Section 142(1) is Collector, Land Acquisition v. Mst. Katiji (167 ITR 471), cited in 3,926 of the 17,244 judgments on BharatTax that turn on this section.

Leading authorities on Section 142(1)

Collector, Land Acquisition v. Mst. Katiji
167 ITR 471 · 1987 · Supreme Court
3,926
citing judgments

Delay in filing appeals, when supported by sufficient or justifiable cause, should be condoned with a liberal approach to ensure substantial justice. This principle prioritizes the cause of justice over mere technicalities.

Malabar Industrial Co. Ltd. v. CIT
243 ITR 83 · 2000 · Supreme Court
2,943
citing judgments

For revision under Section 263, the Assessing Officer's order must be both erroneous and prejudicial to the interests of the revenue; if either condition is not met, the revisionary jurisdiction cannot be invoked. An order is not erroneous merely because the Assessing Officer did not record the details of enquiries conducted, provided due enquiries were made.

CIT v. Multiplan India Ltd.
38 ITD 320 · 1991 · ITAT
2,267
citing judgments

An appeal before the Income Tax Appellate Tribunal can be dismissed for non-prosecution or treated as unadmitted when the appellant fails to appear, cooperate, or show diligence, in accordance with Rule 19(2) of the Income-tax (Appellate Tribunal) Rules. The law aids the vigilant, not those who sleep on their rights.

Estate of Late Tukojirao Holkar v. CWT
223 ITR 480 · 1997 · High Court
2,040
citing judgments

A court or tribunal is not bound to answer a reference or adjudicate an appeal on its merits if the party at whose instance the proceeding is made fails to appear at the hearing or take necessary steps for its proper conduct.

Sumati Dayal v. CIT
214 ITR 801 · 1995 · Supreme Court
1,967
citing judgments

The Revenue is entitled to look behind the apparent form of a transaction to discover its true nature, applying the test of human probabilities and surrounding circumstances. If transactions defy logic or are unnatural, they can be treated as bogus, even if supported by some documentation, especially in cases of cash credits or unexplained investments.

Radhasoami Satsang v. CIT
193 ITR 321 · 1992 · Supreme Court
1,695
citing judgments

The principle of consistency applies in tax matters, meaning a fundamental aspect found to be true in one assessment year should not be changed in a subsequent year if the order was not challenged.

CIT v. Kelvinator of India Ltd.
320 ITR 561 · 2010 · Supreme Court
1,673
citing judgments

An Assessing Officer cannot initiate reassessment proceedings under Section 147 of the Income Tax Act based on a mere change of opinion. Reassessment is permissible only when there is fresh tangible material leading to the belief of income escapement, not merely a review of existing facts.

CIT v. B.N. Bhattacharya & Another
118 ITR 461 · 1997 · Supreme Court
1,656
citing judgments

Appealing a tax assessment requires more than just filing the appeal; it involves actively pursuing it. The assessee must effectively engage with the appellate process.

CIT v. Durga Prasad More
82 ITR 540 · 1971 · Supreme Court
1,579
citing judgments

Tax authorities must judge evidence using the test of human probabilities and consider the apparent as real until there are reasons to believe it is not. They can rely on circumstantial evidence and the preponderance of probabilities to determine the genuineness of transactions.

CIT v. Vatika Township Pvt. Ltd.
367 ITR 466 · 2014 · Supreme Court
1,558
citing judgments

Taxing statutes are presumed to operate prospectively unless a clear contrary intention for retrospective application is evident. The law applicable for determining tax liability is that which stands on the first day of the assessment year, following the principle that law looks forward, not backward (lex prospicit non respicit).

Judgments on Section 142(1)

Pankaj Kumar Choubey, Mirzapur vs. ITO, Mirzapur

In the result, the appeal is allowed for statistical purposes

ITA 86/ALLD/2024[2011-12]Status: DisposedITAT Allahabad29 Nov 2024AY 2011-12

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharya.Y. 2011-12 Pankaj Kumar Choubey, Vs. Income Tax Officer, Bhorsar, Amoi, Mirzapur 3(2), Mirzapur Pan:Aaofm6183C (Appellant) (Respondent) Assessee By: Sh. Praveen Godbole, C.A. Revenue By: Sh. A.K. Singh, Sr. Dr Date Of Hearing: 18.09.2024 Date Of Pronouncement: 29.11.2024 O R D E R Per Nikhil Choudhary, A.M.: This Is An Appeal Against The Order Of The Ld. Cit(A), Nfac Under Section 250 Of The Income Tax Act, 1961 Dismissing The Appeal Of The Assessee For Want Of Compliance. The Grounds Of Appeal Preferred Are As Under:- “1- That In Any View Of The Matter Assessment Order Passed U/S 144/147 Of The It Act Dated 06/12/2018 Is Bad Both On The Fact & In Law & By Such Order Income As Determined At Rs.32,22,490/- By Making Illegal Addition Is Highly Unjustified & Incorrect In The Facts & Circumstances Of The Case. 2- That Any View Of The Matter The Ld Cit(A), Nfac Was Wrong In Passing The Order Ex-Parte Without Providing Reasonable Opportunity To The Assessee & The Order Is Also Not A Speaking Order In The Eyes Of Law. 3- That In Any View Of The Matter Notice U/S 148 Of The It Act Dated 26/03/2018 As Mentioned In The Order Was Not Served On The Assessee Or On Any Family Member Of The Assessee, Therefore The Allegation Of Service Of The Notice In The Order Is Incorrect.

For Appellant: Sh. Praveen Godbole, C.AFor Respondent: Sh. A.K. Singh, Sr. DR
Section 142(1)Section 144Section 148Section 250Section 271(1)(c)

Mohammad Sahadat Ali, Fatehpur vs. AO (National Faceless Assessment Centre), Delhi

In the result, appeals in ITA No

ITA 148/ALLD/2024[2014-15]Status: DisposedITAT Allahabad29 Nov 2024AY 2014-15

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.138, 139,147 & 148/Alld/2024 A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali, Vs. Income Tax Officer, Sayyad Nagar, Khakhreru, National Faceless Assessment Khaga, Fatehpur Centre Pan:Cunpa0977K (Appellant) (Respondent) Assessee By: Sh. Aditya Chhajed & Sh. Shivang, Advocates Revenue By: Sh. A.K. Singh, Sr. Dr Date Of Hearing: 21.10.2024 Date Of Pronouncement: 29.11.2024 O R D E R Per Nikhil Choudhary, A.M.: These Four Appeals Have Been Filed By The Assessee Against The Orders Of The Ld. Cit(A), Nfac Under Section 250 Of The Income Tax Act, 1961 For The A.Y. 2013-14 & 2014-15 Vide Separate Orders Dated 8.07.2024. The Grounds Of Appeal In All These Cases Are Identical & Are Reproduced As Under:- “1. On The Facts & Circumstances Of The Case, The Order Passed By The Commissioner Of Income Tax (Appeals) National Faceless Appeal Centre (Nfac). Delhi U/S 250 Of The Act Is Bad Both In The Eye Of Law & On Facts. 2. On The Facts & In The Circumstances Of The Case & In Law, The Ld. Cit (A) (Nfac) Erred In Dismissing The Appeal Filed By The Appellant On The Grounds Of Non-Submission Of Documents By The Appellant Without Considering The Submitted Document & The Facts Of The Case. The Appellant, Therefore, Prays That The Impugned Order Be Set Aside. A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali

For Appellant: Sh. Aditya Chhajed & Sh. ShivangFor Respondent: Sh. A.K. Singh, Sr. DR
Section 115BSection 2(30)Section 250Section 6(1)Section 69

Mohammad Sahadat Ali, Fatehpur vs. Income Tax Officer, National Faceless Assessment Centre

In the result, appeals in ITA No

ITA 147/ALLD/2024[2013-14]Status: DisposedITAT Allahabad29 Nov 2024AY 2013-14

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.138, 139,147 & 148/Alld/2024 A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali, Vs. Income Tax Officer, Sayyad Nagar, Khakhreru, National Faceless Assessment Khaga, Fatehpur Centre Pan:Cunpa0977K (Appellant) (Respondent) Assessee By: Sh. Aditya Chhajed & Sh. Shivang, Advocates Revenue By: Sh. A.K. Singh, Sr. Dr Date Of Hearing: 21.10.2024 Date Of Pronouncement: 29.11.2024 O R D E R Per Nikhil Choudhary, A.M.: These Four Appeals Have Been Filed By The Assessee Against The Orders Of The Ld. Cit(A), Nfac Under Section 250 Of The Income Tax Act, 1961 For The A.Y. 2013-14 & 2014-15 Vide Separate Orders Dated 8.07.2024. The Grounds Of Appeal In All These Cases Are Identical & Are Reproduced As Under:- “1. On The Facts & Circumstances Of The Case, The Order Passed By The Commissioner Of Income Tax (Appeals) National Faceless Appeal Centre (Nfac). Delhi U/S 250 Of The Act Is Bad Both In The Eye Of Law & On Facts. 2. On The Facts & In The Circumstances Of The Case & In Law, The Ld. Cit (A) (Nfac) Erred In Dismissing The Appeal Filed By The Appellant On The Grounds Of Non-Submission Of Documents By The Appellant Without Considering The Submitted Document & The Facts Of The Case. The Appellant, Therefore, Prays That The Impugned Order Be Set Aside. A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali

For Appellant: Sh. Aditya Chhajed & Sh. ShivangFor Respondent: Sh. A.K. Singh, Sr. DR
Section 115BSection 2(30)Section 250Section 6(1)Section 69

Mohammad Sahadat Ali, Fatehpur vs. AO National Faceless Assessment Centre, Delhi

In the result, appeals in ITA No

ITA 139/ALLD/2024[2014-15]Status: DisposedITAT Allahabad29 Nov 2024AY 2014-15

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.138, 139,147 & 148/Alld/2024 A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali, Vs. Income Tax Officer, Sayyad Nagar, Khakhreru, National Faceless Assessment Khaga, Fatehpur Centre Pan:Cunpa0977K (Appellant) (Respondent) Assessee By: Sh. Aditya Chhajed & Sh. Shivang, Advocates Revenue By: Sh. A.K. Singh, Sr. Dr Date Of Hearing: 21.10.2024 Date Of Pronouncement: 29.11.2024 O R D E R Per Nikhil Choudhary, A.M.: These Four Appeals Have Been Filed By The Assessee Against The Orders Of The Ld. Cit(A), Nfac Under Section 250 Of The Income Tax Act, 1961 For The A.Y. 2013-14 & 2014-15 Vide Separate Orders Dated 8.07.2024. The Grounds Of Appeal In All These Cases Are Identical & Are Reproduced As Under:- “1. On The Facts & Circumstances Of The Case, The Order Passed By The Commissioner Of Income Tax (Appeals) National Faceless Appeal Centre (Nfac). Delhi U/S 250 Of The Act Is Bad Both In The Eye Of Law & On Facts. 2. On The Facts & In The Circumstances Of The Case & In Law, The Ld. Cit (A) (Nfac) Erred In Dismissing The Appeal Filed By The Appellant On The Grounds Of Non-Submission Of Documents By The Appellant Without Considering The Submitted Document & The Facts Of The Case. The Appellant, Therefore, Prays That The Impugned Order Be Set Aside. A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali

For Appellant: Sh. Aditya Chhajed & Sh. ShivangFor Respondent: Sh. A.K. Singh, Sr. DR
Section 115BSection 2(30)Section 250Section 6(1)Section 69

Mohammad Sahadat Ali, Fatehpur vs. AO National Faceless Assessment Centre, Delhi

In the result, appeals in ITA No

ITA 138/ALLD/2024[2013-14]Status: DisposedITAT Allahabad29 Nov 2024AY 2013-14

Bench: Sh. Sudhanshu Srivastava & Sh. Nikhil Choudharyita Nos.138, 139,147 & 148/Alld/2024 A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali, Vs. Income Tax Officer, Sayyad Nagar, Khakhreru, National Faceless Assessment Khaga, Fatehpur Centre Pan:Cunpa0977K (Appellant) (Respondent) Assessee By: Sh. Aditya Chhajed & Sh. Shivang, Advocates Revenue By: Sh. A.K. Singh, Sr. Dr Date Of Hearing: 21.10.2024 Date Of Pronouncement: 29.11.2024 O R D E R Per Nikhil Choudhary, A.M.: These Four Appeals Have Been Filed By The Assessee Against The Orders Of The Ld. Cit(A), Nfac Under Section 250 Of The Income Tax Act, 1961 For The A.Y. 2013-14 & 2014-15 Vide Separate Orders Dated 8.07.2024. The Grounds Of Appeal In All These Cases Are Identical & Are Reproduced As Under:- “1. On The Facts & Circumstances Of The Case, The Order Passed By The Commissioner Of Income Tax (Appeals) National Faceless Appeal Centre (Nfac). Delhi U/S 250 Of The Act Is Bad Both In The Eye Of Law & On Facts. 2. On The Facts & In The Circumstances Of The Case & In Law, The Ld. Cit (A) (Nfac) Erred In Dismissing The Appeal Filed By The Appellant On The Grounds Of Non-Submission Of Documents By The Appellant Without Considering The Submitted Document & The Facts Of The Case. The Appellant, Therefore, Prays That The Impugned Order Be Set Aside. A.Ys. 2013-14 & 2014-15 Mohammad Sahadat Ali

For Appellant: Sh. Aditya Chhajed & Sh. ShivangFor Respondent: Sh. A.K. Singh, Sr. DR
Section 115BSection 2(30)Section 250Section 6(1)Section 69

Vedant Fashions Ltd., Kolkata vs. DCIT, Cir. 3(2), Kolkata

In the result, the appeal of the assessee is allowed

ITA 530/KOL/2024[2020-21]Status: DisposedITAT Kolkata29 Nov 2024AY 2020-21

Bench: Shri Sonjoy Sarma & Shri Rajesh Kumari.T.A. No.530/Kol/2024 Assessment Year: 2020-21 Vedant Fashions Ltd...………………........………………....Appellant Sdf-1, A-501, A-502, 4Th Floor, 19 Canal South Road, Paridhan Garment Park, Kolkata – 700015. [Pan: Aabcv4646B] Vs. Dcit, Circle-3(2), Kolkata.….…….…............................…..…..... Respondent Appearances By: Shri Sunil Surana, Fca, Appeared On Behalf Of The Assessee. Shri Pradip Kr. Biswas, Addl. Cit, Appeared On Behalf Of The Revenue. Date Of Concluding The Hearing : November 18, 2024 Date Of Pronouncing The Order : November 29, 2024 आदेश / Order Per Sonjoy Sarma: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 30.01.2024 Of The Commissioner Of Income Tax (Appeals)- 21, Kolkata [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Brief Facts Of The Case Are That The Assessee Filed Its Return Of Income Declaring A Total Income Of Rs.3084417870/-. The Case Of The Assessee Was Selected For Scrutiny By Issuing Notice U/S 143(2) Under Cass, Consequent To This, Notices U/S 142(1) & 133(6) Of The Act Were Issued To The Assessee Seeking Clarification & Verification Of The Deduction Claimed In The Return. During The Assessment Proceedings, The Assessing Officer Observed That The Assessee Had Claimed A Deduction Of Rs.2,98,57,165/- Towards Health & Education Cess. The Assessing Officer Disallowed This Deduction Holding That The Health And

Section 142(1)Section 143(2)Section 14ASection 14A(2)Section 250Section 40

Alok Kumar Chamria (HUF), Kolkata vs. I.T.O., Ward - 32(3), Kolkata

The appeal of the assessee is allowed

ITA 1487/KOL/2024[2017-2018]Status: DisposedITAT Kolkata29 Nov 2024AY 2017-2018

Bench: Shri Sonjoy Sarma & Shri Rajesh Kumari.T.A. No.1487/Kol/2024 Assessment Year: 2017-18 Alok Kumar Chamria (Huf)…………........………………....Appellant 25E Chamria House, Shakespeare Sarani, 3Rd Floor, W.B. – 700017. [Pan: Aafha4854F] Vs. Ito, Ward-32(3), Kolkata.….……….…............................…..…..... Respondent Appearances By: Mrs. Saswati Mitra (Dutta), Advocate, Appeared On Behalf Of The Assessee. Shri Pradip Kr. Biswas, Addl. Cit, Appeared On Behalf Of The Revenue. Date Of Concluding The Hearing : November 19, 2024 Date Of Pronouncing The Order : November 29, 2024 आदेश / Order Per Sonjoy Sarma: The Present Appeal Has Been Preferred By The Assessee Against The Order Dated 29.04.2024 Of The National Faceless Appeal Centre [Hereinafter Referred To As ‘Cit(A)’] Passed U/S 250 Of The Income Tax Act (Hereinafter Referred To As The ‘Act’). 2. The Brief Facts Of The Case Are That The Assessee Filed Its Return Of Income On 03.08.2017 By Declaring A Total Income Of Rs.12,14,280/-. The Return Was Processed U/S 143(1) Of The Act & Refund Of Rs.26,980/- Was Issued. Subsequently, The Case Was Selected For Scrutiny & Notices U/S 143(2) & 142(1) Of The Act Were Issued Requiring The Assessee To Furnish Specific Details. The Assessee Submitted Responses & Uploaded Documents Periodically. During The Scrutiny Proceedings, The Assessing Officer Observed That The Assessee Had Declared Long-Term Capital Gain (‘Ltcg’) From The Sale Of Immovable Property. The Assessing Officer Noted That Sale Consideration For Seven Flats As Per Sale Deed Was Lower Than The Stamp Duty Value. He Invoked

Section 143(1)Section 143(2)Section 250Section 50CSection 54FSection 54F(4)

Smt. Sumati Sathish Khanderai, Hassan vs. Income Tax Officer, Ward-2, Hassan

In the result, the appeal by the assessee is allowed for statistical purposes

ITA 2014/BANG/2024[2017-18]Status: DisposedITAT Bangalore29 Nov 2024AY 2017-18

Bench: Shri Laxmi Prasad Sahu & Shri Keshav Dubeyassessment Year : 2017-18 Smt. Sumati Sathish Khanderai, Vs. The Income Tax Officer, 372, Main Road, Belur, Ward – 2, Hassan – 573 115. Hassan. Pan : Blaps 3596 K Appellant Respondent Assessee By : Smt. Sunaina Bhatia, Advocate. Revenue By : Shri. Ganesh R Gale, Standing Counsel For Department. Date Of Hearing : 21.11.2024 Date Of Pronouncement : 29.11.2024 O R D E R Per Laxmi Prasad Sahuthis Appeal Is Filed By The Assessee Against The Order Of The National Faceless Appeal Centre (Nfac) [Din & Order No.Itba/Nfac/S/250/2024-25/1067756232(1)] Dated 20.08.2024. 2. Briefly Stated, The Facts Of The Case Are That A Notice Under Section 142(1) Dated 01.12.2017 Was Issued To The Assessee Calling To File Income Tax Return For Assessment Year 2017-18 By 31.12.2017. During The Demonetization Period, Assessee Deposited Cash Of Rs.97,80,040/- Into Her Bank Account. The Ao Issued Notices But The Assessee Did Not Respond The Notices. The Ao Issued Show Cause Notice On 17.09.2019 Proposing To Complete The Assessment Under Section 144 Of The Act & Assessee Was Given Time Till 23.09.2019. In Response, The Assessee Appeared On Page 2 Of 5

For Appellant: Smt. Sunaina Bhatia, AdvocateFor Respondent: Shri. Ganesh R Gale, Standing Counsel for Department
Section 115BSection 142(1)Section 144Section 69A