How many judgments are there on Section 27?

BharatTax indexes 110 ITAT, High Court and Supreme Court judgments that turn on Section 27 of the Income Tax Act, 1961.

Section 27 of the Income Tax Act

Q: What is the leading case on Section 27 of the Income Tax Act?

CIT v. Shambhu Investment Pvt. Ltd. (249 ITR 47) is the decision most relied on for Section 27, cited in 57 judgments. Income from letting out immovable property, even with ancillary services, is taxable as 'Income from House Property' if the dominant intention is to exploit the property itself, not to run a complex business providing integrated services. The classification depends on the assessee's primary object in exploiting the property.

Q: Which cases are most cited on Section 27?

CIT v. Shambhu Investment Pvt. Ltd. (249 ITR 47) — 57 citing judgments; T Vs. Dhoolie Tea Co. Ltd 231 ITR 65 (Cal); Township Read Estate Developers (India) (P) Ltd. v. ACIT (21 Taxmann.com 63) — 14 citing judgments; DHFL Venture Capital Fund v. ITO (157 ITD 60) — 4 citing judgments; Denso (Thailand) co. Ltd. v. ACIT (International Taxation) (163 Taxmann.com 257) — 4 citing judgments; CIT v. Bikaner Trading Co. Ltd. (78 ITR 12) — 4 citing judgments.

Income-tax Act, 2025: s.25

Section 27 of the Income-tax Act, 1961 corresponds to section 25 (Interpretation) of the Income-tax Act, 2025.

Read section 25 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 27 is CIT v. Shambhu Investment Pvt. Ltd. (249 ITR 47), cited in 57 of the 110 judgments on BharatTax that turn on this section.

Leading authorities on Section 27

CIT v. Shambhu Investment Pvt. Ltd.

249 ITR 47 · 2001 · High Court

citing judgments

Income from letting out immovable property, even with ancillary services, is taxable as 'Income from House Property' if the dominant intention is to exploit the property itself, not to run a complex business providing integrated services. The classification depends on the assessee's primary object in exploiting the property.

T Vs. Dhoolie Tea Co. Ltd 231 ITR 65 (Cal); Township Read Estate Developers (India) (P) Ltd. v. ACIT

21 Taxmann.com 63 · Reported

citing judgments

DHFL Venture Capital Fund v. ITO

157 ITD 60 · 2016 · ITAT

citing judgments

Denso (Thailand) co. Ltd. v. ACIT (International Taxation)

163 Taxmann.com 257 · 2024 · High Court

citing judgments

CIT v. Bikaner Trading Co. Ltd.

78 ITR 12 · 1970 · Supreme Court

citing judgments

CIT v. New Shorrock Spg. & Mfg. Co. Ltd.

212 ITR 355 · High Court

citing judgments

Judgments on Section 27

Mohd Amin Esmail Fazlani, Mumbai vs. ITO 20(2)(1), Mumbai

In the result, the appeal of the assessee is allowed

ITA 5578/MUM/2025[2013-14]Status: DisposedITAT Mumbai15 Jun 2026AY 2013-14

Bench: Hon’Ble Sandeep Gosain & Hon’Ble Girish Agrawal

Section 54

Kuttiappagounder Duraiyan, Erode vs. ITO, Ward-2(1), Erode

In the result, the appeal of the assessee is allowed

ITA 2495/CHNY/2025[2010-11]Status: DisposedITAT Chennai04 May 2026AY 2010-11

Bench: Ms. Padmavathy S & Shri Manu Kumar Giriआयकर अपील सं./Ita No 2495/Chny/2025 "नधा"रण वष"/Assessment Year: 2010-11 Kuttiappagounder Duraiyan, V. Income Tax Officer, Ward 2(1), 19, Velaan Nagar, Periasemur Post, Erode-638001 Erode-638004 [Pan: Aecpd8036M] (अपीलाथ"/Appellant) (""यथ"/Respondent)

Section 143(3)Section 148Section 292B

Dy. Commissioner of Income Tax, Central Circle-3(4), Mumbai vs. Manisha Kamal Khetan, Mumbai

ITA 7891/MUM/2025[2023-24]Status: DisposedITAT Mumbai20 Feb 2026AY 2023-24

Bench: Shri Saktijit Dey & Shri Makarand Vasant Mahadeokar

Section 115BSection 143(1)Section 143(3)Section 23(1)Section 24Section 250Section 68

Arihant Developers, Mumbai vs. Assistant Commissioner of Income Tax Circle -1, Kalyan

In the result, all the above appeals of the assessee are

ITA 3397/MUM/2024[2015-16]Status: DisposedITAT Mumbai09 Sept 2025AY 2015-16

Bench: Shri Sandeep Gosain & Shri Prabhash Shankar

For Appellant: Shri K. Gopal & Akhilesh Deshmukh, ARsFor Respondent: Shri Aditya Rai (Sr. DR)

Section 143(3)Section 148Section 22Section 24

Arihant Developers, Mumbai vs. Assistant Commissioner of Income Tax Circle -1, Kalyan

In the result, all the above appeals of the assessee are

ITA 3396/MUM/2024[2014-15]Status: DisposedITAT Mumbai09 Sept 2025AY 2014-15

Bench: Shri Sandeep Gosain & Shri Prabhash Shankar

For Appellant: Shri K. Gopal & Akhilesh Deshmukh, ARsFor Respondent: Shri Aditya Rai (Sr. DR)

Section 143(3)Section 148Section 22Section 24

Arihant Developers, Mumbai vs. Assistant Commissioner of Income Tax Circle -1, Kalyan

In the result, all the above appeals of the assessee are

ITA 3395/MUM/2024[2012-13]Status: DisposedITAT Mumbai09 Sept 2025AY 2012-13

Bench: Shri Sandeep Gosain & Shri Prabhash Shankar

For Appellant: Shri K. Gopal & Akhilesh Deshmukh, ARsFor Respondent: Shri Aditya Rai (Sr. DR)

Section 143(3)Section 148Section 22Section 24

ACIT, Circle-28(1), New Delhi vs. Ravi Shankaran, New Delhi

In the result, the appeal of the revenue is dismissed

ITA 7624/DEL/2018[2009-10]Status: DisposedITAT Delhi29 Aug 2025AY 2009-10

Bench: Shri M. Balaganesh & Shri Vimal Kumaracit, Vs. Shri Ravi Shankaran, Circle-28(1), A-415, Sarita Vihar, New Delhi New Delhi (Appellant) (Respondent) Pan: Ammps0658L

For Appellant: Dr. Kapil Goel, AdvFor Respondent: Shri H. K. Choudhary, CIT DR

Section 133(6)Section 143(3)Section 147Section 148Section 27

Mammayil Thekkepurayil Manshoor, Kannur vs. DCIT (International Taxation), Kochi

In the result, appeals filed by the assessee stand partly allowed

ITA 681/COCH/2023[2007-08]Status: DisposedITAT Cochin29 Apr 2025AY 2007-08

Bench: Shri Inturi Rama Rao, Am & Shri Soundararajan K., Jm

For Appellant: Shri Surendranath Rao, CAFor Respondent: Shri Sanjit Kumar Das, CIT-DR

Section 139(1)Section 144CSection 148Section 149Section 27Section 5(2)

Mammayil Thekkepurayil Manshoor, Kannur vs. DCIT (International Taxation), Kochi

In the result, appeals filed by the assessee stand partly allowed

ITA 679/COCH/2023[2006-2007]Status: DisposedITAT Cochin29 Apr 2025AY 2006-2007

Bench: Shri Inturi Rama Rao, Am & Shri Soundararajan K., Jm

For Appellant: Shri Surendranath Rao, CAFor Respondent: Shri Sanjit Kumar Das, CIT-DR

Section 139(1)Section 144CSection 148Section 149Section 27Section 5(2)

Assistant Commissioner of Income Tax, Circle-25(1), Delhi vs. Vikas Strips Private Limited, Delhi

In the result, the appeal of the revenue is dismissed and Rule 27

ITA 2811/DEL/2024[2008-09]Status: DisposedITAT Delhi17 Apr 2025AY 2008-09

Bench: Shri M. Balaganesh & Shri Anubhav Sharmaacit, Vs. Vikas Strips Pvt. Ltd, Circle-25(1), 10, Ashoka Park, Rohtak Delhi Road, Delhi (Appellant) (Respondent) Pan: Aabcv7134J

For Appellant: Shri Sandeep Goel, AdvFor Respondent: Shri Amit Katoch, Sr. DR

Section 143(3)Section 148Section 151Section 68

Dhanottam Vasant Lonkar, Pune vs. Income-Tax Officer, Ward 3(3), Pune

In the result, the appeal of the assessee is allowed

ITA 214/PUN/2022[2013-14]Status: DisposedITAT Pune08 Apr 2025AY 2013-14

Bench: Dr.Manish Borad & Shri Vinay Bhamoreआयकर अपील सं. / Ita No.214/Pun/2022

Section 129Section 142(1)Section 143(2)Section 143(3)Section 234ASection 54FSection 68

Rina S. Mehta, Mumbai vs. ACIT, CC-4(1), Mumbai

The appeal of the assessee is allowed and the appeal of the revenue

ITA 704/MUM/2023[1993-94]Status: DisposedITAT Mumbai01 Apr 2025AY 1993-94

Bench: Shri Anikesh Banerjee, Jm & Ms Padmavathy S, Am

Section 144Section 234ASection 249(4)Section 250

Niranjan Bhaichand Vora, Rajkot vs. The ITO, Ward-1(2)(4), Rajkot

ITA 154/RJT/2023[2012-13]Status: DisposedITAT Rajkot24 Mar 2025AY 2012-13

Bench: Dr. Arjun Lal Saini & Shri Dinesh Mohan Sinhaआयकरअपीलसं./Ita No.154/Rjt/2023 Assessment Year: (2012-13) (Hybridhearing) Niranjan Bhaichand Vora. Vs. The Ito,Ward-1(2)(4), 402-Madhav Vrund Apartment, Rajkot. Opp. New Collector Office, Shroff Road, Rajkot-360001. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaupv5497J (Assessee) (Respondent)

For Appellant: Shri Mehul Ranpura, Ld. A.RFor Respondent: Shri Abhimanyu Singh Yadav, Ld. Sr. DR

Section 139(1)Section 143(2)Section 143(3)Section 147Section 148Section 250Section 50CSection 53A