Which cases are most cited on Section 275(1)(a)?

CIT v. Virtual Soft Systems Ltd. (341 ITR 593) — 33 citing judgments; COMMISSIONER OF INCOME TAX v. ODEON BUILDERS P. LTD. (393 ITR 27) — 14 citing judgments; Parkinson Electrical Corprn v. ITO (84 Taxmann 82) — 9 citing judgments; Bata India Ltd. v. DCIT (11 Taxmann.com 453) — 5 citing judgments.

How many judgments are there on Section 275(1)(a)?

BharatTax indexes 114 ITAT, High Court and Supreme Court judgments that turn on Section 275(1)(a) of the Income Tax Act, 1961.

Section 275(1)(a) of the Income Tax Act

Q: What is the leading case on Section 275(1)(a) of the Income Tax Act?

CIT v. Virtual Soft Systems Ltd. (341 ITR 593) is the decision most relied on for Section 275(1)(a), cited in 33 judgments. A mandatory change in the method of accounting, if bonafide, allows for deductions based on the changed method when computing business income. The method of accounting for lease followed by an assessee, based on ICAI guidelines, was accepted.

Income-tax Act, 2025: s.472

Section 275(1)(a) falls under section 275 of the Income-tax Act, 1961, which corresponds to section 472 (Bar of limitation for imposing penalties) of the Income-tax Act, 2025.

Read section 472 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 275(1)(a) is CIT v. Virtual Soft Systems Ltd. (341 ITR 593), cited in 33 of the 114 judgments on BharatTax that turn on this section.

Leading authorities on Section 275(1)(a)

CIT v. Virtual Soft Systems Ltd.

341 ITR 593 · 2012 · High Court

citing judgments

A mandatory change in the method of accounting, if bonafide, allows for deductions based on the changed method when computing business income. The method of accounting for lease followed by an assessee, based on ICAI guidelines, was accepted.

COMMISSIONER OF INCOME TAX v. ODEON BUILDERS P. LTD.

393 ITR 27 · 2017 · High Court

citing judgments

The limitation period for filing an appeal against an ITAT order commences from the date of receipt of the order by any CIT, not necessarily the 'concerned jurisdictional CIT'. Alternatively, the date of pronouncement of the order can be taken as the date of service.

Parkinson Electrical Corprn v. ITO

84 Taxmann 82 · 1996 · High Court

citing judgments

Bata India Ltd. v. DCIT

11 Taxmann.com 453 · Reported

citing judgments

Judgments on Section 275(1)(a)

The Assistant Commissioner of Income Tax, Circle-2(1), Vijayawada vs. Sri Sai Engineering and Drilling, Vijayawada

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

ITA 63/VIZ/2025[2009-10]Status: DisposedITAT Visakhapatnam15 Sept 2025AY 2009-10

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपील सं./ I.T.A. No.63/Viz/2025 (निर्धारण वर्ा / Assessment Year: 2009-10) Assistant Commissioner Of Vs. Sri Sai Engineering & Drilling, Income Tax, D. No. 54-18-26, B-3, Circle-2(1), Second Lane, Lic Colony, Vijayawada. Vijayawada. Pan:Abafs0788A (अपीलधर्थी/ Appellant) (प्रत्यर्थी/ Respondent) C.O. No. 06/Viz/2025 (In आयकर अपील सं./ I.T.A. No.63/Viz/2025) (निर्धारण वर्ा / Assessment Year: 2009-10) Sri Sai Engineering & Drilling, Vs. Assistant Commissioner Of D. No. 54-18-26, B-3, Second Income Tax, Lane, Lic Colony, Circle-2(1), Vijayawada. Vijayawada. Pan:Abafs0788A (अपीलधर्थी/ Appellant) (प्रत्यर्थी/ Respondent)

For Appellant: Sri GVN Hari, AdvocateFor Respondent: Dr. Aparna Villuri, Sr. AR

Section 143(3)Section 271(1)(c)

Cmv Education Society, New Delhi vs. Deputy Commissioner of Income Tax, Central Circle-6, Delhi

Appeal is allowed

ITA 2505/DEL/2023[2011-12]Status: DisposedITAT Delhi09 Jul 2025AY 2011-12

Bench: SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER AND SHIR S. RIFAUR RAHMAN (Accountant Member)

Section 153CSection 271(1)(c)Section 275(1)(a)

DCIT, New Delhi vs. M/S. Cvent India Pvt. Ltd., New Delhi

Appeal is allowed

ITA 2505/DEL/2017[2010-11]Status: DisposedITAT Delhi26 Mar 2025AY 2010-11

Bench: Shri Satbeer Singh Godara & Shir S. Rifaur Rahman

Section 153CSection 271(1)(c)Section 275(1)(a)

Ms Imsofer Manufacturing India Private Limited (Now Known As Ferrero India Private Limited), Pune vs. Deputy Commissioner of Income Tax, Circle 1(1)– Pune and National Faceless Assessment Centre, Delhi, Pune and NFAC (Delhi)

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

ITA 1316/PUN/2024[2012-13]Status: DisposedITAT Pune11 Mar 2025AY 2012-13

Bench: Shri R. K. Panda & Shri Vinay Bhamoreआयकर अपील सं. / Ita No.1316/Pun/2024 िनधा"रण वष" / Assessment Year : 2012-13 M/S. Imsofer Manufacturing Vs. Dcit, Circle-1(1), Pune. India Private Limited (Now Known As Ferrero India Private Limited), World Trade Center, 8Th Floor, Tower-3, Kharadi- 411014. Pan : Aabci6450N Appellant Respondent Assessee By : Shri Siddhesh Chaugule & Nagma Gupta Revenue By Shri Amol Khairnar : Date Of Hearing : 18.12.2024 Date Of Pronouncement : 11.03.2025 आदेश / Order Per Vinay Bhamore, Jm: This Appeal Filed By The Assessee Is Directed Against The Order Dated 16.04.2024 Passed By Ld. Cit(A)/Nfac For The Assessment Year 2012-13. 2. The Appellant Has Raised The Following Grounds Of Appeal :- “General Grounds: 1. On The Facts & Circumstances Of The Case & In Law, The Hon. Cit(A) Has Erred In Passing Order Under Section 250 Of The Act I.E. Levying Penalty Of Inr 3,55,82,949/-. Legal Grounds:

For Appellant: Shri Siddhesh Chaugule &

Section 154Section 250Section 251Section 271(1)(c)Section 275(1)(A)

Selvaraj Arputharaj, Coimbatore vs. DCIT, CC-I, Coimbatore

In the result, the appeals of the assessee are decided as under:-

ITA 2031/CHNY/2024[2014-15]Status: DisposedITAT Chennai18 Dec 2024AY 2014-15

Bench: Shri Ss Viswanethra Ravi & Shri Amitabh Shuklaआयकर अपील सं./Ita No. 2029/Chny/2024, Assessment Years: 2012-13 आयकर अपील सं./Ita No. 2030/Chny/2024, Assessment Years: 2013-14 आयकर अपील सं./Ita No. 2031/Chny/2024, Assessment Years: 2014-15

For Appellant: Shri R.Anish Kumar, AdvocateFor Respondent: Ms.R. Anita, Addl. CIT

Section 132Section 271(1)(c)Section 275

Selvaraj Arputharaj, Coimbatore vs. DCIT, CC-I, Coimbaotore

In the result, the appeals of the assessee are decided as under:-

ITA 2030/CHNY/2024[2013-14]Status: DisposedITAT Chennai18 Dec 2024AY 2013-14

For Appellant: Shri R.Anish Kumar, AdvocateFor Respondent: Ms.R. Anita, Addl. CIT

Section 132Section 271(1)(c)Section 275

Selvaraj Arputharaj, Coimbatore vs. DCIT, CC-I, Coimbaotore

In the result, the appeals of the assessee are decided as under:-

ITA 2029/CHNY/2024[2012-13]Status: DisposedITAT Chennai18 Dec 2024AY 2012-13

For Appellant: Shri R.Anish Kumar, AdvocateFor Respondent: Ms.R. Anita, Addl. CIT

Section 132Section 271(1)(c)Section 275

Kamal Kumar Kothari Son of Shri Bhanwar Singh Kothari vs. Assistant Commissioner of Income Tax

CW/15152/2024HC Rajasthan10 Dec 2024

Section 220Section 246Section 246ASection 253Section 271ESection 275(1)(a)

Sudesh Gupta, New Delhi vs. ACIT, Circle- 5(1), New Delhi

In the result, the Appeal filed by the Assessee stands allowed

ITA 284/DEL/2020[2013-14]Status: DisposedITAT Delhi18 Nov 2024AY 2013-14

Bench: Shri Shamim Yahya & Shri Yogesh Kumar Usa.Yr. : 2013-14 Sudesh Gupta, Vs. Acit, Circle 5(1), B-15, Kalindi Colony, Opp. Room No. G-15-B, C.R. Maharani Bagh, Building, New Delhi – 2 New Delhi (Pan: Aahpg5645G) (Appellant) (Respondent)

For Appellant: Ms. Ananya Kapoor, Adv. & ShriFor Respondent: Shri Piyush Tripathi, Sr. DR

Section 143(3)Section 147Section 148Section 2(22)Section 2(22)(e)Section 271Section 271(1)Section 271(1)(c)Section 274Section 275(1)(a)

India Tube Mills and Metal Industries Pvt Ltd., Mumbai vs. ACIT-15(2)(1), Mumbai

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

ITA 2262/MUM/2024[2013-14]Status: DisposedITAT Mumbai13 Nov 2024AY 2013-14

Bench: Shri. Anikesh Banerjee & Smt. Renu Jauhri

For Appellant: Shri Surinder Mehra, CAFor Respondent: Shri Krishna Kumar (SRDR)

Section 250Section 271(1)Section 271(1)(c)Section 275(1)

Odeon Builders Private Limited, Delhi vs. ACIT, Circle 19(1), Delhi

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

ITA 286/DEL/2024[2017-18]Status: DisposedITAT Delhi11 Jun 2024AY 2017-18

Bench: Dr. B.R.R. Kumar & Sh. Sudhir Kumarassessment Year: 2017-18 Odeon Builders Private Vs. Acit Limited Circle – 19 (1) M-116, 2Nd Floor, Connaught Delhi Place, Central, Delhi-110001 Pan No.Aaaco0155H (Appellant) (Respondent) Appellant By Sh. Suresh Gupta, Ca Respondent By Sh.M. G. Joseph Gangte, Cit Dr Date Of Hearing: 21/05/2024 Date Of Pronouncement: 11/06/2024 Order Per Sudhir Kumar, Jm:

Section 115JSection 143(2)Section 271Section 271BSection 44Section 44A

Shri Inderpal Singh, Jalandhar vs. Deputy Commissioner of Income Tax Central Circle-1, Jalandhar

The appeal of the assessee is disposed of in the terms indicated as above

ITA 203/ASR/2018[2005-06]Status: DisposedITAT Amritsar02 Aug 2023AY 2005-06

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

For Appellant: NoneFor Respondent: Sh. Rajiv Wadhera, Sr. DR

Section 275(1)(a)

Shri. Dhanasingh Nagamuthu, Bangalore vs. Income-Tax Officer, Ward-(3)(3)(1), Bangalore

In the result, the appeal of the assessee is allowed

ITA 314/BANG/2023[2017-18]Status: DisposedITAT Bangalore07 Jun 2023AY 2017-18

Bench: Shri Chandra Poojari & Smt. Beena Pillaiassessment Year: 2017-18

For Appellant: N O N EFor Respondent: Smt. Oriyadarshini Baseganni, D.R

Section 142(1)Section 143(1)Section 144Section 250Section 272Section 272ASection 272A(1)(d)Section 274Section 274(1)Section 275

ACIT, New Delhi vs. M/S. Kostub Investment Ltd., New Delhi

Accordingly, the appeal of Revenue is dismissed being infructuous

ITA 2281/DEL/2014[2007-08]Status: DisposedITAT Delhi03 May 2023AY 2007-08

Bench: Sh. N.K.Billaiya & Sh.Anubhav Sharma

Section 143(3)Section 253(5)Section 271(1)(c)Section 274Section 68

Vijay Spinning Mills Limited, Krishna District vs. Assistant Commissioner of Income Tax, Circle-1(1), Vijayawada

In the result, appeal of the assessee is allowed for statistical purpose

ITA 181/VIZ/2022[2013-14]Status: DisposedITAT Visakhapatnam21 Apr 2023AY 2013-14

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपील सं./I.T.A.No.181/Viz/2022 (ननधधारण वर्ा / Assessment Year : 2013-14) Vijay Spinning Mills Ltd., Vs. Asst.Commissioner Of 5-111-10, Vsm Quarters Income Tax Ganguru, Penamaluru Mandal Circle-1(1) Krishna Dist. Vijayawada [Pan : Aaacv7518B] (अपीलार्थी/ Appellant) (प्रत्यर्थी/ Respondent) अपीलधथी की ओर से/ Appellant By : None प्रत्यधथी की ओर से / Respondent By : Shri O.N.Hari Prasada Rao, Dr सुनवधई की तधरीख / Date Of Hearing : 07.03.2023 घोर्णध की तधरीख/Dt. Of Pronouncement : 21.04.2023 आदेश /O R D E R Per Shri Duvvuru Rl Reddy: This Appeal Is Filed By The Assessee Against The Order Of Commissioner Of Income Tax (Appeals) [Cit(A)], National Faceless Appeal Centre (Nfac), Delhi Vide Din & Order No.Itba/Nfac/S/250/2022-23/1044219637(1) Dated 28.07.2022 Arising Out Of The Orders Passed U/S 271(1)(C) Of The Income Tax Act, 1961 (In Short “Act”) Dated 26.03.2022 For The Assessment Year (A.Y.) 2013-14. 2

For Appellant: NoneFor Respondent: Shri O.N.Hari Prasada Rao, DR

Section 115JSection 143(3)Section 154Section 250Section 271(1)(c)Section 275(1)(a)