Category: Judgments

Tips collected by hotel from customers and distributed to employees not salary for the purpose of TDS u/s 192-Supreme Court

The Supreme Court in its recent judgment has held that tips collected by the hotel from customers and distributed to employees are not salary for the purpose of TDS under Section 192. Case Law Details: Civil Appeal Nos. 4435-37 of 2016 ITC Limited Gurgaon (Appellant) versus Commissioner of IT (TDS) Delhi (Respondent) …

Deduction u/s 80-O computed applying average net profit margin for domestic income not considering fixed costs was distorted apportionment-Delhi High Court

In its  latest judgment , Delhi High Court has held that deduction under Section 80-O of the Income tax Act, 1961 computed applying average profit margin for domestic income and not considering fixed costs was a distorted apportionment of net profit. Case Law Details: ITA 264/2002 ITA 415/2004 M/s Continental Carriers …… …

Uttarakhand High Court Judgment quashing Presidential Rule under Article 356. It was without any basis at all, in fact, it was a blatant falsehood.

Today, the Hon’ble High Court of Uttarakhand made its landmark judgment online that quashed the Presidential Rule in Uttarakhand which was imposed under Article 356 of the Constitution of India. The petitioner had alleged that the ruling BJP at the Centre, in pursuit of its objective to overthrow the …

Statement recorded u/s 133A can not be retracted saying survey team exerted force on assessee when he issued a cheque by properly preparing, signing it

In a recent judgment, ITAT Chennai has held that a statement recorded u/s 133A can not be retracted saying survey team had exerted force on the assessee when he issued a cheque by properly preparing, signing it for the amount surrendered. Case Law Details: I.T.A.No.1429/Mds./2015 Assessment Year :2007-08 …

Funds shortage due to project expansion was sufficient cause not to impose penalty u/s 221(1) for self assessment tax non payment before filing ITR

In a recent judgment, ITAT Chennai has held that paucity of funds due to project expansion was a sufficient case not to levy penalty u/s 221(1) for non payment of self assessment tax before filing return of income.  Case Law Details: ITA No. 611/Mds/2014  Assessment Year : 2010-11 M/s. …

Section 68 not applicable to liabilities representing old opening balances. Assessee’s Consent / acceptance do not give jurisdiction/right to make addition

In a recent judgment, ITAT Chennai has stated that consent/acceptance given by assessee could not give jurisdiction and a right to the assessing authority to make an addition. The taxing authority can act only if there is power under the statute to do so. It further held that if the liabilities …

UPS entitled to higher rate depreciation @ 60% being accessories and peripherals forming integral part of computer system

In a recent judgment, ITAT Delhi has allowed depreciation on UPS at the higher rate of 60% allowable at computers following Delhi High Court judgment that  computer accessories and peripherals such as, printers, scanners and server etc. form an integral part of the computer system and cannot be used without the …

House Property Annual Value u/s 23(1). Whether flat ihabitable or not, a question of fact to be determined after appreciation of evidences

ITAT, Mumbai in a recent judgment has held that for determination of Annual Value of House property, u/s 23(1), whether the residential property (flat) was habitable or not was a question of fact that can be determined only after appreciation of evidences and remanded the case back to AO. Case Law Details: …