Penalty under Section 112 fails where knowledge, admissible statements, and incriminating evidence are not proved against the Customs Broker's directo...
The ITAT Mumbai addressed errors in capital gain computation. The Assessee's claim of ₹ 859,680 was accepted over the AO's ₹ 791,221. An application u/s 154 highlighted 4 computational errors, directing AO to correct them. Set-off of short-term capital loss against gains was disputed. AO's method was challenged as not granting set-off on gains taxed at 30%. Section 70(2) allows inter-head adjustment for capital gains. The Assessee argued for setting off short-term capital loss (subject to securities transaction tax) against gains not taxed under section 115AD at 30%. Both gains and losses were computed u/r sections 48-55, which do not specify tax rates. ITAT ruled in favor of the Assessee, allowing the set-off as per section 70(2). AO was directed to permit the set-off, supporting the Assessee's appeal.
The ITAT Mumbai addressed errors in capital gain computation. The Assessee's claim of ₹ 859,680 was accepted over the AO's ₹ 791,221. An application u/s 154 highlighted 4 computational errors, directing AO to correct them. Set-off of short-term capital loss against gains was disputed. AO's method was challenged as not granting set-off on gains taxed at 30%. Section 70(2) allows inter-head adjustment for capital gains. The Assessee argued for setting off short-term capital loss (subject to securities transaction tax) against gains not taxed under section 115AD at 30%. Both gains and losses were computed u/r sections 48-55, which do not specify tax rates. ITAT ruled in favor of the Assessee, allowing the set-off as per section 70(2). AO was directed to permit the set-off, supporting the Assessee's appeal.
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