Commercial vehicle depreciation, scientifically determined warranty provisions and exempt-income disallowances were resolved in favour of the taxpayer...
Inherited property sale proceeds require capital-gains treatment where ownership is supported by evidence, not suspicion or unverified signature doubt...
Cross-examination of retracted statements is essential where foundational evidence supports a benami allegation and documented funding explanations re...
Capital-goods exemption covers plant-modernisation accessories, while the import restriction applies only to earlier capital-goods components and spar...
Constitutional judicial review permits challenges to ECIRs and connected money-laundering proceedings where coercive action affects fundamental intere...
Disallowance of deduction claimed u/s 24(b) was rejected as the assessee was incurring interest expenditure for redevelopment of the house, and the CIT(A) rightly accepted telephone bills as evidence of occupation. Regarding GP rate estimation, the AO analyzed financials and noticed a decline in GP declared, the ITAT directed sustaining 1.5% of trading sales as additional GP due to lack of records on cash discounts. On TDS u/s 194J for rent payments, the ITAT upheld CIT(A)'s findings as payments were small and within prescribed limits. Disallowance of freight expenses and auditor's fees u/s 40(a)(ia) was set aside based on a Delhi High Court ruling on retrospective application. Freight expense addition was partly allowed, excluding income offered by two parties. Cash expenses exceeding the limit u/s 40A were allowed if paid in different occasions below Rs. 20,000 each, subject to producing ledgers. Penalty u/s 271(1)(c) was deleted as most additions were set aside. Penalty u/s 140A(3) for non-payment of self-assessment tax was deleted considering the assessee's reasonable cause and subsequent payment before levy.
Disallowance of deduction claimed u/s 24(b) was rejected as the assessee was incurring interest expenditure for redevelopment of the house, and the CIT(A) rightly accepted telephone bills as evidence of occupation. Regarding GP rate estimation, the AO analyzed financials and noticed a decline in GP declared, the ITAT directed sustaining 1.5% of trading sales as additional GP due to lack of records on cash discounts. On TDS u/s 194J for rent payments, the ITAT upheld CIT(A)'s findings as payments were small and within prescribed limits. Disallowance of freight expenses and auditor's fees u/s 40(a)(ia) was set aside based on a Delhi High Court ruling on retrospective application. Freight expense addition was partly allowed, excluding income offered by two parties. Cash expenses exceeding the limit u/s 40A were allowed if paid in different occasions below Rs. 20,000 each, subject to producing ledgers. Penalty u/s 271(1)(c) was deleted as most additions were set aside. Penalty u/s 140A(3) for non-payment of self-assessment tax was deleted considering the assessee's reasonable cause and subsequent payment before levy.
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