Charitable trust registration requires a specified-violation notice; settled cash deposits and related-party payments did not justify cancellation or ...
External development charges trigger TDS under section 194C, while disputed administrative payments require factual verification and fresh adjudicatio...
Section 270AA penalty immunity requires identified statutory defaults and a hearing before rejection; reassessment disclosure may constitute under-rep...
Section 80JJAA employee-cost deduction allowed for deployed staff but barred against transfer-pricing income enhancement, with pricing issues remanded...
Transfer-pricing methodology protects commercially genuine associated-enterprise payments, while pre-2016 secondary adjustments and related notional i...
Negative liens over operating assets can constitute international transactions requiring arm's-length pricing reflecting restricted borrowing and expa...
Cross-examination rights in Customs Broker revocation inquiries require witness examination; procedural denial may be cured through fresh adjudication...
In a case concerning disallowance of loss incurred in a plastic division, the assessee followed the mercantile system of accounting, and contracts were accounted for on an accrual basis. The Income Tax Appellate Tribunal (ITAT) dismissed the revenue appeal, holding that tax is levied on real income with aspects of certainty. The High Court upheld the ITAT's decision, considering the Supreme Court's ruling in Commissioner of Income Tax v. Excel Industries Ltd., which emphasized levying tax on real income rather than hypothetical income. The settlement agreement acknowledged the contract's partial disintegration, causing the assessee to lose the right to receive the full transaction value. Accounting Standards (AS) 4 and 9 were considered for contingencies occurring after the balance sheet date. The High Court found no manifest error in the ITAT's judgment favoring the assessee.
In a case concerning disallowance of loss incurred in a plastic division, the assessee followed the mercantile system of accounting, and contracts were accounted for on an accrual basis. The Income Tax Appellate Tribunal (ITAT) dismissed the revenue appeal, holding that tax is levied on real income with aspects of certainty. The High Court upheld the ITAT's decision, considering the Supreme Court's ruling in Commissioner of Income Tax v. Excel Industries Ltd., which emphasized levying tax on real income rather than hypothetical income. The settlement agreement acknowledged the contract's partial disintegration, causing the assessee to lose the right to receive the full transaction value. Accounting Standards (AS) 4 and 9 were considered for contingencies occurring after the balance sheet date. The High Court found no manifest error in the ITAT's judgment favoring the assessee.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4828 
Join Channel 
