Supervisory permanent establishment requires project-wise duration and qualifying construction nexus; offshore supplies and salary reimbursements rema...
Transfer-pricing comparability permits fresh objections and filters where software service comparables are functionally unsuitable for arm's-length pr...
Territorial rendering requirement excludes China-based management and consultancy services from fees for technical services under the India-China DTAA...
The Tribunal upheld the penalty imposed u/ss 271(1)(c) and 271AAB of the Income Tax Act for additional income brought to tax owing to a search and seizure action. The Tribunal observed that the income was assessed based on material seized during the search, supported by a declaration u/s 131. The assessee's contention of voluntary surrender was rejected, as the additional income came to light solely due to the search action. The Tribunal relied on Supreme Court precedents, including MAK Data Pvt Ltd and K P Madhusudan, which established that penalty is leviable when income is finally assessed higher than the returned income, irrespective of whether the variation arose from voluntary surrender or otherwise. Accordingly, the Tribunal set aside the CIT(A)'s orders for the relevant assessment years and restored the penalty orders.
The Tribunal upheld the penalty imposed u/ss 271(1)(c) and 271AAB of the Income Tax Act for additional income brought to tax owing to a search and seizure action. The Tribunal observed that the income was assessed based on material seized during the search, supported by a declaration u/s 131. The assessee's contention of voluntary surrender was rejected, as the additional income came to light solely due to the search action. The Tribunal relied on Supreme Court precedents, including MAK Data Pvt Ltd and K P Madhusudan, which established that penalty is leviable when income is finally assessed higher than the returned income, irrespective of whether the variation arose from voluntary surrender or otherwise. Accordingly, the Tribunal set aside the CIT(A)'s orders for the relevant assessment years and restored the penalty orders.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4886 
