Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
Contingency expenses, exempt-income disallowance, and royalty benchmarking: unsupported adjustments were deleted under consistent accounting and trans...
The HC dismissed the appeal in a cheque dishonour case under Section 138 NI Act. The complainant company failed to produce the purported Agreement to Sell dated November 2008, claiming it was torn after execution of a subsequent agreement in July 2009. The court rejected this explanation as untenable, noting that companies maintain records even after cancellation and no copy was produced. Crucially, the admitted liability was only Rs. 75 lakhs while the disputed cheque was for Rs. 1.5 crores. The court held that Section 138 requires the cheque amount to discharge the entire existing debt or liability. Since the complainant failed to prove the underlying legally enforceable debt supporting the cheque, the essential ingredient under Section 138 was not satisfied, warranting dismissal.
The HC dismissed the appeal in a cheque dishonour case under Section 138 NI Act. The complainant company failed to produce the purported Agreement to Sell dated November 2008, claiming it was torn after execution of a subsequent agreement in July 2009. The court rejected this explanation as untenable, noting that companies maintain records even after cancellation and no copy was produced. Crucially, the admitted liability was only Rs. 75 lakhs while the disputed cheque was for Rs. 1.5 crores. The court held that Section 138 requires the cheque amount to discharge the entire existing debt or liability. Since the complainant failed to prove the underlying legally enforceable debt supporting the cheque, the essential ingredient under Section 138 was not satisfied, warranting dismissal.
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TaxTMI 
TaxTMI 
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