Reversal of input tax credit in proportion to exempt supply: specificity of show-cause notice required; order set aside, fresh proceedings allowed wit...
Benami transaction and beneficial ownership: documentary and circumstantial evidence show payors were true beneficiaries, resulting in PBPTA consequen...
ITAT dismissed Revenue's appeals and partly allowed assessee's appeal. It upheld CIT(A)'s deletion of additions treated as business receipts from a joint development agreement, holding that, in absence of valid seized material in search assessments under s.143(3) r.w.s. 153D, sworn statements alone could not sustain additions and that receipts were taxable in the year of execution of sale deeds, not on receipt of advances. ITAT further held that disallowance for non-capitalization of interest was unjustified where borrowings and interest were genuine, business-related, and undisputed, and where the AO's approach only caused a timing distortion without corresponding adjustment in later years. The interest disallowance of Rs.3.08 crores was deleted.
ITAT dismissed Revenue's appeals and partly allowed assessee's appeal. It upheld CIT(A)'s deletion of additions treated as business receipts from a joint development agreement, holding that, in absence of valid seized material in search assessments under s.143(3) r.w.s. 153D, sworn statements alone could not sustain additions and that receipts were taxable in the year of execution of sale deeds, not on receipt of advances. ITAT further held that disallowance for non-capitalization of interest was unjustified where borrowings and interest were genuine, business-related, and undisputed, and where the AO's approach only caused a timing distortion without corresponding adjustment in later years. The interest disallowance of Rs.3.08 crores was deleted.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4828 
Join Channel 
