Retrospective application of beneficial circulars upheld, binding officers and granting post adjudication relief where adjudication occurred after cir...
Admissibility of Investigation Statements requires witness examination before the adjudicating authority; otherwise statements cannot sustain a penalt...
Transaction value and connected person treatment in excise valuation: proprietary concerns not inter connected undertakings, relief on valuation and c...
Appointment of Registrars as adjudicating officers under Companies Act reallocates territorial jurisdiction and sets appeal route to Regional Director...
Whether income from a landowner's revenue share under a JDA accrued by applying the percentage completion method was examined. It was held that revenue cannot be recognized until significant risks and rewards pass, which in case of immovable property occurs only upon execution and registration of the sale deed; mere agreements to sell or advance bookings do not effect transfer or accrual, and advances remain liabilities until possession and registered conveyance. As the landowner had only licensed development through a power of attorney, and consistently followed the project completion method, the tax authority could not mandate the percentage completion method merely because the developer used it. Accordingly, the addition for accrued income was rejected. - ITAT
Whether income from a landowner's revenue share under a JDA accrued by applying the percentage completion method was examined. It was held that revenue cannot be recognized until significant risks and rewards pass, which in case of immovable property occurs only upon execution and registration of the sale deed; mere agreements to sell or advance bookings do not effect transfer or accrual, and advances remain liabilities until possession and registered conveyance. As the landowner had only licensed development through a power of attorney, and consistently followed the project completion method, the tax authority could not mandate the percentage completion method merely because the developer used it. Accordingly, the addition for accrued income was rejected. - ITAT
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