Restriction of Input Tax Credit under Rule 86A applies only to fraudulently or ineligible availed credit; mere wrongful recipient availment is insuffi...
Business reorganisation requires recognition of successor's modified return; draft orders against dissolved transferor quashed and fresh review direct...
Pre-commencement R&D deduction denied where business had not commenced; deeming benefit requires tangible start of manufacture or commercial exploitat...
Transfer of shares to a wholly owned subsidiary was a bona fide commercial reorganisation, not a colourable device, because the Revenue showed no sham, lack of commercial substance, or non-genuineness, and tax benefit alone could not invalidate the transaction. The Tribunal also held that the shares were capital assets and that section 47(iv) exemption applied since the assessee and subsidiary satisfied the statutory ownership conditions. The share valuation challenge failed because the Assessing Officer identified no specific defect in the recognised valuation method, assumptions, or projections. The addition was deleted.
Transfer of shares to a wholly owned subsidiary was a bona fide commercial reorganisation, not a colourable device, because the Revenue showed no sham, lack of commercial substance, or non-genuineness, and tax benefit alone could not invalidate the transaction. The Tribunal also held that the shares were capital assets and that section 47(iv) exemption applied since the assessee and subsidiary satisfied the statutory ownership conditions. The share valuation challenge failed because the Assessing Officer identified no specific defect in the recognised valuation method, assumptions, or projections. The addition was deleted.
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