Locus standi to challenge search and seizure authorisation depends on whether the challenger is the affected person. Where a search is directed against a company, an Additional Director acting only in that capacity cannot maintain a personal challenge to the search or to the manner in which its authorisation was issued. The company is the affected entity for this purpose. The Additional Director may nevertheless appear in response to a summons; failure to do so leaves the authorities free to take measures permitted by law.

Refund adjustment against tax demands treated as non-collectible or non-enforceable under an unconditional stay is improper; the adjusted amount must be returned with statutory interest while the demands remain stayed pending appeal. Adjustment of a refund before disposal of a stay application constitutes coercive recovery and cannot proceed at that stage. For the disputed demand, retention was confined to 20% in light of applicable Board instructions, with the balance refund returned with statutory interest and the remaining demand stayed pending appeal.

Unrecovered amounts arising from a chit foreman's obligation to make good subscriber defaults qualify for deduction as bad debts or, alternatively, business losses. Consistent allowance of interest on security deposits and commission and gifts paid to associated entities should continue where facts, legal position and operating arrangements remain unchanged. Royalty for a non-exclusive, non-transferable logo licence, without ownership or acquisition of an enduring asset, is revenue expenditure. Overdraft-interest disallowance is unwarranted where surplus funds are sufficient to make interest-free advances.

Limitation for completing an assessment after a special-audit direction is set aside runs until receipt of the judicial order, without requiring a certified copy where a digitally signed copy has been emailed or faxed to departmental authorities. Departmental receipt of the digitally signed order triggers the limitation period, and later production of a certified copy cannot postpone it. Where the assessment limitation expires before a second special-audit direction, that direction and its consequential audit report lack jurisdiction. Failure to complete the permissible fresh assessment results in deemed acceptance of the returned income, and no valid assessment order may thereafter be passed.

Faceless assessment cannot add the gross sale consideration as capital gains without examining material supporting the cost of acquisition, transfer expenses and reinvestment benefits. Documents and explanations filed online must be considered where their filing is not specifically denied or disputed. An addition made without addressing that material, conducting enquiries or cross-verification, or producing contrary evidence is defective at the root of the assessment. The assessment, consequential demand and penalty actions were quashed, with fresh assessment directed after a personal hearing and a speaking order.

Section 68 places the initial burden on an assessee to establish, through cogent evidence, each loan creditor's identity, financial capacity and the genuineness of the transaction. Unsecured loans may be treated as unexplained cash credits where creditors deny making advances or cannot explain the source of the funds advanced, demonstrating that their creditworthiness has not been established. Failure to discharge this burden supports an addition for unexplained cash credits.

Tax deduction at source from compensation payable on compulsory land acquisition is treated as impermissible where it reduces compensation due to land losers. The legal point follows an earlier ruling barring income-tax/TDS withholding from such compensation. Any amount withheld as income tax/TDS is to be released to the affected land losers within three months.

Transfer-pricing rules apply to dealings between an Indian permanent establishment and its Head Office or overseas branches. An Additional Commissioner may act as Transfer Pricing Officer where included within the definition of Joint Commissioner and no lack of authorisation is shown. Closely linked money-market placements may be aggregated, while the Transfer Pricing Officer cannot determine the year in which income accrues. Separate remuneration for correspondent banking or incidental supervisory functions requires proof of a distinct service, resources, benefit and cost base. Profit Split Method attribution requires combined-profit analysis and allocation based on functions, assets and risks. Separately, broken-period interest on stock-in-trade securities is deductible, and unrealised profit on executory forward contracts is not taxable without real accrual.

Concessional-rate interest remains taxable rather than exempt income, so expenditure relating to it is not subject to exempt-income disallowance. Interest between an Indian permanent establishment and its head office or overseas branches is a mutual receipt rather than income; related administrative expenditure is likewise outside that disallowance. Consistent year-end revaluation of outstanding foreign-exchange forward contracts under the mercantile system produces an allowable loss where an existing obligation and reliable estimation exist. Interest disallowance is unwarranted where interest-free own funds exceed exempt-income investments absent a borrowing nexus. Broken-period interest on banking securities and voluntary-retirement expen.....

Under the block-of-assets method, a commercially used flat included in a continuing commercial depreciation block loses its separate identity for income-tax computation. Section 50 permits short-term capital gain only where sale consideration exceeds the aggregate written down value of the relevant block, or where every asset in that block is transferred and the block ceases to exist. Recreating a separate residential block and a notional written down value for the flat on sale is inconsistent with its accepted commercial classification. Where other commercial-block assets remain and opening written down value exceeds sale consideration, no short-term capital gain arises and the related addition is unsustainable.

Benami transaction requirements are satisfied where property is held in a benamidar's name, consideration is provided by the beneficial owner, and the property is held for that owner's immediate or future benefit. Concealment of ownership, benefit to a third party, and use of illegitimate funds are not required; legitimate funds routed through bank accounts may qualify if those elements exist. Routing demonetised cash through benamidars and returning acceptable currency for beneficial owners' benefit falls within this concept. Review jurisdiction requires an error apparent on the face of the record; disagreement based on a mistaken view of these elements does not justify review, resulting in dismissal of the review applications.

Imported agricultural rejected nut pieces declared as cattle feed must be released on sufficient indemnity pending adjudication where test reports establish that they are unfit for human consumption. A speculative possibility of diversion to human consumption does not justify detention or seizure, and prohibition based on declared value cannot stand without production of the relied-on notification. Release remains without prejudice to lawful adjudication. The unresolved issue whether the extension period for seizure is calculated from detention or seizure was referred for Larger Bench consideration.

Rule 16 of the Duty Drawback Rules contains no express limitation period for recovery, but recovery for failure to produce proof of realisation of export proceeds must be initiated within a reasonable period assessed on the facts. A delay exceeding seven years, without any allegation of fraudulent availment or suppression, was treated as unreasonable where the export business had closed and supporting records were unavailable. The drawback-recovery order was set aside and refund directed. The availability of a statutory appeal did not bar writ relief in these circumstances.

The customs prohibition on direct or indirect import and transit applies to goods entering India solely for onward transhipment because they retain their character as imported goods until clearance for home consumption. Domestic customs law governs where it directly regulates import and transit; the India-Nepal transhipment treaty does not displace a prohibition and preserves measures concerning prohibited imports and security interests. DRI officers have all-India jurisdiction and may inspect a consignment at its first Indian port of arrival. Conflicting documents and bag labels concerning origin require determination through statutory procedures, and a composite consignment should not be bifurcated pending that determination.

Release of detained cargo containers required resolution of unpaid de-stuffing charges because the no-objection communication applied only to empty containers. Once it was confirmed that the containers held cargo requiring removal, neither private party agreed to pay those charges. The importer, whose appeal was pending before CESTAT, was a proper and necessary party but had not been joined. The parties were left to seek appropriate orders from the authorities for de-stuffing and release of the containers after notice to the importer.

Customs valuation of used printing machinery requires reliable, corroborated evidence before declared import values may be displaced. Overseas information lacking import-specific details, verified enquiry material, or supported technical valuation methodology does not establish undervaluation. Confiscation requires a distinct statutory notice; a duty-demand notice cannot substitute for it. Redemption fine cannot be imposed where previously cleared goods are unavailable for confiscation. Differential duty on provisionally assessed goods requires finalisation of the provisional assessment first. Extended limitation requires supported suppression and cannot apply where Customs examined the goods and considered valuation certificates. When valuation demands and confiscation fail, related redemption fines and penalties lack foundation.

Order VII Rule 11 confines the inquiry to plaint averments. Civil courts may entertain declaratory and partition claims concerning property held in company names where the plaint alleges acquisition from a deceased person's funds; no exclusive Tribunal remedy was established. A pleaded Benami Act exception for property acquired by a Karta or HUF member from known HUF sources cannot be rejected at the threshold and requires evidence at trial. Non-joinder objections may be raised through pleadings and addressed by adding or striking out parties. The rejection or dismissal application and request to delete defendants were dismissed, while delayed written statements were permitted subject to costs.

Section 33(1A) gives the Adjudicating Authority residual judicial discretion to restore CIRP; it is not confined to a formal compliance review. Where statutory conditions are met and the Committee of Creditors unanimously supports restoration after deliberation, refusal requires cogent, relevant reasons consistent with value maximisation and the resolution-first objective. Unsubstantiated concerns over monetisation of carried-forward tax losses, without notice or supporting material, cannot displace that decision; tax treatment remains for tax authorities. The availability of an arbitral claim in liquidation requires comparison of value, timing, cost, risk and market interest under both routes. A reasoned order must engage with creditors' deliberations and explain any departure from treating liquidation as a last resort.

Security interest under the IBC is confined by the clarificatory Explanation to rights arising from an agreement or arrangement between parties, excluding rights created solely by operation of law. Accordingly, a statutory first charge under the GVAT Act and a pre-CIRP attachment constitute a statutory right and an enforcement measure, not consensual security; the related tax dues are operational debt rather than secured debt. Central Sales Tax dues likewise lack secured status because the CST Act creates no statutory first charge, and statutory recovery provisions alone do not create security. GVAT and CST components of a composite tax claim require separate examination for insolvency treatment.

Suspension of an insolvency professional's registration prevents continued service as an Interim Resolution Professional or Resolution Professional in ongoing insolvency processes. Required intimation to the Committee of Creditors and Adjudicating Authority, followed by steps to appoint a successor, implements the disciplinary suspension rather than the Committee's separate replacement power. Challenges to the Disciplinary Committee's composition and investigation sequence require final examination and do not alone establish manifest invalidity at the interim stage. Interim suspension relief requires a prima facie case, favourable balance of convenience and irreparable injury; a general stay enabling fresh assignments may amount to final relief. The interim stay application was dismissed, while the disciplinary appeal remains for final adjudication.