SMT. BEENA PILLAI, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER For the Assessee : Shri Darpan Kirpalani, Advocate For the Revenue : Shri Manjunath Karkihalli, CIT DR ORDER PER BEENA PILLAI, JUDICIAL MEMBER Present appeal is filed by assessee against the final assessment order dated 29/06/2022 passed by the Ld. DCIT, Circle - 7(1)(1), Bangalore for A.Y. 2017-18 on following grounds of appeal: "The grounds mentioned herein below are independent and without... ... ...

ASI 2024-25 records broad-based growth in registered manufacturing, including establishments, output, Gross Value Added, employment, emoluments, fixed capital, invested capital, net income and net profit. The survey covers specified registered factories, bidi and cigar establishments, certain electricity undertakings, and qualifying large units in State-maintained business registers. Data are collected electronically under the statutory framework for collection of statistics using an establishment-based approach, with quality checks and caution required because the estimates arise from a sample survey.

The fifth Kautilya Economic Conclave will examine economic resilience amid global shocks through discussions on macroeconomic stability, monetary policy, financial stability, investment, fiscal federalism and capital-market development. Its agenda also covers digital economy governance, artificial intelligence, trade fragmentation, strategic autonomy, climate resilience, food systems, demographic change and global health security. Plenaries, parallel sessions and closed-door roundtables will consider policy responses and mobilisation of domestic and foreign capital for long-term investment.

Prior-year accumulation under Section 11(2) used for construction should not be included in current-year receipts when computing exempt income; the computation must consider net surplus rather than gross receipts. Verified capital expenditure on solar-lamp and RO water-treatment facilities serving rural and backward communities constitutes application of income for charitable purposes where it accords with the trust's objects. Individual beneficiary details are not required for facilities made available to the public in rural areas. Accordingly, these construction and community-facility expenditures do not warrant disallowance in calculating the charitable trust's exempt income.

The Central Government exercised its statutory commencement power to appoint 27 October 2009 as the date on which the provisions of the Information Technology (Amendment) Act, 2008 took effect. The appointment applies to the amendment's provisions as a whole and establishes their effective date for legal operation.

Interest paid on a delayed refund under Section 244A compensates for wrongful withholding and remains distinct from the tax-refund component. Accordingly, earlier Section 244A interest cannot be deducted when recalculating further interest on the tax refund. For interest under Section 234D, previously granted refund interest is excluded from the relevant refund amount. The Revenue's failure to challenge the prior treatment for the same assessee and assessment year meant that no substantial question of law arose. Refund interest therefore remains separate from the tax refund for consequential-interest computations.

Capital grants, subsidies and consumer contributions require asset-wise allocation to reduce actual cost and compute depreciation where assistance is not directly attributable to a particular asset. Delayed-payment charges remain deductible where they arise from late statutory payment rather than a legal infraction. Under mercantile accounting, unreconciled receipts offered to tax later at the same rate should not be taxed twice. Staff-loan interest, prior-period expenses and certain miscellaneous receipts depend on factual verification. Gains from depreciable blocks, where statutory conditions are met, fall under the special short-term capital-gains computation, while supplier interest and operational receipts with a business nexus constitute business income.

Fraudulent or malicious initiation of insolvency proceedings under Section 65 of the Insolvency and Bankruptcy Code requires consideration by the Adjudicating Authority. An admission order procured through fraud or active collusion is a nullity and may be recalled, notwithstanding the absence of an express statutory power of review. Where collusion taints the initiation of a Section 9 insolvency process, recall jurisdiction must be considered rather than rejected solely because review jurisdiction is unavailable. The admission orders obtained through fraud were recalled.

The protected-system notification issued under section 70 of the Information Technology Act, 2000 is amended by substituting "KFin Technologies Private Limited" with "KFin Technologies Limited" wherever the former name occurs in paragraph (1). The substitution takes effect upon publication in the Official Gazette.

Protected-system status is conferred under section 70 of the Information Technology Act, 2000 on KFin Technologies Private Limited's Mutual Fund System, database and associated dependencies as Critical Information Infrastructure. Written authorisation is required for access by designated employees, need-based managed-service-provider or third-party-vendor personnel, and case-specific consultants, regulators, government officials, auditors and stakeholders. The designation takes effect upon publication in the Official Gazette.

Insolvency-related appeals were permitted to be filed and notice was issued. All parties were required to maintain status quo, including concerning assets, pending the next listing. Designated nodal counsel were tasked with preparing a shared electronic compilation under applicable filing directions. Each party was also required to submit a chronology and concise written submissions, with the appeals scheduled for disposal at the subsequent listed hearing.

Computer resources relating to the Mutual Fund System, its database, and associated dependencies are declared protected systems under section 70 of the Information Technology Act, 2000. Access is limited to designated employees, authorised managed-service-provider personnel and third-party vendors requiring need-based access, and consultants, regulators, Government officials, auditors, and stakeholders holding written case-to-case authorisation.

Maintainability of corporate appeals was questioned because the supporting affidavit was affirmed by a person who was neither a director nor part of management, prompting a request for proof of authority. Those appeals were withdrawn and dismissed accordingly. Separate challenges to an NCLAT order were dismissed after counsel stated that the appellants had no grievance against it, while preserving any other legal rights and remedies available to protect the home buyers' interests.

Intermediaries must publish and communicate their rules, privacy policies and user agreements in English or an Eighth Schedule language chosen by users, and make reasonable efforts to prevent unlawful or harmful content. They must provide accessible services with due diligence, privacy and transparency, respect constitutional rights, acknowledge complaints within twenty-four hours, and resolve them within fifteen days, with expedited action for specified removal requests. Grievance Appellate Committees hear appeals against Grievance Officer decisions through online dispute resolution, and intermediaries must comply with appellate orders and publish compliance reports.

Digital Locker services operate through portals, repositories and access gateways, with authorised service providers applying prescribed technical standards. Subscribers may access issuer-held electronic records through document URIs and give requesters access through the URI and consent; requesters must register, use authorised gateways and obtain subscriber consent. System infrastructure and directories must be located within India, and confidential information must not be preserved or retained outside India. Providers must comply with authorisation conditions, maintain security safeguards, establish grievance handling, support account portability and undergo independent audits.

Bad-debt deduction under Section 36(1)(vii) depends on an actual write-off of the debt as irrecoverable in the accounts; following the post-1 April 1989 position, the taxpayer need not prove that the debt had become irrecoverable. An accounting debit labelled as a provision may qualify where the relevant debtor ledger verifies an actual write-off. The provision does not prohibit writing off only part of a debt. Accordingly, a partial bad-debt claim is permissible, subject to verification that the amount was actually written off in the accounts.

Specified airport operational computer resources of GMR Hyderabad International Airport Ltd., including associated dependencies, are declared protected systems as Critical Information Infrastructure. Authorised access is conferred on designated employees with written authorisation, vendor and managed-service personnel with need-based written authorisation, and specified consultants, regulators, officials, auditors, and stakeholders with case-specific written authorisation.

Computer resources relating to the Government e-Marketplace Platform, its Critical Information Infrastructure, and associated dependencies are declared protected systems under section 70 of the Information Technology Act, 2000. Access is limited to persons authorised in writing, including designated employees, need-based managed service provider or third-party vendor personnel, and consultants, regulators, Government officials, auditors, and stakeholders approved on a case-by-case basis. The designation takes effect upon publication in the Official Gazette.

Reopening of an assessment under Section 147 requires the Assessing Officer to independently examine tangible material and form a bona fide reason to believe that income has escaped assessment. Information in a tax evasion petition, without verification or a prima facie finding on the genuineness of alleged loan transactions, cannot by itself support that jurisdiction. Reasons that merely reproduce such information, coupled with mechanical approval, fail to establish the required satisfaction. The reopening proceedings and consequential reassessment are invalid in law.

GST registration applications are subject to deemed approval where the proper officer takes no action within three working days. Deemed approvals withheld during the COVID-19 lockdown were released for specified pending applications after offices reopened. The three-working-day deemed approval mechanism was resumed for later pending applications. Proper officers were required to clear pending registration applications through a special drive, subject to daily monitoring. Registrations approved during lockdown because of portal technical glitches may, where required, undergo physical verification of business premises.