https://www.taxtmi.com/caselaws?id=311286 The ITAT Delhi upheld CIT(A)'s deletion of addition under section 56(2)(vii)(b) regarding share valuation. The assessee adopted DCF method based on chartered accountant's valuation report, which the AO rejected for not matching actual performance. ITAT held the DCF method was scientifically valid, prepared per prescribed rules, and statute permits choosing between book value or DCF methods. The valuation was appropriate despite projection variations due to market conditions. ITAT also upheld deletion of disallowance for late PF contribution deposited before return filing deadline and allowed interest on delayed indirect tax payments as compensatory, not penal, following Supreme Court precedent in Prakash Cotton Mills. en-us Tue, 30 Aug 2022 00:00:00 +0530 Sun, 17 Dec 2023 15:13:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=311286 The ITAT Delhi upheld CIT(A)'s deletion of addition under section 56(2)(vii)(b) regarding share valuation. The assessee adopted DCF method based on chartered accountant's valuation report, which the AO rejected for not matching actual performance. ITAT held the DCF method was scientifically valid, prepared per prescribed rules, and statute permits choosing between book value or DCF methods. The valuation was appropriate despite projection variations due to market conditions. ITAT also upheld deletion of disallowance for late PF contribution deposited before return filing deadline and allowed interest on delayed indirect tax payments as compensatory, not penal, following Supreme Court precedent in Prakash Cotton Mills. Case-Laws Income Tax Tue, 30 Aug 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=311286