Unexplained cash credit - creditworthiness of purchaser - Source of source - prospective applicability of proviso to section 68 Addition as unexplained cash credit in respect of an advance received from the purchaser under an agreement for sale, based solely on the purchaser's comparatively low declared income - HELD THAT: - The assessee furnished the agreement for sale, banking records, ledger account, and the purchaser's PAN and address, and also sought independent verification by e... ... ...

Approval u/s 80G for institutions with religious objects - Predominant-object and actual-activities test - Essential Religious Practices test Eligibility of a society for approval under section 80G where its objects include construction or maintenance of places of worship, alongside educational, medical and public-utility activities - HELD THAT: - Denial of approval merely from references to religious objects in the memorandum was unjustified, particularly on renewal, without examining the ap... ... ...

Reassessment based on borrowed satisfaction - Unexplained cash credit - loan transactions through banking channels Validity of reassessment founded on investigation-wing information without independent verification by the Assessing Officer - HELD THAT: - The reasons referred to an annexure which merely named certain entities and did not identify the assessee's transactions with them. The Assessing Officer reproduced the investigation-wing report without making an independent enquiry, anal... ... ...

Limitation for reassessment notice under amended reassessment regime - validity of the reassessment notice for A.Y. 2017-18 issued after expiry of the surviving limitation period HELD THAT: - Applying the observations of the Supreme Court in RAJEEV BANSAL [2024 (10) TMI 264 - SUPREME COURT (LB)] regarding the surviving period for issuance of notice, the Tribunal held that the extended due date had expired on 11-06-2022. The notice issued on 27-07-2022 was consequently beyond limitation, as th... ... ...

Income Disclosure Scheme, 2016 - immunity from further taxation - Unabated assessment under section 153A - addition based on incriminating material Addition u/s 68 in respect of differential sale proceeds of shares, after the corresponding long-term capital gain had been declared under the Income Disclosure Scheme, 2016 - HELD THAT: - Once the long-term capital gain from sale of shares had been declared under the Income Disclosure Scheme, 2016 and tax paid thereon, the assessee was entitled t... ... ...

Royalty - licence to use copyrighted software without transfer of copyright rights - Fees for technical services-supply of video-conferencing equipment with installation and training Royalty-licence to use copyrighted software without transfer of copyright rights - Withholding tax on non-resident software payments - Characterisation of payment for a non-exclusive, non-transferable and non-sublicensable licence to use software for internal business purposes as royalty under the India-USA DTAA ... ... ...

Unexplained cash credits - evidentiary burden for corporate loan creditors - Ad hoc disallowance of business expenditure during commercial inactivity - Interest expenditure on loans treated as non-genuine - Set-off of current-year business loss against capital gains Unexplained cash credits - evidentiary burden for corporate loan creditors - Addition for unexplained cash credits in respect of loans from thirteen corporate creditors - HELD THAT: - The assessee furnished confirmations, tax part... ... ...

Admission of relevant additional evidence in disallowance of commission expenditure - Deduction u/s 80P on enhanced income of co-operative credit society - Ad hoc estimation of interest on loans carrying differential rates Disallowance of commission paid to daily deposit collection agents where supporting additional evidence was not admitted by the first appellate authority - HELD THAT: - The additional evidence, comprising material relevant to substantiate the commission claim, had not been ... ... ...

Validity of Reassessment proceedings - sanction by competent specified authority - Penalty for failure to obtain tax audit - unproved share-trading turnover - Reasonable cause for non-audit Validity of Reassessment proceedings - sanction by competent specified authority - Jurisdictional precondition for reassessment - Validity of reassessment where approval for issuance of notice was obtained from the Principal Commissioner after the period requiring sanction under section 151(ii) had elapsed... ... ...

Additional evidence on GST refund mismatch - Unexplained cash credit - trade payables arising from purchases Additional evidence on GST refund mismatch - Adjustment reducing the returned business loss on account of a mismatch concerning GST refund reported in the tax audit report - HELD THAT: - The additional documentary evidence, produced for the first time before the Tribunal, was found vital to proper adjudication and to verification of the assessee's claim regarding the accounting and... ... ...

Penalty u/s 271B - delayed furnishing of tax audit report - Completion of tax audit within prescribed time - Levy of penalty for failure to furnish the tax audit report with the return, where the accounts had been audited within the prescribed period and the report was produced during assessment proceedings HELD THAT: - Section 271B employs the expression "may direct"; consequently, penalty is not automatic. Where the audit had actually been completed within the prescribed time and the audit ... ... ...

Reassessment on audit objection without fresh tangible material - Change of opinion in reassessment proceedings Validity of reassessment where it was initiated solely on the Revenue audit objection and further verification of records already examined in the original scrutiny assessment - HELD THAT: - Section 147 does not empower the Assessing Officer to reopen a completed assessment merely on a change of opinion. Reassessment must be founded on tangible material coming to the Assessing Office... ... ...

Addition u/s 56(2)(vii)(b) for the difference between stamp-duty value and purchase consideration - Deemed income on acquisition of immovable property for inadequate consideration by joint purchasers - Beneficial interest in jointly acquired property determined by contribution to consideration HELD THAT: - Where evidence established that the entire purchase consideration was paid by the other joint purchaser, the presumption of equal interest in the property did not apply. The respective cont... ... ...

Validity of Proceedings u/s 153C - limitation provided under the third proviso to Section 153B(1) - as per HC [2025 (11) TMI 1854 - BOMBAY HIGH COURT] notices and proceedings under Section 153C for A.Y. 2014-15 to A.Y. 2019-20 are time-barred and quashed HELD THAT:- We do not find a good ground to interfere with the impugned judgment in exercise of our jurisdiction under Article 136 of the Constitution of India. Accordingly, the special leave petition is dismissed.... ... ...

Input tax credit u/s 16(5) of the Central Goods and Services Tax Act, 2017 - Entitlement to input tax credit on a return filed for Financial Year 2018-19 within the period preserved by section 16(5) of the Central Goods and Services Tax Act, 2017 HELD THAT: - Section 16(5), notwithstanding section 16(4), entitles a registered person to take input tax credit relating to the specified financial years where the return under section 39 was filed up to 30.11.2021. As the return for Financial Year ... ... ...

Adjudication beyond show cause notice - Mandatory limitation on confirmation of tax demand Validity of an adjudication order confirming tax demand in excess of the demand proposed in the show cause notice - HELD THAT: - The statutory restriction against confirming a demand exceeding that proposed in the show cause notice is mandatory. An adjudicating authority is consequently without jurisdiction to confirm a demand beyond the proposed demand. [Paras 2, 3, 4] The adjudication order was set... ... ...

Bail - alleged fraudulent input tax credit claims - seeking bail by an accused alleged to have operated a firm used for fraudulent availment of input tax credit - HELD THAT: - The Court noted that, though the firm stood registered in the name of the accused's wife, it was operated by the accused. Material investigation concerning him was almost complete, some co-accused had been enlarged on bail, and the period of detention, balanced against the nature and gravity of the allegations, did not... ... ...

Revocation of GST registration cancellation for non-filing of returns HELD THAT: - The Court found no impediment to consideration of revocation where the petitioner has furnished the outstanding returns. If such returns remain unfiled, the petitioner must be afforded time to file them; upon compliance with statutory requirements, the revocation application must be considered favourably and without delay. [Paras 3] The petitioner was directed to apply for revocation, and the respondents wer... ... ...

Fair hearing in budgetary support claims - Opportunity to explain discrepancy in input tax credit declaration Validity of concluding a budgetary support claim by relying on the input tax credit declaration despite an apparent discrepancy with the Chartered Accountant certificate furnished at the respondents' direction, without affording the claimant an opportunity to explain the discrepancy - HELD THAT: - The Court held that the matter was not one of post-conclusion rectification in the o... ... ...

Alternative statutory remedy in disputed questions of fact - Service of show cause and hearing notices - Exercise of writ jurisdiction against an adjudication order where service of the show cause notice, hearing notice and order was disputed HELD THAT:- The Special Leave Petition was dismissed, the Court declining to interfere with the impugned High Court order [2026 (8) TMI 1498 - DELHI HIGH COURT]... ... ...