Once Insurance Policy Is Assigned By Employer To Employee, Value Received By Employee Can't Be Taxed In View Of Sec 10(10D): Delhi ITAT

The New Delhi ITAT recently reiterated that once insurance policy is assigned by the employer to employee, the insurance policy gets converted into an ordinary policy, and in that case, the value received by employee would not be subjected to tax in view of section 10(10D) of the Act. Referring to the decision of Delhi High Court in the case of CIT vs Rajan Nanda [2012] 18...

Incorrect calculation by AO Is Not 'Failure On Part Of Taxpayer To Disclose Material Fact', For Initiating Reopening: Ahmedabad ITAT

The Ahmedabad ITAT ruled that mathematical incorrectness by AO cannot be said to be failure on the part of the assessee to disclose any material fact, so as to initiate reopening of assessment. The Bench of Annapurna Gupta (Accountant Member) and Siddhartha Nautiyal (Judicial Member) observed that “as rightly pointed out by the counsel for the assessee, escapement of income as per...

No Reference Can Be Made To DVO Once Value Of Capital Asset Declared By Taxpayer Is More Than FMV: Chennai ITAT

Finding that value determined by the DVO is less than the valuation adopted by assessee for computing fair market value (FMV), the Chennai ITAT ruled that the value adopted by the DVO cannot be taken for computing FMV. The Bench of Mahavir Singh (Vice President) and Manoj Kumar Aggarwal (Accountant Member) observed that “where value of capital assets shown by the assessee being...

Payment From Google Towards Marketing & Distribution Rights Of AdWords Is Not Royalty, Clarifies Bangalore ITAT

Following the Coordinate Bench ruling in IT(IT)A No.2845/Bang/2017, wherein it was held that the payment made by Google India to assessee was not in the nature of royalty/ FTS and consequently it could not be brought to tax in the hands of assessee, the Bangalore ITAT ruled that amount received by Google Ireland (Assessee) from Google India towards marketing & distribution...

Payments Made To Doctors Would Be Covered By TDS Provisions U/S 194J Of Income Tax Act: ITAT

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) consisting of M. Balaganesh (Accountant Member) and Anubhav Sharma (Judicial Member) has held that the payments made to doctors would be covered by TDS provisions under Section 194J and not Section 192 of the Income Tax Act. Section 194J of Income Tax Act relates to fees for professional or technical services. Section 194J in the Income...

ITAT Quashes Pre-Drafted Performa Penalty Notice Containing Both Concealed And Inaccurate Particulars Of Income

The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has quashed a pre-drafted penalty notice containing both concealed particulars of income and furnished inaccurate particulars of income.The bench of Vikas Awasthy (Judicial Member) and S. Rifaur Rahman (Accountant Member) has observed that where the Assessing Officer clearly records satisfaction for imposing penalty on one or both...

Contribution Made By NSE To Core SGF Is Not In The Nature Of Any Deposit/Contingency/Reserve: ITAT

The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has held that the contribution made by the assessee stock exchange to Core SGF is not in the nature of any deposit, contingency, or reserve. The bench of Aby T. Varkey (Judicial Member) and S. Rifaur Rahman (Accountant Member) has observed that the AO/CIT(A) erred in holding that the contribution made by the assessee to Core SGF is...

CIT(A) Not Empowered To Dismiss An Appeal On Account Of Non-Prosecution: ITAT

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that the CIT(A) has no power to dismiss an appeal on account of non-prosecution.The bench of Challa Nagendra Prasad (Judicial Member) and Pradip Kumar Kedia (Accountant Member) has referred to Section 250(6) of the Income Tax Act, which enjoins that the CIT(A) shall state the points for determination before it and the decision...

ITAT Cases Weekly Round-Up: 17 To 23 March 2024

Deeming Provisions Of Sec 69B Can't Be Invoked Once Nexus Of Source Of Unrecorded Transactions With Assessee's Business Is Proved: Chandigarh ITAT Case Title: M/s A.P Knit Fab verses DCIT Finding that the difference in stock found out by I-T Authorities has no independent identity and is part & parcel of entire stock, the Chandigarh ITAT refused to treat such difference...

LTCG Tax Exemption Can't Be Denied Due To An Error Made By The Builder In Assigning Apartment: ITAT

The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has held that tax benefits cannot be denied to taxpayers due to an error made by the builder in assigning the apartment.The bench of Rahul Chaudhary (Judicial Member) and Om Prakash Kant (Accountant Member) has observed that the appellant or taxpayer cannot be penalized for the mistake committed by the developer or seller by allotting...

Income Tax Exemptions Available To ST Individuals Can't Be Extended To Partnership Firm: ITAT

The Guwahati Bench of the Income Tax Appellate Tribunal (ITAT) has held that the exemption under Section 10(26) of the Income Tax Act has been specifically conferred on members of the Scheduled Tribe residing in the specified area. The exemption cannot be extended to another separate and distinct "person," that is, the partnership firm, though such a firm consists of the individual partners...

CBDT Expands Scope Of Appeal Filing By Dept. Before ITAT, High Court And Supreme Court, Retains Monetary Limits

The Central Board of Direct Taxes (CBDT) has issued a circular under section 268A of the Income-tax Act, 1961 for filing of appeals by the Department before Income Tax Appellate Tribunal, High Courts and SLPs/appeals before Supreme Court as a measure for reducing litigation.The board has retained the monetary limits at Rs.50 lakhs, Rs.1 Crore and Rs.2 Crores for filing appeals before ITAT,...