Stay informed about the latest case laws on Income Tax with this comprehensive overview as we delve into the latest cases reported in the Income Tax Reports (ITR), focusing on critical issues such as Appeal, Refund, Assessment, Revision, Business expenditure, Recovery of Tax, Revision, Capital or Revenue receipt, Search and Seizure and Benami Transactions.
(2025) 482 ITR
Income Tax — Appeal — National Faceless Appeal Centre — Delay in disposal of appeal before Commissioner (Appeals) — Directions issued to expedite adjudication of appeal within stipulated period [Suparshva Swabs (I) v. National Faceless Appeal Centre, (2025) 482 ITR 342]
Income Tax — Refund — Interest on refund — Deputy Commissioner directed to refund with statutory interest if amount found to be refundable [Mosaic India (P) Ltd. v. CIT, (2025) 482 ITR 344]
Income Tax — Assessment — Estimation of gross profit — No rejection of books of account — Held, addition to income based on gross profit of previous three years based on surmises and unsustainable [CIT v. Mahabir Jute Mills Ltd., (2025) 482 ITR 345]
Income Tax — Revision — Erroneous and prejudicial to interests of revenue — Finding of Tribunal that Assessing Officer obtained details of property in scrutiny assessment and examined claim for exemption of long-term capital gains — Order of Assessing Officer neither erroneous nor prejudicial to interests of revenue — Held, Tribunal’s order setting aside revision order need not be interfered with [CIT v. Dineshchandra Narharishankar Upadhyay, (2025) 482 ITR 350]
Income Tax — Appeal to Appellate Tribunal — Order of remand by Tribunal — Consequential order passed by Assessing Officer — Limitation — Effect of Section 153 read with Section 254 — Order passed after expiry of limitation period — Held, not valid — Return and tax paid by assessee must be accepted — Excess Tax must be refunded [Ramesh Chawla (HUF) v. CIT, (2025) 482 ITR 361]
Income Tax — Recovery of tax — Stay of demand — Central Board of Direct Taxes — Effect of guidelines, instructions and office memorandum issued by Board — Held, instruction laying down condition of payment of 20 per cent of outstanding demand, for stay of demand — Discretion to grant stay on deposit of lower amount [Education Research & Development Foundation v. Union of India, (2025) 482 ITR 370]
Income Tax — Offences and prosecution — Benami transactions — Jurisdiction of Court — Effect of section 200 of Code and Section 50 of 1988 Act — Complaint filed before Special Court under Benami Act — Cognizance of offence by trial court — Held, valid [Sandeep Miglani v. Union of India, (2025) 482 ITR 375]
Income Tax — Capital or revenue receipt — Premium on issue of shares of company — Capital receipt — Held, contravention or failure to comply with provisions will not change character of receipt [Shendra Advisory Services (P) Ltd. v. CIT, (2025) 482 ITR 385]
Income Tax — Appeal to High Court — Business Expenditure — Capital or revenue Expenditure — Res judicata — Applicable where fundamental aspects found as fact earlier — Held, pre-operative expenses incurred for expansion of manufacturing unit allowed as revenue expenditure in earlier and later assessment years and decision in appeal to court accepted by Department — Pre-operative expenses allowable as revenue expenditure in assessment year in question [Raymond Ltd. v. CIT, (2025) 482 ITR 400]
Income Tax — Income from house property — Business income — Income from house property or business income — Effect of Section 22 — Income from house property owned by assessee — Held, income assessed as income from house property in prior assessment years — Assessment as business income for assessment years 2008-2009, 2009-2010 and 2010-2011 — Not valid [CIT v. Banzai Estates (P) Ltd., (2025) 482 ITR 407]