Delhi High Court Interprets Rule 11UA For Determination FMV Of Shares U/S 56(2)(viib)

The Delhi High Court has held that it has interpreted Rule 11UA of the Income Tax Rules, 1962, for determining the fair market value (FMV) of shares under Section 56(2)(viib) of the Income Tax Act, 1961.The bench of Justice Yashwant Varma and Justice Purushaindra Kumar Kaurav has observed that Section 56(2)(viib) postulates that the FMV of shares shall be the value determined in accordance...

CBDT Circular Not Extending Time To File Application For Regular Registration Of New Provisionally Registered Trusts U/S 80G Violative Of Constitution: Madras High Court

The Madras High Court has held that the Circular dated May 24, 2023, issued by the Central Board of Direct Taxes (CBDT) not extending time to file applications for regular registration of new provisionally registered trusts under Section 80G of the Income Tax Act is violative of the Constitution of India.The bench of Chief Justice Sanjay V. Gangapurwala and Justice D. Bharatha Chakravarthy...

Proper Officer Has To Consider Reply On Merits And Then Form An Opinion: Delhi High Court

The Delhi High Court has held that the proper officer has to consider the reply on merits and then form an opinion.The bench of Justice Sanjeev Sachdeva and Justice Ravinder Dudeja has observed that the proper officer merely held that the reply is incomplete, not clear, and unsatisfactory, which ex-facie shows that the proper officer has not applied his mind to the reply submitted by...

Direct Tax Cases Weekly Round-Up: 31 March To 6 April 2024

Delhi High Court Income Tax Addition Made Towards Unsubstantiated Share Capital Is Eligible For Section 80-IC Deduction: Delhi High Court Case Title: Valley Iron & Steel Co.Ltd Versus PCIT The Delhi High Court has held that income tax additions made towards unsubstantiated share capital are eligible for deduction under Section 80-IC of the Income Tax Act. Delhi...

Confiscation & Penalty Order Must Be Quashed If Quantification Of Stock Based On Eye Estimate: Allahabad High Court

The Allahabad High Court has held that once the Appellate Authority has recorded a specific finding that quantification of stock was based on eye estimate and not in accordance with law, the confiscation order as well as the penalty order are liable to be set aside.“When the Appellate Authority had come to the finding that the officers in the survey did not carry out the quantification of...

S.58 UPVAT | In Revisional Jurisdiction, HC Must Uphold Sanctity Of Judgments/Orders, Must Intervene Only When There Are Compelling Reasons: Allahabad HC

While elaborating the difference between 'appeal' and 'revision', the Allahabad High Court has held that in exercise of its revisional jurisdiction, the High court must uphold the sanctity of judgments and orders and intervene only when there are compelling reasons to do so.“High Courts, in their capacity as revisional bodies, are entrusted with the solemn duty of upholding the sanctity of...

Entry Tax | Indian Made Foreign Liquor Not Taxable Under UP Entry Of Goods Into Local Area Act 2007: Allahabad High Court

The Allahabad High Court has recently quashed assessment order taxing Indian Made Foreign Liquor under the UP Entry of goods into Local Area Act 2007 on grounds that it is not provided in the schedule to the Act.Provisional assessment order against the petitioner was passed on 19.04.2006 under Section 4-A (Realization Of Tax Through Manufacturer) of the Uttar Pradesh Entry of Goods into...

CBDT Enables Functionalities To File ITR-1, 2, 4 & 6 For A.Y. 2024-25

The Central Board of Direct Taxes (CBDT) has enabled the functionalities to file commonly used ITRs namely ITR-1, 2, 4 & 6 For A.Y. 2024-25.The Central Board of Direct Taxes (CBDT) has facilitated taxpayers to file their Income Tax Returns (ITRs) for the Assessment Year 2024-25 (relevant to Financial Year 2023-24) from 1st April, 2024 onwards. The ITR functionalities i.e. ITR-1, ITR-2...

Allahabad High Court Quarterly Tax Digest: January to March 2024

INDEX M/S Mgs Palace v. State Of U.P. And 4 Others 2024 LiveLaw (AB) 4 M/S. Hindustan Herbal Cosmetics vs. State Of U.P. And 2 Others 2024 LiveLaw (AB) 9 M/S Eastern Machine Bricks And Tiles Industries vs. State Of U.P. And Others 2024 LiveLaw (AB) 14 Akbar Ali Transport Services vs. State of U.P. and Another 2024 LiveLaw (AB) 25 M/S Roli Enterprises vs. State Of U.P. And...

Indirect Tax Cases Quarterly Digest : 2024

Supreme Court Customs Act | Importer's Subsequent Import Bill Be Discarded If Undervalued To Previously Imported Identical Or Similar Goods: Supreme Court Case Title: M/s Global Technologies and Research versus Principal Commissioner of Customs, New Delhi (Import) Citation : 2024 LiveLaw (SC) 239 Recently, the Supreme Court held that under the Customs Act, the...

CESTAT Cases Quarterly Digest 2024

Information From ITR/26AS Can't Be Sole Basis For Service Tax Demands: CESTAT Case Title: M/s GopiChenna Versus Commissioner of Central Tax Medchal - GST The Hyderabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the service tax demand was made on the basis of third-party data, i.e., amounts reflected in income tax returns and in Form 26AS,...

CESTAT Allows Refund Of Service Tax Paid On Cancelled Bookings Of Flats

The Mumbai Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has allowed the refund of service tax paid on cancelled bookings of flats.The bench of P.K. Choudhary (Judicial Member) has observed that, as per Rule 66E(b)(sic) of the Service Tax Rules, 1994, in construction services, service tax is required to be paid on the amount received from buyers towards booking of...