Latest court orders, judgments, and legal developments from Indian courts — AI-curated and summarized.
The Karnataka High Court has remanded the challenge against the retrospective amendment of Section 147A of the Income Tax Act back to a single judge for consideration. The assessee has been granted four weeks to explore the validity of the amendment, while the Revenue has three weeks for a response.
The Delhi HC ruled that a company's ₹86 lakh ITeS turnover cannot be compared with American Express's ₹782 crore turnover for transfer pricing analysis due to the significant scale differences. This ruling impacts how companies approach transfer pricing assessments in India.
The ITAT ruled that reassessment proceedings through Section 148 of the Income Tax Act issued by the Jurisdictional Assessing Officer (JAO) necessitate remand for fresh adjudication. This decision highlights the procedural importance of adherence to established protocols in tax assessments.
The Delhi High Court ruled that expenses like phones and cars incurred by companies cannot be deemed personal expenditure. This ruling overturns a previous income tax disallowance, affirming that companies, as separate legal entities, do not incur personal expenses unlike individuals.
Delhi High Court ruled that company expenses such as phone and car are business-related and not personal, reversing previous income tax disallowance. This distinction highlights the unique nature of corporate expenditures compared to individual assessments.
The ITAT ruled that the Principal Commissioner of Income Tax (PCIT) exceeded jurisdiction by raising new issues not included in the show-cause notice. This ruling is critical for delineating the boundaries of PCIT authority.
The Income Tax Appellate Tribunal (ITAT) quashed a reassessment notice issued under Section 148, determining it was based on incorrect facts and assumptions. The ruling highlights the necessity of accurate representation of facts in reassessment proceedings.
Under new FEMA regulations, service exporters will be required to file monthly EDF declarations starting October 2026. Non-compliance may impact eBRC generation and GST refunds.
The Kerala High Court has quashed an order denying input tax credit, ruling that taxpayers who filed their returns within the extended cut-off date are entitled to the credit under Section 16(5). This decision clarifies statutory entitlements regarding timely filings.
The ITAT ruled that housing loan interest is allowable as part of cost of acquisition for calculating capital gains if it has not been claimed under Section 24(b).
The ITAT quashed the AO's assessment, stating that the officer exceeded of the scope of limited scrutiny as mandated by CASS guidelines.
The ITAT has determined that one-time maintenance and utility deposits are to be included in the cost of acquisition for capital gains calculation, establishing a precedent for similar cases.