Direct Tax
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Bombay High Court Orders Refund of TDS: Opines on Illegal Tax
In a recent judgment[1], the Bombay High Court ordered the Revenue Department to return the tax deposited by the assessee and opined that retaining tax that was not owed by the assessee in the first place…
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Bombay High Court Notes Grant of Licence to Developer is not Grant of Possession under IT Act, 1961
The Bombay High Court in a recent judgment[1] quashed a notice issued to the assessee under Section 148, IT Act, 1961 on the ground that the assessee failed to disclose its income. The High Court also noted,…
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Supreme Court Underlines Power of Settlement Commission under IT Act, 1961
Supreme Court in a recent judgment[1] has interpreted two provisions of IT Act, 1961 – Section 245C and section 245H - to reiterate the scope of jurisdiction and power of Settlement Commission and the necessary conditions that…
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Bombay HC Allows Taxpayer to Claim Benefit of DTVVA, 2020
In a recent judgment[1], the Bombay High Court allowed the taxpayer to claim benefit of Direct Tax Vivad Se Vishwas Act, 2020 (‘DTVVA, 2020’) and held that the interpretation adopted by the Revenue in deciding the…
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Bombay HC Allows Petitioner to Claim Benefit of Section 54(F), IT Act, 1961
In a lucid judgment[1], the Bombay High Court allowed petitioner to claim benefit of Section 54(F), IT Act, 1961 and held that the amendment made to the impugned provision by virtue of Finance Act, 2014 was…
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CA Firm Cannot Invoke MSME Act Against the Income Tax Department
In a unique case[1], the Delhi High Court adjudicated that a Chartered Accountancy firm (‘CA firm’) cannot invoke the Micro, Small and Medium Enterprises Development Act, 2006 (‘MSME Act’) for fees payable to it for Special…
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Tax Residency Certificates Cannot be Questioned: ITAT Delhi Pronounces Two Similar Decisions
The Income Tax Appellate Tribunal (‘ITAT’), New Delhi pronounced two decisions on 10 and 11 August 2023 and in both of them it reiterated one of the core observations of Supreme Court in the Azadi Bachao Andolancase[1],…
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Bombay High Court Strikes Down FAQ under Vivad se Vishwas Act, 2020
In a recent judgment[1], the Bombay High Court rejected an interpretation adopted by the Revenue Department which was prejudicial to the assessee. The case concerned answer to a Frequently Asked Question (‘FAQ’) which the High Court…
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Interplay of Section 153 and Section 144C: Bombay High Court Provides Clarity
In a recent judgment[1], the Bombay High Court clarified that the period of limitation for passing an assessment order will be governed by Section 153, IT Act, 1961 and not by the time period envisaged under…
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DTAAs are Relevant for TDS Provisions under IT Act, 1961
In a recent judgment[1], the Karnataka High Court reiterated the ratio of Engineering Analysis case, more specifically the applicability of Double Taxation Avoidance Agreements (‘DTAA’) vis-à-vis withholding tax obligations under the IT Act, 1961. Introduction The assessee was…
