Direct Tax

Sum payable to party allowable as bad debt only if it was lent in ordinary course of money lending business.

PCIT v. Khyati Realtors (P.) Ltd. – [2022] 141 taxmann.com 461 (SC).

Benami Act – Section 3 r/w/s 2(a) and Section 5 of Benami Transactions (Prohibition) Act, 1988, being disproportionately harsh, were unconstitutional from their inception. No confiscation of prosecution in respect of Benami Property Transactions entered into prior to 25-10-2016: SC LB.

UOI Vs. Ganpati Dealers Pvt. Ltd., 2022-TIOL-81-SC-BENAMI-LB.

KSEB is not liable to MAT; Tax collected by KSEB as agent of Kerala Government cannot be disallowed u/s 43B.

Deputy Commissioner of Income-tax v. Kerala State Electricity Board – [2022] 141 taxmann.com 341 (SC).

Prior-period Expenditure – Where bills for prior-period expenditure incurred by assessee were received during relevant year, liability towards said expenditure has crystallised during year and, thus, such prior period expenditure was to be allowed u/s 37(I) during the year.

ACIT v. National Agricultural Co-operative Marketing Federation of India – [2022] 141 taxmann.com 108 (Delhi-Trib.).

Section 260A – Even in transfer of case u/s 127, appeal against ITATs decision shall lie to the HC in whose jurisdiction on the AO who passed the assessment order is situated.

Principal Commissioner of Income-tax – I, Chandigarh v. ABC Paper Ltd. – [2022] 141 taxmann.com 332 (SC).

CBDT extends time limit for furnishing of Form 67; FTC can be claimed at the time of filing belated & updated tax return.

Notification No. 100/2022/F. No. 370142/35/2022/ – TPL, dated 18-08-2022.