Section 153A – If a search or requisition is conducted, the AO assumes jurisdiction for block assessment u/s 153A of the Act, all pending assessments/reassessments will stand abated, meaning they will no longer be valid. Only if any incriminating material is found during the search, the AO can assess/reassess the total income, taking into consideration incriminating material and other material available with the AO, including the income declared in the returns.
PCIT v. Abhisar Buildwell (P.) Ltd. – [2023] 149 taxmann.com 399 (SC).
Section 37 – Loss due to confiscation of smuggled stock-in-trade not allowable u/s 37.
CIT v. Prakash Chand Lunia (D) Thr. Lrs. – [2023] 149 Taxmann.com 416 (SC).
Section 115O – Where dividend is declared, distributed or paid by a domestic company to a non-resident shareholder(s), which attracts additional tax on distributed profits as per the provisions of section 115O, such additional income-tax payable by the domestic company shall be at the rate mentioned in section 115O and not at the rate of tax applicable to non-resident shareholder(s) as specified in relevant DTAA with reference to such dividend income.
DCIT v. Total Oil India (P.) Ltd. – [2023] 149 taxmann.com 332 (Mumbai-Trib.) (SB).
Sec. 80 HHC – Income earned from sale of shares should be treated as ‘income from business’ for the purpose of computing deduction u/s 80 HHC(3)(b). Interest income earned by assessee by depositing surplus funds in a bank or otherwise was not taxable under the head ‘income from business’ but under the head ‘income from other sources’ and, accordingly, same would be excluded for the purpose of computing deduction u/s 80HHC(3)(b).
Magnum International Trading Company (P.) Ltd. v. CIT – [2023] 149 taxmann.com 329 (SC).
ALP – ALP determined by ITAT can be subject to scrutiny, no absolute proposition of law that ITAT decision is final.
Sap Labs India Pvt. Ltd. v. ITO – [2023] 149 taxmann.com 327 (SC).
FTS – Reimbursement made to parent company for salary paid to expatriate assigned to assessee not taxable as FTS.
Yamazen Machinery and Tools India (P.) Ltd. v. ACIT – [2023] 149 taxmann.com 96 (Delhi-Trib.).