Indian Tax Solution

Supreme Court

Filter by publish date

2016-ITS-464-SC-C.I.T. & ANR. VERSUS M/S YOKOGAWA INDIA LTD. ,Dt-16-12-2016

The deduction of the profits and gains of the business of an eligible undertaking has to be made independently and before giving effect to the provisions for set off and carry forward contained in s. 70, 72 and 74. The deductions u/s 10A/10B are prior to the commencement of the exercise to be undertaken under Chapter VI of the Act for arriving at the total income of the assessee from the gross total income.

2016-ITS-475-SC-C.I.T. & ANR VERSUS M/S YOKOGAWA INDIA LTD.,Dt-16-12-2016

Yoga a form of medical relief and Propagation of Yoga constitutes imparting of education.

2016-ITS-466-SC-JEANS KNIT PRIVATE LTD. BANGALORE VERSUS THE DEPUTY COMMISSIONER OF INCOME, Dt- 08-12-2016

A Writ Petition to challenge the issue of a reopening notice u/s 148 is maintainable as per the law laid down in Calcutta Discount 41 ITR 191 (SC). The law laid down in Chhabil Dass Agarwal 357 ITR 357 (SC) deals with the maintainability of a Writ to challenge the reassessment order and does not apply to a challenge to the reassessment notice.

2016-ITS-435-SC-SIEMENS PUBLIC COMMUNICATION NETWORKS PVT.LTD. VERSUS CIT BANGALORE & ANR.,Dt-07-12-2016

Law laid down in Sahney Steel 228 ITR 253 (SC) and Ponni Sugars 306 ITR 392 (SC) regarding the taxability of subsidies as a revenue receipt does not apply to voluntary subsidies (subvention) paid by a holding company to its loss making subsidiary. The said subsidy is to protect the capital investment of the holding company and is a capital receipt in the hands of the recipient. 

2016-ITS-465-SC-IAN PETER MORRIS VERSUS ASSTT. COMMNR. OF INCOME TAX, Dt-29-11-2016

Where receipt is by way of salary, TDS deductions u/s 192 has to be made. No question of payment of advance tax can arise in cases of receipt by way of \'salary\'. Consequently, S. 234B & 234C which levy interest for deferment of advance tax have no application.

2016-ITS-397-SC-ASHOK PRAPANN SHARMA VERSUS COMMR.OF INCOME TAX & ANR.,Dt-24-11-2016

In determining the cost of acquisition as on 01.04.1974 (or 01.04.1981), the value declared in the wealth-tax return as well as the comparable sales, even if later in point of time, have to be considered. 

2016-ITS-368-SC-Satya Nand Jha vs. Union of India and Others (Supreme Court), DT- 07/11/2016

SC upheld Constitutional Validity of Section 35F of Central Excise Act, 1944.

2016-ITS-350-SC-The Additional Commnr.Of ... vs Ayili Stone Industries Etc.Etc on 18 October, 2016

There is a distinction between polished granite stone or slabs and tiles. If a polished granite stone is used in a building for any purpose, it will come under Entry 17(i) of Part S of the second schedule, but if it is a tile, which comes into existence by different process, a new and distinct commodity emerges and it has a different commercial identity in the market. The process involved is extremely relevant.

2016-ITS-365-SC-VATSALA SHENOY VERSUS JOINT COMMISSIONER OF INCOME TAX (ASSESSMENT), MYSORE, Dt-18-10-2016

The assessees, however, are attempting the wriggle out from payment of capital gain tax on the ground that it was a ?slump sale? within the meaning of Section 2(42C) of the Act and there was no mechanism at that time as to how the capital gain is to be computed in such circumstances, which was provided for the first time by Section 50B of the Act with effect from April 01, 2000. However, this argument fails in view of the fact that the assets were put to sale after their valuation. 

2016-ITS-297-SC-J.K. Lakshmi Cement Ltd Versus Commercial Tax Officer,Pali, Dt-16 September, 2016

Bottom Line:-Circulars and instructions issued by the Board are binding on the authorities under respective statute, but when this Court or High Court lays down a principle, it would be appropriate for the Court to direct that the circular should not be given effect to, for the circulars are not binding on the Court. In the case at hand, once circular dated 15.04.1994 stands withdrawn vide circular dated 16.04.2001, the appellant-assessee cannot claim the benefit of the withdrawn circular.

2016-ITS-318-SC-M/S G.S.HOMES & HOTELS P.LTD. VERSUS DY.COMMISSIONER OF INCOME TAX ,Dt-09-08-2016

Refundable deposits received by a housing company for allotment of flats and future maintenance is business income. However, share capital received for allotment of flats is a capital receipt and not income. The principles of mutuality does not apply to such transactions. 

2016-ITS-264-SC-Commissioner Of Commercial Tax vs M/S A.R. Thermosets (Pvt.) Ltd on 6 September, 2016

There is a fallacy in the argument raised by the Revenue that bitumen per se would only include its solid hard form which melts at high temperature and not bitumen emulsion. The two varieties and types carry the same composition, do not differ in character and have the same commercial identity i.e. bitumen. That apart, the use or end use test is also satisfied.

2016-ITS-266-SC-BABITA LILA ANOTHER VERSUS UNION OF INDIA ,Dt- 31-08-2016

Important law relating to the territorial jurisdiction and competence of the Deputy Director of Income-tax to lodge a complaint for evasion of tax explained.

2016-ITS-265-SC-Central Excise, Madras vs M/S. Adison & Co. Ltd -dt 29 August, 2016

Except for a factual dispute about the genuineness of the certificate issued by the Chartered Accountant and the credit notes raised by the Assessee regarding the return of the excess duty paid by the Assessee, there is no dispute in this case of the duty being passed on to any other person by the buyer. As it is clear that the Assessee has borne the burden of duty, it cannot be said that it is not entitled for the refund of the excess duty paid.

2016-ITS-235-SC-COMMR.OF INCOME TAX, BIKANER VS. HISSARIA BROTHERS,HANUMANGARH JN., Dt-22-08-2016

Penalty proceedings for contravention of Sections 269SS & 269T are not related to the assessment proceeding but are independent of it. Therefore, the completion of appellate proceedings arising out of the assessment proceedings has no relevance.


Editor's Column

Unexpectedly high transitional input tax credit claims of Rs 65,000 crore by businesses is now a huge headache for the Govt

With the deadline for filing Goods and Services Tax (GST) returns for August coming to an end in less than 48 hours, only 8 lakh taxpayers have filed their GSTR-3B- a short summary return, at the end of Monday, said sources famili ...