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Supreme Court Allows Revenue's Appeal in Income Tax Case on Bonus Shares - Averaging Original Cost Over All Shares. When Bonus Shares Rank Pari Passu, the Correct Method to Compute Profit or Loss is to Spread the Cost of Original Shares Over Both Original and Bonus Shares.

This case involved the method of computing profit or loss on the sale of bonus shares in the hands of a dealer in shares. The respondent, Gold Mohore ...

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Karnataka High Court Dismisses Telecom Companies' Appeals, Upholding Tax Deduction at Source Under Section 194H on Discounts to Distributors. Relationship Between Telecom Companies and Distributors Held to Be Principal-Agent, Making Discounts Liable as Commission for Tax Deduction Purposes.

Multiple telecom companies, including Bharti Airtel Limited, Vodafone Essar South Limited, and Tata Teleservices Limited, filed appeals under Section ...

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Supreme Court Allows NCDC's Appeal in Income Tax Dispute Over Deduction of Grants as Revenue Expenditure. Grants disbursed by a statutory corporation as part of its business are deductible under Section 37 of the Income Tax Act, 1961, regardless of the capital nature of the source funds.

The National Co-operative Development Corporation (NCDC), established under the National Co-operative Development Corporation Act, 1962, is a statutor...

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Supreme Court Upholds Licensee in Excise License Cancellation Case Due to Inapplicability of Amended Rules. Liability Limited to Actual Loss with Credit for Departmental Management Fees Under Old Rule 13 of Abkari Shops Departmental Management Rules, 1972, as Contract Predated Amendment.

The dispute arose from the cancellation of a country liquor license by the State of Kerala. The respondent licensee had successfully bid for arrack sh...

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Bombay High Court Dismisses Petition by National Institute of Industrial Engineering Challenging Trade Union Registration. State Government Held as Appropriate Government for NITIE Under Section 2(a) of Industrial Disputes Act, 1947, Allowing Union Registration Under MRTU & PULP Act.

The case involves a writ petition filed by the National Institute of Industrial Engineering (NITIE) challenging the order of the Industrial Court, Mum...

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Bombay High Court Upholds Revenue in Income Tax Reference on HUF Income Assessment. Income from assets received on partition by a bachelor remains individual income even after marriage, as no HUF is created without blending.

The case involves a reference under Section 256(1) of the Income Tax Act, 1961, by the Income Tax Appellate Tribunal at the instance of the assessee, ...

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Supreme Court Allows Revenue Appeals in Service Tax on Airport Development Fee Case. User Development Fee Collected by Airport Operators Under Statutory Authority is Not Subject to Service Tax Under Finance Act, 1994.

The Supreme Court considered appeals by the revenue against CESTAT orders that had held user development fee collected by airport operators not liable...