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Gujarat High Court Quashes Demand Notice in Income Tax Case Due to Non-Application of Mind and Violation of Natural Justice. Section 156 Notice Set Aside for Lack of Proper Consideration of Petitioner's Reply.

The petitioner, Zydus Infrastructure Private Limited, a company incorporated under the Companies Act, 1956, engaged in development, operation and main...

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Supreme Court Allows Revenue's Appeal in Income Tax Case — Amalgamated Company Must File Return for Pre-Amalgamation Period. Section 153A Notice Validly Issued to Transferor Company Despite Amalgamation, and Failure to File Return Attracts Penalty Under Section 276CC.

The Supreme Court allowed the appeal filed by the Principal Commissioner of Income Tax (Central) against the order of the Delhi High Court, which had ...

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Supreme Court Dismisses Revenue's Appeal in Income Tax Deduction Case Under Section 80-IA. Deduction Under Section 80-IA of Income Tax Act, 1961 is Allowed Against Gross Total Income, Not Restricted to Business Income Only, Based on Interpretation of Sections 80AB and 80-IA(5).

The dispute arose from the assessment year 2002-03 involving the Commissioner of Income Tax as appellant and M/s. Reliance Energy Ltd. as respondent. ...

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Supreme Court Rejects Recusal Plea in Land Acquisition Reference. Judge Who Decided Smaller Bench Can Sit in Larger Bench to Reconsider Same Issue as Bias Plea Based on Extrajudicial Factors.

This order arises from a reference to a five-judge Constitution Bench of the Supreme Court of India concerning the interpretation of Section 24 of the...

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Supreme Court Allows Deduction Under Section 80HH on Gross Profits Without Deducting Depreciation and Investment Allowance. The Court Overruled Motilal Pesticides and Held That Section 80HH Deduction Is Computed on 'Profits and Gains' Not 'Income'.

The Supreme Court considered a batch of civil appeals concerning the interpretation of Section 80HH of the Income Tax Act, 1961, for the Assessment Ye...

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Bombay High Court Grants Stay on Tax Recovery in Gift of Shares Case Under Section 56(1) of Income Tax Act, 1961. Court allows stay of recovery pending appeal, subject to conditions protecting revenue, without deciding merits of taxability of gift of shares.

The petitioner, M/s. Nerka Chemicals Private Limited, a wholly owned subsidiary of Demuric Holdings Private Limited (DHPL), challenged an order dated ...

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Bombay High Court Allows Appeal in Income Tax Case: Investment in Shares of Private Company for Acquiring Control Held as Capital Asset, Not Stock-in-Trade. Shares held for 31 months with transfer restrictions cannot be treated as trading asset under Income Tax Act, 1961.

The appellant, Accra Investments Private Ltd., filed an appeal under Section 260A of the Income Tax Act, 1961 against the order dated 25 April 2012 of...

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Bombay High Court Dismisses Husband's Challenge to Interim Maintenance Order — Income Tax Returns Not Conclusive for Maintenance. Court Holds That Net Taxable Income Is Not the Sole Basis for Determining Maintenance Under Matrimonial Law.

The petitioner husband challenged the Family Court's order granting interim maintenance of Rs.20,000 to his wife and Rs.10,000 each to their two sons....

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Supreme Court Allows Revenue Appeal in Income Tax Matter, Holding Bonus Shares Converted into Stock-in-Trade are Taxable as Business Profits. Bonus Shares Initially Received as Capital Held Converted by Assessee Dealer into Stock-in-Trade, Making Sale Proceeds Taxable Under Income-tax Act, 1922.

The dispute concerned the tax treatment of sale proceeds of bonus shares received by a dealer in shares and securities. The assessee, a firm dealing i...