The ITAT, an Appellate Tribunal, addressed two key issues. ...

ITAT ruled in favor of taxpayer on 2 issues: 1) No addition for small diff in property value; 2) No double taxation for sale in diff years.

Case Laws Income Tax

June 29, 2024

The ITAT, an Appellate Tribunal, addressed two key issues. Firstly, regarding the difference in sale consideration and stamp duty for 3 flats sold by the assessee, it was held that the addition made was not sustainable as the statute allows a leverage of 10%, while the difference in property value was only 2.5%. Therefore, the addition was deleted. Secondly, concerning the inclusion of the entire sale value of two flats in the next financial year, it was emphasized that tax neutrality is crucial to avoid double taxation and ensure fair taxation. As the income was already included in the next year's accounts, the addition during the current year was deemed neutral. Following the principle of neutrality, the AO was directed to delete the alleged addition, as applying the analogy established in a Supreme Court case, no double addition should be made. The appeal of the assessee was allowed.

View Source

← Previous Next →

The ITAT, an Appellate Tribunal, addressed two key issues. ...

ITAT ruled in favor of taxpayer on 2 issues: 1) No addition for small diff in property value; 2) No double taxation for sale in diff years.

Case Laws Income Tax

June 29, 2024

You may also like:

This trade circular clarifies various issues related to taxability and valuation of supply of services involving corporate guarantees provided between related persons....

The Income Tax Appellate Tribunal (ITAT) examined the issue of merger of intimation u/s 143(1) and scrutiny assessment u/s 143(3) of the Income Tax Act. The case...

In the case, ITAT decided on two main issues: 1. Addition on account of Gold and Silver Jewellery u/s 69A: Assessee disclosed Rs. 70,00,000 as unexplained investment...

The High Court examined the jurisdiction of the Assessing Officer (AO) and the prescribed income-tax authority to issue notices u/s 143(2) of the Income Tax Act. It held...

In the case of 2024 (5) TMI 1097 before the ITAT Kolkata, the issue revolved around the addition made u/s 50C of the Income Tax Act. The assessee had contended that the...

Scope of Deposits - amounts collected by the petitioners for sale of immovable property as advance - would come under the purview of ‘deposits’ or would exempt from the...

Imposition of penalty u/s 271(1)(c) of the Income Tax Act for two types of additions: (1) the addition made u/s 50C on the difference between stamp duty value and sale...

Levy of penalty - taking CENVAT Credit irregularly - it is the contention of the Assessee that there is some element of discretion available in the adjudicating officer...

Addition u/s 50C r.w.s. 56(2)(vii) (b) - the buyer of the property - The Tribunal (ITAT) ruled that since the assesses were buyers, Section 50C did not apply, and...

The Appellate Tribunal considered two main issues: 1. Addition u/s 37(1) - Assessee incurred business loss due to default in property payment, allowed as revenue loss. 2....

The case pertains to the applicability of Section 56(2)(x) of the Income Tax Act on the conversion of tenancy rights into ownership rights by a protected tenant. The key...

CENVAT Credit - input - fuel - the exception to sub-rule (1) which is contained in sub-rule (2) itself contains an exception, namely, inputs intended to be used as fuel....

The assessee's case was selected for limited scrutiny under CASS. The PCIT observed that the assessee, along with two co-owners, had purchased an immovable property...

The ITAT Delhi considered an appeal regarding the addition u/s 56(2)(viib) read with rule 11UA due to a difference in the valuation of shares, analyzing the impact of...

The ITAT reviewed a case regarding the exemption u/s 11 of the Act concerning non-charging of interest on advances for property purchase. The Assessee's society extended...

Quick Updates: