Assessee followed mercantile system of accounting, recognizing ...

Income duly accounted, corroborated by audits & returns. No unexplained investments/expenses. Rent, contractor payments substantiated. CIT(A) & ITAT upheld assessee's stand.

Case Laws Income Tax

July 22, 2024

Assessee followed mercantile system of accounting, recognizing income upon accrual and rendering of services. Unexplained cash deposits were duly accounted for, corroborated by statutory audit and service tax returns. No investment in undisclosed property; property taken on lease substantiated by agreements and ledger entries. Unexpired fee calculation consistent with accounting policy. Rent agreements and comprehensive rent payment details provided, negating estimated disallowance. Contractor payments through banking channels with TDS deducted, establishing business expediency. CIT(A) rightly deleted additions made by AO based on objective scrutiny of facts and accounting principles. Revenue appeal against CIT(A) order dismissed by ITAT.

View Source

← Previous Next →

Assessee followed mercantile system of accounting, recognizing ...

Income duly accounted, corroborated by audits & returns. No unexplained investments/expenses. Rent, contractor payments substantiated. CIT(A) & ITAT upheld assessee's stand.

Case Laws Income Tax

July 22, 2024

You may also like:

Penalty u/s 271B - the books of account of the Assessee have also been audited only on 30.09.2011, however it seems that somehow due to inadvertent or otherwise mistake...

Due date for filing of Income Tax Returns - benefit of carry forward of loss - RBI permission letter mandating the assessee to get his accounts audited - Extension of...

Unexplained investment u/s 69 - The aspect that this income was not declared in the original return of income cannot be a ground to automatically conclude that it is...

Black money - levy of penalty - undisclosed investment in foreign entity - No doubt the Schedule “FA” and BMI Act, have been introduced and enacted for checking the...

Levy of penalty u/s 271B - failure to get accounts audited as per the provisions of section 44AB - From the perusal of the profit and loss account we further find that...

Deduction u/s. 80(P)(2)(a)(i) - Due date for filing the return of income u/s 139(1) - The assessee cannot be denied deduction under Section 80P(2)(a)(i) of the Act if...

Assessment u/s 153A - Unexplained investment - It is common practice during search proceedings that the revenue seizes the books of account along with incriminating...

CBDT extends due date for filing Income Tax Returns and Tax Audit Reports

Addition u/s 69B r.w.s.115BBE - during the course of survey action discrepancies were found on account of physical verification of stock vis-a-vis regular books of...

Rejection of books of accounts - estimation of income - Unexplained Investment in Purchases - A.O has accepted all other transactions of purchases and payment made...

The ITAT Bangalore, in a case involving unexplained money u/s. 69A, addressed deposits in a bank account during the demonetisation period. The DR argued that the...

Levy of penalty u/s. 271B - default in furnishing of Tax Audit Report - In section 271B of the Act, the only requirement is to get the accounts of assessee audited or...

Addition u/s 69A - unexplained income - cash deposits made into bank account during demonetization period - assessee neither furnished stock summary nor bills/vouchers...

Unexplained investment in land purchase - society's purchase in its name or trustees' names - CIT(A) considered money not paid by society from income but sourced from...

Sum advanced to sister concern by cheques drawn – Unexplained investment or not - it has been rightly treated as unexplained investment in terms of Section 69B of the...

Quick Updates: