The ITAT addressed multiple taxation issues involving ...

Taxation Tribunal Resolves Multiple Expense Disallowances, Partially Upholds Taxpayer Claims Under Sections 37, 14A, and 36

April 8, 2025

Case Laws Income Tax AT

The ITAT addressed multiple taxation issues involving disallowances and appeals. Key outcomes include: (1) 40% of PF damages allowed as compensatory expenditure under Section 37(1), with 60% disallowed as penal; (2) remanding certain salary and wage expense claims to AO for verification; (3) upholding revenue income treatment for marketing/distribution rights transfer; (4) deleting Section 14A disallowance due to lack of evidence; (5) allowing bad debt write-offs under Sections 36(1)(vii) and 28; (6) permitting repair and maintenance expenses as revenue expenditure; and (7) excluding provisions for gratuity, leave encashment, and doubtful debts from MAT computation under Section 115JB. The tribunal generally adopted a consistent approach, partly allowing the assessee's appeals and directing the AO to reconsider several disallowances.

View Source

← Previous Next →

The ITAT addressed multiple taxation issues involving ...

Taxation Tribunal Resolves Multiple Expense Disallowances, Partially Upholds Taxpayer Claims Under Sections 37, 14A, and 36

April 8, 2025

Case Laws Income Tax AT

You may also like:

Disallowance of commission paid to foreign agents - The Tribunal upheld the disallowance of commission expenses to both domestic and non-resident companies due to the...

ITAT ruled in favor of the assessee across multiple taxation issues. The tribunal found no merit in the revenue department's contentions regarding management consultancy...

CIT(A) restricted addition on account of accommodation entries to 15% instead of 100%, as the Assessing Officer failed to establish that work was not actually performed....

The Tribunal held that based on the financial parameters and risk profile, the assessee qualifies as a developer rather than merely a contractor u/s 80IA of the Income...

Assessment u/s 153C - disallowance made u/s 37. Assessing Officer observed no supporting evidence for claimed expenses furnished by assessee and non-cooperation during...

ITAT ruled against disallowance of transportation expenses, finding the Assessing Officer failed to establish statutory grounds u/s 37 for rejection. The tribunal...

The Appellate Tribunal addressed several issues: 1. Disallowance of Brand Ambassador Expenses - AO disallowed 75% as capital expenditure, but CIT(A) found it to be...

The assessee, a company engaged in development/construction and sale of flats and plots, had classified its properties into four categories: flats open for sale, let-out...

The Appellate Tribunal addressed various issues: disallowance of provisions for waste disposal expenses due to lack of evidence and scientific basis, upheld disallowance...

Assessee's claims for foreign travel expenses, physical fitness expenses, personal expenses, security charges, and swimming pool charges were partially disallowed due to...

ITAT allowed partial relief to the assessee, directing deletion of multiple disallowances. The tribunal found no merit in the AO's disallowance of vehicle depreciation...

The Income Tax Appellate Tribunal ruled as follows: Transfer pricing adjustment u/s 92CA(3) for determining arm's length price on interest paid to a related party was...

ITAT upheld the CIT(A)'s order, affirming the assessee's method of net accounting for reimbursement expenses. The tribunal found the assessee consistently followed a...

AO disallowed professional fees paid to doctors citing lack of evidence regarding their role as consultants, researchers or advisors. CIT(A) deleted disallowance noting...

Tribunal adjudicated on ad hoc disallowances of expenses debited to P&L, interest paid to banks, salary from Ozone Pharmaceuticals Ltd., deduction u/s 80IB/80IC, and...

Quick Updates: