Volume 346 Part 2 (Issue dated 13-8-2012)

 

INCOME TAX REPORTS (ITR)

Volume 346 Part 2 (Issue dated 13-8-2012)

SUBJECT INDEX TO CASES REPORTED IN THIS PART

SUPREME COURT

Authority for Advance Rulings --Power to determine issues of fact or law--Is a tribunal--Rulings amenable to special leave jurisdiction of Supreme Court and writ jurisdiction of High Court--Supreme Court--Direct appeal from ruling not ordinarily entertained--Division Bench of High Court to hear petitions against rulings--On facts, assessee relegated to High Court--Income-tax Act, 1961, ss. 245N(a), 245S--Constitution of India, arts. 136, 226, 227-- Columbia Sportswear Company v . Director of Income-tax . . . 161

Tribunal --Tests-- Columbia Sportswear Company v . Director of Income-tax
. . . 161

HIGH COURTS

Abatement of proceedings --Search and seizure--Effect of section 153A--Assessment or reassessment proceedings pending at the time of search abate--Appeal from assessment pending before Tribunal would not abate--Income-tax Act, 1961, s. 153A-- CIT v. Smt . Shaila Agarwal (All) . . . 130

Capital gains or business income --Long-term capital gains--Income from sale of shares--Shares whether held as investment or stock-in-trade--Principles--Shares treated as investment in preceding and subsequent assessment years--Profits assessable as capital gains--Income-tax Act, 1961, s. 54E-- Felspar Credit and Investment (P.) Ltd . v. CIT (Mad) . . . 121

Capital or revenue expenditure --Software expenditure--Assessee manufacturing telecommunication and power cable--Software not part of profit-making apparatus of assessee--Expenditure is revenue expenditure--Income-tax Act, 1961-- CIT v . Raychem RPG Ltd . (Bom) . . . 138

Charitable purpose --Assessee providing sports amenities to its members--Assessee does not exist only for an individual or a group of individuals--Membership drawn from a diverse cross-section of society--Assessee a charitable organization--Whether requirements of section 11 fulfilled--Matter remanded--Income-tax Act, 1961, ss. 2(15), 11-- Director of Income-tax (Exemption) v. Chembur Gymkhana (Bom) . . . 86

Export --Special deduction--Scrap sales--Matter remanded-- Income-tax Act, 1961, s. 80HHC-- CIT v . Raychem RPG Ltd . (Bom) . . . 138

Income --Accrual of income--Interest on IDBI bonds--Entire discounted interest on bonds assessable--Income-tax Act, 1961-- Felspar Credit and Investment (P.) Ltd . v. CIT (Mad) . . . 121

----Advance payment mistakenly credited in capital account--Concurrent finding that receipts not revenue but advance payment--Findings of fact--Income-tax Act, 1961-- CIT v. Vinay Pratap Singh (Raj) . . . 83

Infrastructure facility --Special deduction--Meaning of inland port--Inland container depots are inland ports within the meaning of section 80-IA(4)--Entitled to deduction--Income-tax Act, 1961, s. 80-IA(4)-- Container Corporation of India Ltd. v . Asst. CIT (Delhi) . . . 140

Permanent account number --Investors whose total income below taxable limit--Need not furnish permanent account number--Need not file income-tax declarations or returns--Banking and financial institutions need not insist upon permanent account number from such small investors--Income-tax Act, 1961, ss. 139A, 206AA-- Smt. A. Kowsalya Bai v . Union of India (Karn) . . . 156

Reassessment --Order passed without considering objections of assessee--Not valid--Income-tax Act, 1961, s. 147-- Rabo India Finance Ltd . v . Deputy CIT
(Bom) . . . 81

Search and seizure --Block assessment--Notice under section 158BC giving less than fifteen days for filing return--Effect of section 292B--Block assessment not void ab initio--Matter remanded--Income-tax Act, 1961, ss. 158BC, 292B-- CIT v . Naveen Verma (P&H) . . . 100

----Block assessment--Penalty--Concealment of income--Commissioner (Appeals) as well as Tribunal deleting penalty on finding that addition made on estimate basis--Finding of fact--Penalty not leviable--Income-tax Act, 1961, s. 158BFA(2)-- CIT v . Dr. Giriraj Agarwal Giri (Raj) . . . 152

----Block assessment--Undisclosed income--Assessment based on admission by assessee--Valid--Income-tax Act, 1961, s. 158BC-- C. K. K. Catering Services v. Asst. CIT (Karn) . . . 92

----Undisclosed income--Law applicable--Effect of insertion of section 158BI--Assessing Officer can take into consideration material other than that discovered during search--Receipt of on-money on property sale discovered during search--Evidence of purchasers can be considered--Additions made--Justified--Income-tax Act, 1961, s. 158BI-- Gopal Lal Bhadruka v . Deputy CIT (AP) . . . 106

Wealth-tax --Exemption--Company--Assets used in business--Property given on lease--Assessee in leasing business--Property falls within specified assets under section 40(3)(vi)--Exemption available--Wealth-tax Act, 1957--Finance Act, 1983, s. 40(3)(vi)-- CWT v . Donatus Victoria Estates and Hotels P. Ltd . (Mad) . . . 114

Words and phrases --Meaning of “abate†and “pending†-- CIT v. Smt. Shaila Agarwal (All) . . . 130