ITR Volume 202 Part 6
AX REPORTS (ITR)--PRINT AND ONLINE EDITION
AX REPORTS (ITR)--PRINT AND ONLINE EDITION
Appeal to Appellate Tribunal --Procedure--
Business expenditure --Agreement
to sell cement factory on 25-8-1999--Actual transfer in subsequent
year--Agreement stipulating that title to assets should be perfected and lease
agreement renewed--Expenditure in relation to transfer of plant and machinery
deductible in assessment year 2002-03--Amount spent on maintenance of corporate
office--Deductible--No evidence of payment of royalty--Royalty not
deductible--Income-tax Act, 1961--Karnataka Instrade Corporation Ltd. v. Asst.
CIT (Karn) . . . 295
Disallowance--Payments
liable to deduction of tax at source--Non-resident--
Co-operative society --Co-operative
bank--Special deduction under section 80P--Special deduction not available for
interest on income-tax refund--Income-tax Act, 1961, s. 80P--Rajkot Nagarik
Sahakari Bank Ltd. v. Asst. CIT (Guj) . . . 337
Depreciation --Unabsorbed
depreciation--Amounts written back in accounts and assessed as business income
under section 41--Unabsorbed depreciation can be set off against such
income--Income-tax Act, 1961, ss. 32, 41-- Karnataka Instrade Corporation
Ltd. v. Asst. CIT(Karn) . . . 295
Interest --Deduction--
Loss --Carry
forward and set off--Amounts treated as business income under section
41--Losses carried forward can be set off against such income--Income-tax Act,
1961, s. 41--Karnataka Instrade Corporation Ltd. v. Asst.
CIT (Karn) . . . 295
Penalty --Repayment
of loan or deposit in excess of specified amount otherwise than by account
payee cheque or account payee bank draft--Exemption from penalty in case of
reasonable explanation for such payment--Repayments in excess of Rs. one
crore--Finding that there were banking facilities available and there was no
reasonable explanation for so many payments--Penalty can be levied--Income-tax
Act, 1961, ss. 269T, 271B, 271E-- CITv. Canara Housing Development
Company (Karn) . . . 309
Precedent --Binding
nature of-- Yashovardhan Birla v. Deputy CIT (Bom) . . .
284
High Court--Decision
binding on all authorities within State including Settlement
Commission-- Yashovardhan Birla v. Deputy CIT (Bom) . . .
284
Settlement of cases --Condition
precedent for application--Pendency of assessment proceedings--Assessment would
be considered pending till service of assessment order upon
assessee--Provisions of Chapter XIX-A can be invoked--Income-tax Act, 1961, s.
245D(1)-- Yashovardhan Birla v. Deputy CIT (Bom) . . . 284
Limitation--Abatement
of proceedings--Period specified in section 245D for passing order
mandatory--Order passed after expiry of period--Proceedings abate--Income-tax
Act, 1961, ss. 245D, 245HA-- RNS Infrastructure Ltd. v. ITSC (Karn)
. . . 262
Transfer of case --Scope
of section 127--Transfer for purposes of centralisation of cases--Reasons for
transfer recorded--Objection of assessee considered--Order of transfer
valid--Income-tax Act, 1961, s. 127-- Dr. Monu Pattanayak v. Principal
Chief CIT (Orissa) . . . 273
PRINT EDITIONITR Volume 394 : Part 4 (Issue dated : 12-6-2017)SUBJECT INDEX TO
CASES REPORTED IN
THIS PARTSUPREME COURT
Heads of income --Income
from house property or business income--Letting of property--Whether business
activity--To be determined on facts--Clause in objects of assessee not
conclusive --Assessee must show that its entire income or a substantial part
thereof was from letting of property which was its principal business
activity--Objects clause in partnership deed to take premises on rent and to
sub-let them--Assessee “deemed ownerâ€--Finding of Tribunal that assessee had
not established that it was engaged in systematic or organised activity of
providing service to occupiers of shops--Receipts from sub-licensees not
business income but to be treated as income from house property--Income-tax
Act, 1961, ss. 14, 22, 27(iiib), 269UA(f)-- Raj Dadarkar and
Associates v. Asst. CIT . . . 592
HIGH COURTS
Appeal to Appellate
Tribunal --Appeal to Commissioner (Appeals)--Powers of
Tribunal--Condition precedent for appealing to Commissioner (Appeals)--Payment
of taxes due--Tax not paid on date of appeal--Appeal dismissed--Subsequent
payment of tax--Tribunal directing Commissioner (Appeals) to hear
appeal--Justified--Income-tax Act, 1961, s. 254-- Principal
CIT v. Abdul Zahid M. (Karn) . . . 727
Powers of Tribunal--Tribunal
can grant refund--Income-tax Act, 1961, s. 254-- Kalindee Rail Nirman
(Engineers) Ltd. v. CIT (Raj) . . . 684
Search and seizure--Proceedings
pursuant to search conducted during pendency of appeal not brought to notice of
Appellate Tribunal--Order of Appellate Tribunal without considering
developments to be set aside--Matter remitted to Appellate Tribunal--Income-tax
Act, 1961, ss. 132, 133A, 143(3), 153A-- Skyline
Builders v. CIT (Ker) . . . 768
Business --Business
income--Remission or cessation of trading liability--Burden on Department to
prove such cessation--Finding by Tribunal that burden had not been
discharged--Addition to income under section 41(1) not justified--Income-tax
Act, 1961, s. 41-- Principal CIT v. Ramgopal
Minerals (Karn) . . . 696
Capital gains --Exemption--Investment
of gains in residential house--Assessee getting more than one residential house
in several blocks--All flats product of one development agreement of same piece
of land--Flats located in same address--Assessee entitled to benefit under
section 54F--Income-tax Act, 1961, s. 54F-- CIT v. Gumanmal
Jain (Mad) . . . 666
Transfer--
Cash credits --Issue
of shares at premium--Three essential tests--Genuineness of transactions,
identity, and capacity of investors--Tests satisfied--Amendment requiring share
applicant to explain source of moneys--Not to be given retrospective
effect--Income-tax Act, 1961, s. 68-- CIT v. Gagandeep
Infrastructure Pvt. Ltd. (Bom) . . . 680
Charitable purposes --Depreciation--
Expenditure incurred on
payment of scholarship--Payment of scholarship for advancement of
higher technical education to deserving students--Expenditure
allowable--Income-tax Act, 1961-- CIT (Exemption) v. Seth
Anandram Jaipuria Education Society (All) . . . 712
Hotel business --Special
deduction--Condition precedent--Claim must be made in return--Assessee’s
claim to deduction under section 80-IB(7)(a) denied for want of approval by
prescribed authority but deduction allowed of lower sum under clause (b)--Not a
case where no claim made in return to deduction under section
80-IB(7)--Assessee cannot be denied deduction--Income-tax Act, 1961, ss. 80A,
80-IB(7)-- Shrikar Hotels Pvt. Ltd. v. CIT (All) . . . 657
Special deduction--Grant
of approval--Application by assessee for approval pending decision with
Director General (Exemptions)--Benefit cannot be denied for inaction of prescribed
authority--Denial of deduction erroneous--Income-tax Act, 1961, s.
80-IB(7)(a)--Shrikar Hotels Pvt. Ltd. v. CIT (All) . . . 657
Income --Business
income--Remission or cessation of trading liability--Conditions precedent for
application of section 41--Cessation of liability and benefit to assessee--Mere
inability to prove credit not sufficient--Section 41 not applicable--Income-tax
Act, 1961, s. 41-- CIT v. Alvares and Thomas (Karn) . . .
647
Income-tax --General
Principles--Taxation only in accordance with law-- Kalindee Rail Nirman
(Engineers) Ltd. v. CIT (Raj) . . . 684
Income from other
sources --Cash credits--Exemption in respect of remittances
received from abroad from relative--Burden of proof--Failure to establish
genuineness and creditworthiness of donor--Receipts taxable as
income--Income-tax Act, 1961, ss. 56(2), 68-- Sunil
Thomas v. ITO (Ker) . . . 619
Legislative powers --Parliament--
Offences and
prosecution --Compounding of offences--No limitation period for
application for compounding--Application cannot be rejected on ground that
application not accompanied by compounding fee or that compounding fee not paid
prior to application being considered on merits--Chief Commissioner directed to
consider afresh assessee’s application for compounding of offence--Income-tax
Act, 1961, s. 279-- Vikram Singh v. Union of India(Delhi) . . .
746
Reassessment --Condition
precedent--New material--Income-tax Act, 1961, ss. 147, 148--Martech
Peripherals P. Ltd. v. Deputy CIT (Mad) . . . 733
Income escaping assessment--Undisclosed
investment--Addition on account of unexplained investment in building--Assessee
not establishing creditworthiness of creditors but only identity of
creditors--Findings of fact by Appellate Tribunal based on appraisal of
evidence--No infirmity--Income-tax Act, 1961, s. 69-- Dr. Chhangur
Rai v. CIT (All) . . . 611
Income escaping assessment--Undisclosed
investment--Assessee’s failure to file returns for years during which
investments made showing corresponding income--Additions made by Assessing
Officer based on District Valuation Officer’s report--Reassessment
proceedings valid and proper--Income-tax Act, 1961, ss. 69, 147, 148-- Dr.
Chhangur Rai v. CIT (All) . . . 611
Notice--Validity--
Scope of--Power of
Assessing Officer to consider other income not mentioned in reasons
recorded--Only if income mentioned in reasons forms part of reassessed
income--Income-tax Act, 1961, ss. 147, 148-- Martech Peripherals P.
Ltd. v. Deputy CIT (Mad) . . . 733
Recovery of tax --Writ--Locus
standi--Assessment of earlier year, initiation of proceedings and conclusion in
name of non-resident assessee--State Government with which non-resident entered
into contract not party to earlier proceedings--Not entitled to seek
rectification of order of Tribunal or file writ petition--For consistency of
law parties should be continuously joined all throughout
proceedings--Income-tax Act, 1961-- Chief Engineer I D and R Irrigation
Department v. Asst. CIT (Raj) . . . 720
Search and seizure --Assessment
in search cases--Assessment of third party--Condition precedent--Recording of
satisfaction by Assessing Officer that seized material or cash belonged to
third party--Search in premises of director of assessee-company and seizure of
cash--Statement made by director in course of search that part of seized cash
belonged to assessee--Constitutes material under section 132(4)--Satisfaction
sufficient under section 153C--Income-tax Act, 1961, ss. 132, 132(4), 153A,
153C-- Principal CIT v. Nau Nidh Overseas Pvt. Ltd. (Delhi)
. . . 753
Assessment in search cases--Assessment
of third party--Document seized whether belonging to third party
assessee--Person in respect of whom search conducted denying that document
pertained to assessee--Finding of fact--No material to contradict brought by
Department--Pre-condition not fulfilled--Provisions of section 153C not
attracted--Income-tax Act, 1961, ss. 132, 153A, 153C-- Principal
CIT v. Vinita Chaurasia (Delhi) . . . 758
Assessment of third party--Burden
of proof--Source of seized document--Person in respect of whom search conducted
stating that document was proposal given by broker--Duty of Department to
ascertain truth of document investigating further--Additions made to
assessee’s income based on conjectures--Unsustainable--
Settlement of cases --Abatement
of proceedings--Effect--
Transfer of case --Transfer
of cases due to re-structuring of Department--Administrative convenience for
equitable distribution of work--Order communicated to assessees--Assessees
given option to be heard at camp court--No prejudice caused to interest of
assessees--Income-tax Act, 1961, s. 127(2)-- Swayamstuti
Pattanayak v. Principal Chief CIT (Orissa) . . . 627
Words and phrases --â€Relativeâ€--Term
as explained in Explanation to proviso of section 56(2) of 1961
Act-- Sunil Thomas v. ITO (Ker) . . . 619
Writ --Existence
of alternative remedy--Does not exclude power of court to entertain writ
petition when challenge raised on ground of absence of jurisdiction or breach
of principles of natural justice--Constitution of India, art. 226--Income-tax
Act, 1961, ss. 147, 148-- Martech Peripherals P. Ltd. v. Deputy
CIT (Mad) . . . 733
SECTIONWISE INDEX TO CASES REPORTED IN THIS PART
Constitution of India :Art.
14 --Legislative powers--Parliament--
Art. 226 --Legislative
powers--Parliament--
Writ--Existence of
alternative remedy--Does not exclude power of court to entertain writ petition
when challenge raised on ground of absence of jurisdiction or breach of
principles of natural justice-- Martech Peripherals P.
Ltd. v. Deputy CIT (Mad) . . . 733
Gift-tax Act, 1958 :S.
4(1)(c), (d), (e) --Capital gains--Transfer--
Income-tax Act, 1961 :S.
10B(1) --Legislative powers--Parliament--
S. 11(1), (6) --Charitable
purposes--Depreciation--
S. 14 --Heads of
income--Income from house property or business income--Letting of
property--Whether business activity--To be determined on facts--Clause in
objects of assessee not conclusive --Assessee must show that its entire income
or a substantial part thereof was from letting of property which was its
principal business activity--Objects clause in partnership deed to take
premises on rent and to sub-let them--Assessee “deemed ownerâ€--Finding of
Tribunal that assessee had not established that it was engaged in systematic or
organised activity of providing service to occupiers of shops--Receipts from
sub-licensees not business income but to be treated as income from house
property-- Raj Dadarkar and Associates v. Asst. CIT (SC) .
. . 592
S. 22 --Heads of
income--Income from house property or business income--Letting of
property--Whether business activity--To be determined on facts--Clause in
objects of assessee not conclusive --Assessee must show that its entire income
or a substantial part thereof was from letting of property which was its
principal business activity--Objects clause in partnership deed to take
premises on rent and to sub-let them--Assessee “deemed ownerâ€--Finding of
Tribunal that assessee had not established that it was engaged in systematic or
organised activity of providing service to occupiers of shops--Receipts from
sub-licensees not business income but to be treated as income from house
property-- Raj Dadarkar and Associates v. Asst. CIT (SC) .
. . 592
S. 27(iiib) --Heads
of income--Income from house property or business income--Letting of
property--Whether business activity--To be determined on facts--Clause in
objects of assessee not conclusive --Assessee must show that its entire income
or a substantial part thereof was from letting of property which was its
principal business activity--Objects clause in partnership deed to take premises
on rent and to sub-let them--Assessee “deemed ownerâ€--Finding of Tribunal
that assessee had not established that it was engaged in systematic or
organised activity of providing service to occupiers of shops--Receipts from
sub-licensees not business income but to be treated as income from house
property-- Raj Dadarkar and Associates v. Asst. CIT (SC) .
. . 592
S. 41 --Business--Business
income--Remission or cessation of trading liability--Burden on Department to
prove such cessation--Finding by Tribunal that burden had not been
discharged--Addition to income under section 41(1) not
justified-- Principal CIT v. Ramgopal Minerals (Karn) . . .
696
Income--Business
income--Remission or cessation of trading liability--Conditions precedent for
application of section 41--Cessation of liability and benefit to assessee--Mere
inability to prove credit not sufficient--Section 41 not
applicable-- CIT v. Alvares and Thomas(Karn) . . . 647
S. 49(1)(ii) --Capital
gains--Transfer--
S. 54F --Capital
gains--Exemption--Investment of gains in residential house--Assessee getting
more than one residential house in several blocks--All flats product of one
development agreement of same piece of land--Flats located in same
address--Assessee entitled to benefit under section
54F-- CIT v. Gumanmal Jain (Mad) . . . 666
S. 56(2) --Income
from other sources--Cash credits--Exemption in respect of remittances received
from abroad from relative--Burden of proof--Failure to establish genuineness
and creditworthiness of donor--Receipts taxable as income-- Sunil
Thomas v. ITO (Ker) . . . 619
S. 68 --Cash
credits--Issue of shares at premium--Three essential tests--Genuineness of
transactions, identity, and capacity of investors--Tests satisfied--Amendment
requiring share applicant to explain source of moneys--Not to be given
retrospective effect-- CIT v. Gagandeep Infrastructure Pvt.
Ltd. (Bom) . . . 680
Income from other sources--Cash
credits--Exemption in respect of remittances received from abroad from
relative--Burden of proof--Failure to establish genuineness and
creditworthiness of donor--Receipts taxable as income-- Sunil
Thomas v. ITO (Ker) . . . 619
S. 69 --Reassessment--Income
escaping assessment--Undisclosed investment--Addition on account of unexplained
investment in building--Assessee not establishing creditworthiness of creditors
but only identity of creditors--Findings of fact by Appellate Tribunal based on
appraisal of evidence--No infirmity-- Dr. Chhangur
Rai v. CIT (All) . . . 611
Reassessment--Income
escaping assessment--Undisclosed investment--Assessee’s failure to file
returns for years during which investments made showing corresponding
income--Additions made by Assessing Officer based on District Valuation
Officer’s report--Reassessment proceedings valid and proper-- Dr.
Chhangur Rai v. CIT(All) . . . 611
S. 80A --Hotel
business--Special deduction--Condition precedent--Claim must be made in
return--Assessee’s claim to deduction under section 80-IB(7)(a) denied for
want of approval by prescribed authority but deduction allowed of lower sum
under clause (b)--Not a case where no claim made in return to deduction under
section 80-IB(7)--Assessee cannot be denied deduction-- Shrikar Hotels
Pvt. Ltd. v. CIT (All) . . . 657
S. 80A(5) --Legislative
powers--Parliament--
S. 80-IB(7) --Hotel
business--Special deduction--Condition precedent--Claim must be made in
return--Assessee’s claim to deduction under section 80-IB(7)(a) denied for
want of approval by prescribed authority but deduction allowed of lower sum
under clause (b)--Not a case where no claim made in return to deduction under
section 80-IB(7)--Assessee cannot be denied deduction-- Shrikar Hotels
Pvt. Ltd. v. CIT (All) . . . 657
S. 80-IB(7)(a) --Hotel
business--Special deduction--Grant of approval--Application by assessee for
approval pending decision with Director General (Exemptions)--Benefit cannot be
denied for inaction of prescribed authority--Denial of deduction
erroneous-- Shrikar Hotels Pvt. Ltd. v. CIT (All) . . . 657
S. 127(2) --Transfer
of case--Transfer of cases due to re-structuring of Department--Administrative
convenience for equitable distribution of work--Order communicated to
assessees--Assessees given option to be heard at camp court--No prejudice
caused to interest of assessees-- Swayamstuti
Pattanayak v. Principal Chief CIT (Orissa) . . . 627
S. 132 --Appeal
to Appellate Tribunal--Search and seizure--Proceedings pursuant to search
conducted during pendency of appeal not brought to notice of Appellate
Tribunal--Order of Appellate Tribunal without considering developments to be
set aside--Matter remitted to Appellate Tribunal-- Skyline
Builders v. CIT (Ker) . . . 768
Search and seizure--Assessment
in search cases--Assessment of third party--Condition precedent--Recording of
satisfaction by Assessing Officer that seized material or cash belonged to
third party--Search in premises of director of assessee-company and seizure of
cash--Statement made by director in course of search that part of seized cash
belonged to assessee--Constitutes material under section 132(4)--Satisfaction
sufficient under section 153C-- Principal CIT v. Nau Nidh
Overseas Pvt. Ltd. (Delhi) . . . 753
Search and seizure--Assessment
in search cases--Assessment of third party--Document seized whether belonging
to third party assessee--Person in respect of whom search conducted denying
that document pertained to assessee--Finding of fact--No material to contradict
brought by Department--Pre-condition not fulfilled--Provisions of section 153C
not attracted-- Principal CIT v. Vinita Chaurasia (Delhi) .
. . 758
Search and seizure--Assessment
of third party--Burden of proof--Source of seized document--Person in respect
of whom search conducted stating that document was proposal given by
broker--Duty of Department to ascertain truth of document investigating
further--Additions made to assessee’s income based on
conjectures--Unsustainable--
S. 132(4) --Search
and seizure--Assessment in search cases--Assessment of third party--Condition
precedent--Recording of satisfaction by Assessing Officer that seized material
or cash belonged to third party--Search in premises of director of
assessee-company and seizure of cash--Statement made by director in course of
search that part of seized cash belonged to assessee--Constitutes material
under section 132(4)--Satisfaction sufficient under section
153C-- Principal CIT v. Nau Nidh Overseas Pvt. Ltd. (Delhi)
. . . 753
S. 133A --Appeal
to Appellate Tribunal--Search and seizure--Proceedings pursuant to search
conducted during pendency of appeal not brought to notice of Appellate
Tribunal--Order of Appellate Tribunal without considering developments to be
set aside--Matter remitted to Appellate Tribunal-- Skyline
Builders v. CIT (Ker) . . . 768
S. 139(1) --Legislative
powers--Parliament--
S. 139(4) --Legislative
powers--Parliament--
S. 143(3) --Appeal
to Appellate Tribunal--Search and seizure--Proceedings pursuant to search
conducted during pendency of appeal not brought to notice of Appellate
Tribunal--Order of Appellate Tribunal without considering developments to be
set aside--Matter remitted to Appellate Tribunal-- Skyline
Builders v. CIT (Ker) . . . 768
S. 147 --Reassessment--Condition
precedent--New material-- Martech Peripherals P. Ltd. v. Deputy
CIT (Mad) . . . 733
Reassessment--Income
escaping assessment--Undisclosed investment--Assessee’s failure to file returns
for years during which investments made showing corresponding income--Additions
made by Assessing Officer based on District Valuation Officer’s
report--Reassessment proceedings valid and proper-- Dr. Chhangur
Rai v. CIT(All) . . . 611
Reassessment--Notice--
Reassessment--Scope
of--Power of Assessing Officer to consider other income not mentioned in
reasons recorded--Only if income mentioned in reasons forms part of reassessed
income-- Martech Peripherals P. Ltd. v. Deputy CIT (Mad) .
. . 733
Writ--Existence of
alternative remedy--Does not exclude power of court to entertain writ petition
when challenge raised on ground of absence of jurisdiction or breach of
principles of natural justice-- Martech Peripherals P.
Ltd. v. Deputy CIT (Mad) . . . 733
S. 148 --Reassessment--Condition
precedent--New material-- Martech Peripherals P. Ltd. v. Deputy
CIT (Mad) . . . 733
Reassessment--Income
escaping assessment--Undisclosed investment--Assessee’s failure to file
returns for years during which investments made showing corresponding
income--Additions made by Assessing Officer based on District Valuation
Officer’s report--Reassessment proceedings valid and proper-- Dr.
Chhangur Rai v. CIT(All) . . . 611
Reassessment--Notice--
Reassessment--Scope
of--Power of Assessing Officer to consider other income not mentioned in
reasons recorded--Only if income mentioned in reasons forms part of reassessed
income-- Martech Peripherals P. Ltd. v. Deputy CIT (Mad) .
. . 733
Writ--Existence of
alternative remedy--Does not exclude power of court to entertain writ petition
when challenge raised on ground of absence of jurisdiction or breach of
principles of natural justice-- Martech Peripherals P.
Ltd. v. Deputy CIT (Mad) . . . 733
S. 153A --Appeal
to Appellate Tribunal--Search and seizure--Proceedings pursuant to search
conducted during pendency of appeal not brought to notice of Appellate
Tribunal--Order of Appellate Tribunal without considering developments to be
set aside--Matter remitted to Appellate Tribunal-- Skyline
Builders v. CIT (Ker) . . . 768
Search and seizure--Assessment
in search cases--Assessment of third party--Condition precedent--Recording of
satisfaction by Assessing Officer that seized material or cash belonged to
third party--Search in premises of director of assessee-company and seizure of
cash--Statement made by director in course of search that part of seized cash
belonged to assessee--Constitutes material under section 132(4)--Satisfaction
sufficient under section 153C-- Principal CIT v. Nau Nidh
Overseas Pvt. Ltd. (Delhi) . . . 753
Search and seizure--Assessment
in search cases--Assessment of third party--Document seized whether belonging
to third party assessee--Person in respect of whom search conducted denying
that document pertained to assessee--Finding of fact--No material to contradict
brought by Department--Pre-condition not fulfilled--Provisions of section 153C
not attracted-- Principal CIT v. Vinita Chaurasia (Delhi) .
. . 758
Search and seizure--Assessment
of third party--Burden of proof--Source of seized document--Person in respect
of whom search conducted stating that document was proposal given by
broker--Duty of Department to ascertain truth of document investigating
further--Additions made to assessee’s income based on
conjectures--Unsustainable--
S. 153C --Search
and seizure--Assessment in search cases--Assessment of third party--Condition
precedent--Recording of satisfaction by Assessing Officer that seized material
or cash belonged to third party--Search in premises of director of
assessee-company and seizure of cash--Statement made by director in course of
search that part of seized cash belonged to assessee--Constitutes material
under section 132(4)--Satisfaction sufficient under section
153C-- Principal CIT v. Nau Nidh Overseas Pvt. Ltd. (Delhi)
. . . 753
Search and seizure--Assessment
in search cases--Assessment of third party--Document seized whether belonging
to third party assessee--Person in respect of whom search conducted denying
that document pertained to assessee--Finding of fact--No material to contradict
brought by Department--Pre-condition not fulfilled--Provisions of section 153C
not attracted-- Principal CIT v. Vinita Chaurasia (Delhi) .
. . 758
Search and seizure--Assessment
of third party--Burden of proof--Source of seized document--Person in respect
of whom search conducted stating that document was proposal given by
broker--Duty of Department to ascertain truth of document investigating
further--Additions made to assessee’s income based on
conjectures--Unsustainable--
S. 245HA(2) --Settlement
of cases--Abatement of proceedings--Effect--
S. 254 --Appeal
to Appellate Tribunal--Appeal to Commissioner (Appeals)--Powers of
Tribunal--Condition precedent for appeal to Commissioner (Appeals)--Payment of
taxes due--Tax not paid on date of appeal--Appeal dismissed--Subsequent payment
of tax--Tribunal directing Commissioner (Appeals) to hear
appeal--Justified-- Principal CIT v. Abdul Zahid M.(Karn) . . .
727
Appeal to Appellate Tribunal--Powers
of Tribunal--Tribunal can grant refund-- Kalindee Rail Nirman (Engineers)
Ltd. v. CIT (Raj) . . . 684
S. 269UA(f) --Heads
of income--Income from house property or business income--Letting of
property--Whether business activity--To be determined on facts--Clause in
objects of assessee not conclusive --Assessee must show that its entire income
or a substantial part thereof was from letting of property which was its
principal business activity--Objects clause in partnership deed to take
premises on rent and to sub-let them--Assessee “deemed ownerâ€--Finding of
Tribunal that assessee had not established that it was engaged in systematic or
organised activity of providing service to occupiers of shops--Receipts from
sub-licensees not business income but to be treated as income from house
property-- Raj Dadarkar and Associates v. Asst. CIT (SC) .
. . 592
S. 279 --Offences
and prosecution--Compounding of offences--No limitation period for application
for compounding--Application cannot be rejected on ground that application not
accompanied by compounding fee or that compounding fee not paid prior to
application being considered on merits--Chief Commissioner directed to consider
afresh assessee’s application for compounding of offence-- Vikram
Singh v. Union of India (Delhi) . . . 746
