Income Tax Cases – disallowance of expenses – assessment u/s 143 – deemed income u/s 9(1)(iii) related to technical fees - rules of natural justice for making assessment order – estimated income on the basis of blank and cancelled bills

1

Income Tax - 2008 - TMI - 4002 - DELHI HIGH COURT

Tribunal confirmed the decision of comm.(A) of remanding the matter to AO - appeal by assessee regarding disallowance of some expenses by AO, Comm(A) remanded the matter to AO - held, dismissing revenue's appeal, that on the basis of the Assessee's appeal with regard to the disallowance of expenses, the entire range of issues couldn't have been reopened including those issues that were already decided in favour of Assesses & hadn't been appealed against - no substantial question of law arise

2

Income Tax - 2008 - TMI - 4001 - PUNJAB AND HARYANA HIGH COURT

Regular assessment notice issued by AO u/s 143 on basis of information which has come into the possession before assessment - there is no merit in contention of assessee that the survey had been conducted after the close of previous year & the assessment for that year couldn't be taken up for scrutiny - whatever material the dept. found during the survey was confronted to assessee, so no prejudice has been caused to assessee by framing regular assessment so assessee's appeal rejected

3

Income Tax - 2008 - TMI - 4000 - MADRAS HIGH COURT

Settlement Commission rejected the plea for waiver of interest chargeable under Sections 234-A, 234-B and 234-C but granted waiver of 50% of interest charged u/s139(8), 215 and 217 - settlement comm. doesn't disclose the reasons for restricting the waiver to 50% as regards the interest under 139(8), 215 and 217 & not considering the plea of waiver in respect of interest u/s 234-A, 234-B and 234-C - Settlement Commission is directed to consider the waiver application again

4

Income Tax - 2008 - TMI - 3999 - UTTARANCHAL HIGH COURT

ONGC as an agent of assessee, a non-resident - assessee had entered into a contract with ONGC for providing technical expertise to ONGC - ONGC paid technical fee to assessee - as per explanatiojn 2 to sec. 9(1)(vii) it is clear that fee for technical services will not include the consideration for any construction, assembly, mining or like project undertaken by the recipient or consideration, it will be income of the recipient chargeable under the head "Salaries" u/s 44D with section 115A

5

Income Tax - 2008 - TMI - 3998 - MADHYA PRADESH HIGH COURT

Assessing Officer accepted the version of the assesses without proper enquiry and as a result a substantial amount of taxable income was not brought to tax - In such a case the assessment order would be erroneous and prejudicial to the interests of the Revenue - CIT was justified in directing A