Four Important ITAT Verdicts On S. 153C vs. 143(3) Assmnt, S. 271(1)(c) Penalty + Transfer Pricing

Jasjit Singh vs. ACIT (ITAT Delhi)

S. 153C: Date of receiving seized documents is the "date of initiation of search" and six years period has to be reckoned from that date. An assessment order passed u/s 143(3) instead of u/s 153C is void
A search in the case of Koutons took place on 19.02.2009 (AY 2009-10). The documents belonging to the assessee which were found during the search were handed over to the AO having jurisdiction over the assessee on 16.06.2009 (AY 2010-11). The date of ‘initiation of search’ in the case of the
assessee under the first […]

ACIT vs. Cecilia Haresh Chaganlal (ITAT Mumbai)

S. 271(1)(c): Explanation that bona fide mistake was committed on advice of CA is a reasonable one as per Explanation 1B of s. 271(1) and does not attract penalty
When there is no attempt on the part of the assessee to show the Long Term Capital Gain in a different category then merely because a concessional rate of tax was applied in the revised return does not ifso facto lead to the conclusion that the assessee has concealed the particulars of income. Even otherwise, […]

G. K. Properties Pvt. Limited vs. ITO (ITAT Hyderabad)

S. 271(1)(c): Apart from falsity of the explanation, the department must have cogent material or evidence from which it could be inferred that assessee has consciously concealed particulars of income or deliberately furnished inaccurate particulars of income
As held by Hon’ble Supreme Court in the case of CIT vs. Khode Easwar 83 ITR 369 the penalty proceedings being penal in character, the Revenue itself has to establish that the receipt of the amount undisputedly constitute income of assessee. Apart from falsity of the explanation given by assessee, the department must have before […]

Xander Advisors India Pvt. Ltd vs. ACIT (ITAT Delhi)

Though there is a functional difference between a PE Fund and a Merchant Banker, A manager or a sub-advisor to the PE Fund cannot be equated with the PE Fund so as not to be comparable with Merchant Bankers

(i) A merchant bank, apart from helping businessmen in raising finance, also renders consultancy services. It helps its clients in raising finance through issue of shares, debentures, bank loans, etc., from the domestic and international market. The term “Merchant Banker‘ has been defined in the Rule 2 (e) of SEBI (Merchant Bankers) Rules, 1922, to […]