Latest court orders, judgments, and legal developments from Indian courts — AI-curated and summarized.
The ITAT ruled that proceeds from penny stock sales cannot be added under Section 68 without proper evidence linking the taxpayer to price rigging or entry operators. This decision aims to protect taxpayers from unwarranted tax liabilities in unclear transactions.
In a recent judgment, the ITAT ruled that the denial of a HRA exemption cannot be arbitrary and must consider supporting documents like rent notes and receipts. This clarification is vital for salaried taxpayers claiming HRA.
The Madras High Court ruled that a mere steep increase in share price does not automatically constitute bogus long-term capital gains (LTCG). The court emphasized that transactions conducted on a recognized stock exchange with routed consideration through banking channels are valid for tax exemptions under Section 10(38).
Indian transfer pricing law clarifies the distinction between compensable corporate guarantee services and shareholder support. This differentiation is based on economic benefit, risk, and pricing.
In a landmark decision, the Gujarat High Court has directed strict adherence to AI-generated compliance guidelines, warning of contempt for violations, following cited cases of non-existent judgments.
The Karnataka High Court has upheld the entry tax on hydraulic oil, determining it constitutes a taxable petroleum product. This ruling reinforces the applicability of the KTEG Act, affirming the government's stance on taxation of such goods.
The ITAT has restricted a Rs. 1.80 crore cash addition claimed by a hospital during demonetisation to a maximum of Rs. 5 lakh. This decision highlights the need for robust evidence in defence of cash deposits during cash restrictions of that period.
The Allahabad High Court ruled that GST penalties under Section 129(1)(a) apply when tax invoices accompany goods without an E-way bill, not under Section 129(1)(b).
The CESTAT has quashed a ₹16.67 crore tax demand on royalties paid for pre-installed software, confirming it falls outside the ambit of IPR service tax prior to May 2008.
The Customs, Excise and Service Tax Appellate Tribunal (CESTAT) upheld a 200% customs duty and penalties for brass scrap misdeclared as originating from UAE instead of Pakistan.
The Bombay High Court has quashed Section 148A(d) and 148 notices for the assessment year 2018-19 after determining that the sanction from the Principal Commissioner of Income Tax (PCIT) was invalid under Section 151.
The Andhra Pradesh High Court has set aside a composite GST assessment and allowed fresh separate GST orders for multiple tax periods.