Latest court orders, judgments, and legal developments from Indian courts — AI-curated and summarized.
The CBDT has issued new rules under the Foreign Assets of Small Taxpayers Disclosure Scheme, enhancing compliance requirements for taxpayers while promoting transparency in foreign asset reporting.
The Kerala High Court ruled that a delay in filing a rectification application does not negate a taxpayer's entitlement to Input Tax Credit (ITC), reinforcing the importance of access to tax benefits.
The Telangana High Court has affirmed that reassessment under the Income Tax Act can continue even after Corporate Insolvency Resolution Process (CIRP) approval, clarifying the limits of liability extinguishment post-resolution.
The Calcutta High Court quashed the automatic confirmation clause in ITAT proceedings related to Section 68, restoring the appeal for fresh adjudication and reducing the imposed cost.
The CBDT has notified the Foreign Assets of Small Taxpayers – Disclosure Scheme Rules, 2026, aimed at ensuring compliance among small taxpayers regarding foreign assets. This initiative is expected to enhance transparency and tax compliance.
The ITAT has determined that income tax proceedings initiated under Section 153C are invalid due to reliance on a defective satisfaction note. This ruling is significant for taxpayers challenging the validity of tax assessments.
The ITAT has ruled that Advertising and Marketing Promotion (AMP) expenses of Samsung India cannot be subjected to benchmarking due to the absence of any international transactions. This decision clarifies the criteria needed for functional benchmarking under Indian tax laws.
The ITAT has ruled that if the Assessing Officer (AO) fails to conduct a thorough inquiry regarding an investor's creditworthiness, the Principal Commissioner of Income Tax (PCIT) must undertake such an investigation. This decision underscores the importance of proper scrutiny in income tax assessments.
The Delhi High Court ruled that lawyers providing insolvency services must collect and remit GST, marking a significant decision on tax compliance in legal services.
The ITAT ruled that failure to disclose foreign bank accounts in income tax returns can activate proceedings under the Black Money Act, even if the accounts were opened prior to the act. This ruling highlights the necessity for full disclosure in tax returns.
The Supreme Court has clarified that when income is estimated and books of accounts are rejected, the Income Tax Department cannot rely on those books for making separate additions which were not estimated by the Assessing Officer. This decision underscores the importance of maintaining accurate and justifiable accounts.
The Delhi High Court has ruled that the Assessing Officer can critique the flaws in Discounted Cash Flow (DCF) methodology but cannot modify the expected rate of return used in share valuation under Section 56(2)(viib).