Supreme Court confirms Addition for Bogus Share Application Money and Premium [Read Judgment]

In a significant ruling, a two-judge bench of the Supreme Court has confirmed an addition in respect of bogus share application money and premium and bogus capital gain. The Income Tax Department finally won the...

Mere Execution of Power of Attorney Agent not amount to ‘Transfer’: ITAT [Read Order]

The Income Tax Appellate Tribunal ( ITAT ), Chennai bench has held that mere execution of a Power of Attorney would not amount to transfer of property for determining the capital gain tax liability. The...

Non-Competent Fee received from sale of Business Asset taxable as Long Term Capital Gain: Bombay HC [Read Judgment]

A two-judge bench of the Bombay High Court has held that the non-competent fee received by the assessee from the sale of the business assets was not assessable as profits of business under Section 29(va),...

No Capital Gain in the Year of entering into Development Agreement where No Actual Allotment took Place: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Mumbai bench has held that the tax liability for capital gain cannot arise in the year in which the assessee entered into a development agreement where there was only...

Capital Gain Exemption can’t be disallowed If Assessee invoked Wrong Provision due to Ignorance of Law: ITAT [Read Order]

The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has held that the capital gain exemption under Section 54 of the Income Tax Act, 1961 cannot be disallowed in a case where the assessee,...

Capital Gain Exemption available to House Constructed in HUF’s Plot: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Ahmedabad bench has held that the capital gain exemption under Section 54F of the Income Tax Act, 1961 would be allowable in case where the house has been constructed...

Tax Deduction available to Legal and Professional Fees paid for Transfer of Shares: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT) Mumbai bench has allowed the deduction to the fees paid to legal and professional fees in connection with the transfer of shares. Section 48 (i) of the Act lays...

Coparcener can’t be Taxed for Capital Gain from Property purchased in his Name out of Income of HUF: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Chennai bench has held that an individual coparcener who is shown as owner in the sale deed cannot be taxed for Property belong to the Hindu Undivided Family (...

Income Tax can’t be levied on Transfer of Property through Power of Attorney: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Jalandhar bench has held that the income tax cannot be levied on the transfer of property through the Power of Attorney. The assessee was given general Power of Attorney...

ITAT allows Capital Gain Exemption for purchase of Agricultural Land in Son’s Name [Read Order]

The Pune bench of the Income Tax Appellate Tribunal (ITAT) has held that the capital gain exemption can be allowed under section 54B of the Income Tax Act for the purchase of agricultural land in...

Frequency, Magnitude of Transaction in Systematic Manner not a Criteria to treat Share Transaction a Business Activity: ITAT [Read Order]

The Income Tax Appellate Tribunal ( ITAT ), Ahmedabad bench has held that the frequency, magnitude of the transaction in a systematic manner cannot be the criteria to hold that the assessee is engaged in...

Mere Holding Shares for a Short Period won’t constitute Business Income: Bombay High Court [Read Judgment]

A two-judge bench of the Bombay High Court has held that the holding of shares for a short period only will not convert capital gain into business income. Justices M S Sanklecha and Akil Kureshi...

Capital Gain Benefit allowable in case of Part Performance of Contract: ITAT [Read Order]

The Kolkata bench of the Income Tax Appellate Tribunal (ITAT) has held that the capital gain exemption under Section 54F of the Income Tax Act, 1961 is allowable in case of possession handed over as...

Capital Gain of Multiple Years can be claimed against Purchase of New House: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Delhi bench has held that the capital gain of multiple years can be claimed against purchase/construction of same new residential house i.e. new asset for the exemption under section...

Houseboat purchased for using as Residential House not eligible for Capital Gain Exemption: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Rajkot has held that a houseboat purchased for use as a residential house by the assessee is not eligible for capital gain exemption under section 54 of the Income...

No Tax Relief for Sale of Old House If New One purchased in Wife & Daughters’ Name: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT) Mumbai bench has held that no tax relief under section 54 can be granted to the assessee for the sale of an old property if the new property was...

Wife eligible for Tax Benefit for Investment made in the Joint name of Husband: ITAT [Read Order]

“In a male dominating society, the investment made in the name of the husband is also to be considered as an investment.” – Income Tax Appellate Tribunal. The Chennai bench of the Income Tax Appellate...

Capital Gain of Minor rightly Clubbed with Income of Mother: ITAT [Read Order]

The Chennai bench of the Income Tax Appellate Tribunal (ITAT) has held that the capital gain received by the minor daughters can be clubbed in the hands of the Mother under the provisions of the...

Capital Gain Taxable when accrued to Assessee: ITAT [Read Order]

The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has held that the capital gain is taxable under the Income Tax Act, 1961 when the same is accrued to the assessee for the relevant...

Conversion of Company to LLP is ‘Transfer’: ITAT upholds Income Tax Liability [Read Order]

The Mumbai bench of the Income Tax Appellate Tribunal ( ITAT ) has held that the conversion of a company into an LLP constitutes a “transfer” for the purpose of the Income Tax Act, 1961....

Tax Benefit available for Property purchased in Wife’s Name: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Hyderabad bench has recently held that the tax benefit under section 54 of the Income Tax Act is allowable to an assessee on purchasing a new house in the...