Court : Mumbai
Decided on : Oct-16-1985
Reported in : 162ITR442(Bom)
..... charge this item which had escaped assessment before the finalisation of the settlement. in the circumstances, it was only open to the income-tax officer to issue a fresh notice under section 147(a) read with section 148 of the income-tax act, 1961, to bring this item to charge.7. the question, then, is : were the reassessment proceedings concluded when the settlement ..... originally made on june 25, 1958, and august 16, 1961, respectively. on december 29, 1965, the income-tax officer issued to the assessee a notice under section 147(a) read with section 148 of the income-tax act, 1961. the reasons noted by the income-tax officer for thus initiating reassessment proceedings were stated thus :'it is found that hundi borrowings of the assessee-company ..... assessment on the incorrect basis that it was a new building.5. some time thereafter, the income-tax officer made an order of reassessment under section 143(3) read with section 148 of the income-tax act, 1961. he stated therein that the assessee's income had escaped assessment because in the original assessment, depreciation on the cinema building had been allowed as ..... if it were a new building.6. the assessee appealed to the appellate assistant commissioner who upheld the order of the income-tax officer. the assessee went up in .....Tag this Judgment!
Court : Mumbai
Decided on : Oct-29-1985
Reported in : (1986)53CTR(Bom)66; 162ITR460(Bom); 25TAXMAN232(Bom)
..... to section 2(6a)(e), of the indian income-tax act, 1922. we shall so read the question.3. by reason of section 2(6a)(e), 'dividend' includes :'any payment by a company, not being a ..... that sums of rs. 5,90,050 and rs, 8,70,891 are not liable to be treated as dividends under section 2(6a)(e) of the income-tax act, 1961, for the assessment years 1958-59 and 1959-60 is in law justified ?'2. counsel are agreed that the allusion in the question should be ..... of rs. 2,74,716 or lesser amount was assessable as dividends under section 2(6a)(e) of the indian income-tax act, 1922 ?'12. it was decided by this court on november 29, 1977. (the judgment is cit v. ramchand jethmal : 115itr384(bom) .) this court noted that the controversy as to whether the amount of ..... the tribunal was the year ended october 31, 1956 (the diwali year), for business and ordinary dividends. for deemed dividends under section 2(6a)(e), the income-tax officer had taken the year ended march 31, 1957, to be the previous year. the assessee's current account in the company showed that there had been ..... above two companies purely by way of temporary mutual accommodation and the overdrawn amounts could not be treated as 'dividends'.'9. the revenue appealed to the income-tax appellate tribunal. the tribunal noted that the matter had been discussed at length in its order for the assessment year 1957-58 and to quote the .....Tag this Judgment!
Court : Mumbai
Decided on : Dec-12-1985
Reported in : (1985)87BOMLR697; (1986)51CTR(Bom)322; 165ITR99(Bom); 25TAXMAN248(Bom)
..... )(a) and the notice dated december 9, 1981.4. to appreciate the arguments, it is necessary to set out the relevant provisions of the income-tax act, 1961, they read thus :'217. (1) where, on making the regular assessment, the income-tax officer finds - (a) that any such person as is referred to in clause (a) of sub-section (1) of section 209a has not ..... likely to exceed the amount specified in sub-section (2) of section 208, send to the income-tax officer - (a) where he has been previously assessed by way of regular assessment under this act, a statement of advance tax payable by him computed in the manner laid down in clause (a) or, as the case may be, sub-clause (i) of clause (d) of ..... 194, section 194, section 194c, section 194d and section 195 on any income (as computed before allowing any deductions admissible under this act) on which tax is required to be deducted under the said sections and which has been taken into account in computing the said total income; (iv) the net amount of income-tax calculated in accordance with sub-clause (iii) shall, subject to the ..... assessed by way of regular assessment under the act shall, in each financial year, on or before the date on which the first instalment of advance tax is due in his case, if his current income is likely to exceed the amount specified in section 208(2), send to the income-tax officer 'a statement of advance tax payable by him computed in the manner laid .....Tag this Judgment!
Court : Supreme Court of India
Decided on : Jul-08-1985
Reported in : (1985)48CTR(SC)123; 1985(Supp)SCC403
..... the judgment of the high court of andhra pradesh disposing of a reference made under sub-section (1) of section 256 of the indian income tax act, 1961 for its opinion on the following question of law:whether on the facts and in the circumstances of the case the bad debt of ..... be claimed as a bad debt under clause (vii) of sub-section (1) of section 36 of the income tax act, 1961.6. clause (vii) of sub-section (1) of section 36 of the income tax act, 1961 provides:36. (1) the deductions provided for in the following clauses shall be allowed in respect of ..... appeal the appellate assistant commissioner upheld the claim.4. the income tax department appealed to the income tax appellate tribunal against the order of the appellate assistant commissioner and urged that clause (i) of sub-section (2) of section 36 of the income tax act, 1961 did not permit such an allowance because it did ..... the matters dealt with therein, in computing the income referred to in section 28* * *(vii) subject to the provisions of sub ..... not proved that the debtor was so financially embarrassed that he was unable to pay the debt. on appeal, the appellate assistant commissioner of income tax held that the business transferred from the predecessor firm to the assessee continued uninterrupted, and the change of ownership was no bar to the bad .....Tag this Judgment!
Court : Delhi
Decided on : May-10-1985
Reported in : 157ITR241(Delhi)
..... the tribunal was justified in holding that reopening of the assessment for the year 1964-65 under section 147(a) of the income-tax act, 1961, was valid ?' 2. it is useful to summarise the fact set out the statement of case. for this assessment year, the assessed ..... revised to rs. 7,41,017, and the assessment was completed in the ordinary course on a total income of rs. 7,42,978. the assessment was reopened under section 147(a) of the income-tax act, 1961, on march 23, 1973, on the ground that the assessed had transferred its profit to others. ..... various aspects of the case. the material question : can the income of m/s. cosmos traders and m/s. rengo farms (p) ltd. be considered to be ..... there was an escapement of income because the assessed had not fully and truly disclosed all the material facts necessary for making the assessment.6. before us, learned counsel cited numerous judgments regarding the jurisdiction to reopen the assessment proceedings under section 147(a) of the income-tax act, 1961. we have considered ..... the tribunal, was the fact that these two concerns were intimately connected with the managing director of the assessed-company. in the original proceedings, the income-tax officer had considered the assessed's agreements with m/s. cosmos traders and m/s. rengo farms (p) ltd. as genuine and accepted the .....Tag this Judgment!
Court : Delhi
Decided on : May-03-1985
Reported in : 156ITR179(Delhi)
..... circumstances of the case, the tribunal was right in holding that the receipt of rs. 8,19,495 was not a causal receipt exempt under section 10(3) of the income-tax act 1961 2. whether, on the facts and in the circumstances of the case, the tribunal was right in holding that the unabsorbed depreciation relating to indian business amounting to rs ..... . on the other hand, it was held that the loss sustained by the assessed could only be set off against the income which was assessable to tax and not income which was not assessable to tax. the court, thereforee, held that the pakistan income, i.e., the dividends in pakistan, was not to be set off against the business loss. this was the interpretation arrived ..... india. the whole purpose of the agreement was to treat the two incomes as separate for the purposes of taxation. in other words, the pakistan income was to be assessed in pakistan without taking the indian income into consideration and the indian income was to be taxed in india without taking the pakistan income in consideration. that is the interpretation of the agreement accepted by this ..... in abeyance under the d.i.t. agreement between india and pakistan, the assessed was not actually required to pay tax in india. the second question turns on whether there was a set-off of the unabsorbed depreciation against the pakistan income by reason of this order. 3. if we take the first question first, it can at once be said that .....Tag this Judgment!
Court : Delhi
Decided on : May-10-1985
Reported in : (1986)53CTR(Del)397; 157ITR770(Delhi)
..... , 1922 (corresponding to section 256 of the present act,) if the party at whose instance the reference was made does not appear at the hearing of the reference. chakravartti ..... j.d. jain, j.1. the above mentioned four income-tax references have been made by the income-tax appellate tribunal (delhi bench 'c') (for short 'the tribunal'), under section 256(1) of income-tax act, 1961, vide reference order dated june 29, 1974. references nos. 162 and 163 of ..... the revenue. 5. the distinction between capital and revenue either on the receipt or expenditure side is almost a perennial problem in income-tax law. although the distinction between the two is, generally speaking, well recognised being based on certain principles which are not easy of ..... cit : 70itr805(all) ; gajadhar prasad nathu lal v. cwt : 76itr615(mp) and k. ch. venkataratnam v. cgt : 95itr277(ap) . 33. in m. m. ispahani ltd. : 27itr188(cal) the question arose whether the high court was bound to answer a reference under section 66 of the indian income-tax act ..... 1974 have been made on the application of the assessed, m/s. shanker dass sethi and sons (for short 'the assessed'), while references nos. 164 and 165 of 1974 have been made at the instance of the additional commissioner of income-tax .....Tag this Judgment!
Court : Kerala
Decided on : Nov-27-1985
Reported in : (1987)59CTR(Ker)240; 160ITR88(Ker)
..... right in law in holding that the onus is on the income-tax officer to prove that the refund obtained by the assessee had been allowed as a deduction in ..... 27,838 as profit assessable under section 41(1) of the income-tax act, 1961, for short, 'the act'. in respect of the balance amount, the assessee contended that the same was not liable to be treated as income of the previous year in question because the same had not been ..... 1976-b, the income-tax appellate tribunal, cochin bench, for short 'the appellate tribunal', has referred the following questions for our opinion :' 1. whether, on the facts and in the circumstances of the case and on an interpretation of section 41(1) of the income-tax act, 1961, the income-tax appellate tribunal is ..... of the amount is only refund of licence fees, unless all the conditions of section 41(1) are satisfied, it cannot be taxed. the income-tax officer has to prove that the claim for deduction had been allowed in the earlier years. for this purpose, the circumstances referred to ..... act, on the ground that the assessee failed to produce the accounts relating to the years of assessment 1951-52 1959-60. for the same reason, the appellate assistant commissioner is not justified in issuing the following directions to the assessee, namely, 'to produce the books of account of the relevant years in order that the income-tax .....Tag this Judgment!
Court : Kerala
Decided on : Dec-19-1985
Reported in : (1986)52CTR(Ker)189; 158ITR604(Ker)
..... is justified in law in holding that expenses incurred by the assessee towards storage and duty are entitled to weighted deduction under section 35b of the income-tax act ? 2. whether, on the facts and in the circumstances of the case, there are materials for the tribunal to hold that expenses towards storage ..... that the revenue contended in appeal was that the section was wrongly understood by the appellate assistant commissioner in so far as he disagreed with the income-tax officer. this is what the revenue stated in its appeal :' the appellate assistant commissioner has erred in giving weighted deduction under section 35b for expenses ..... be an allowable deduction, nor would be the local duty paid at new york after discharge.7. the assessee's claim was disallowed by the income-tax officer on a wrong understanding of the law, as is clear from paragraph 5 of his order. this is what he stated :'in view ..... s claim for weighted deduction under section 35b(1)(a) and (b)(iii) for the assessment years 1969-70 and 1971-72 was disallowed by the income-tax officer. it was allowed on appeal by the appellate assistantcommissioner. the revenue appealed to the tribunal against that decision, but without success.3. the relevant section ..... while in transit.......... ' 4. this section was interpreted by this court in itr no. 71 of 1972 in k. e. kesavan & co. v. cit (see appendix p. 608 infra) in the following words (at p. 610);'from the above, it follows that a claim for weighted deduction in respect of .....Tag this Judgment!
Court : Gujarat
Decided on : Jun-20-1985
Reported in : (1985)48CTR(Guj)154; 158ITR520(Guj)
..... . when the income-tax officer extends the date for furnishing the return under proviso (iii) to section 39(1), he does so in the exercise of authority conferred by the statute and the ..... tax ?' 2. a few facts need be noticed in order to appreciate the dispute between the assessee and the revenue in this reference ..... at the instance of the assessee for our opinion under section 256(1) of the income-tax act, 1961 : 'whether. on the facts and in the circumstances of the case, the tribunal was justified in law. in holding that the penalty under section 271(1)(a) of the income-tax act, 1961, was rightly imposed on the registered firm even when it had paid excess advance ..... the income-tax officer had extended the time upon grounds made out by the assessee because otherwise the income-tax officer could not have charged interest, and that, therefore, no penalty was leviable. on appeal to the supreme court, it was held as under (headnote) : 'the time allowed for furnishing a voluntary return is the time specified in section 139(1) o the income-tax act, 1961 .....Tag this Judgment!