In a landmark decision, the Supreme Court has overturned a recent Kerala High Court ruling and held that cheque bounce cases under Section 138 of the Negotiable Instruments Act remain maintainable even when the underlying debt arises from a cash loan exceeding …
The Delhi High Court, in Asst. Commissioner of Income Tax v. State & Ors., recently held that money obtained through fraud or a Ponzi-style scheme cannot be treated as the taxable income of a company or its directors. Instead, such amounts …
The Income Tax Appellate Tribunal (ITAT), Visakhapatnam Bench, in its decision dated 3 September 2025, examined whether an addition under Section 69 of the Income-tax Act, 1961 could be sustained in respect of a land transaction where the registered sale deed was subsequently cancelled, …
The Finance Bill 2025 and the subsequent Budget changes have introduced important revisions in how capital gains are taxed in India. For investors and taxpayers, these updates impact not only how gains and losses are reported but also how portfolios …
The Bangalore Bench of the Income Tax Appellate Tribunal (ITAT) recently delivered an important ruling in the case of Smt. Sushama Rajesh Rao v. DCIT (ITA No. 49/Bang/2023, order dated 18 August 2025). The dispute centered on whether capital gains arising from …
Introduction The Income Tax Appellate Tribunal (ITAT), Delhi Bench, in its order dated 9 September 2025, delivered an important ruling on the availability of capital gains exemption under Section 54F of the Income-tax Act, 1961 to a private trust. The Tribunal held that where …
📌 Introduction A tax audit is a compulsory examination of accounts of a business or profession carried out under Section 44AB of the Income Tax Act, 1961. For small businesses, tax audits ensure accuracy in reporting income, expenses, and compliance with various …
Introduction The Karnataka High Court in the case of DCIT v. Biesse India Pvt. Ltd. (WA No.1619 of 2024, decided on 5 August 2025) dealt with the issue of delay in passing an order giving effect (OGE) to an Income Tax Appellate …
Introduction Tax audit under section 44AB of the Income-tax Act, 1961 is a critical compliance requirement for businesses and professionals crossing prescribed turnover or gross receipt limits. Every year, the Central Board of Direct Taxes (CBDT) notifies due dates and …
Introduction With effect from 1 April 2024, the Institute of Chartered Accountants of India (ICAI) has issued a revised Guidance Note on Financial Statements of Non-Corporate Entities. The new framework prescribes fresh disclosure formats and compliance requirements for proprietorships, partnerships, LLPs, and …
Introduction On 14 August 2025, the Bombay High Court delivered its judgment in the case of Narendra I. Bhuva (Legal Heirs) v. ACIT, Circle 13(1), Mumbai concerning the taxability of gains arising from the sale of a vintage car. While dismissing the main appeal and …
Introduction The due date for filing the tax audit report under Section 44AB for Assessment Year 2025-26 (Financial Year 2024-25) is currently 30 September 2025. While the Income Tax Department has already extended the ITR filing deadline for non-audit cases to …
Introduction When it comes to income tax filing in India, Non-Resident Indians (NRIs) often face confusion regarding refunds on short-term capital gains (STCG). Many assume that if their total income, including STCG, falls below the basic exemption limit, they can …
Introduction The Income Tax Return (ITR) filing deadline is one of the most critical dates for taxpayers in India. With millions of individuals and businesses required to submit their returns, any change or extension in the due date creates significant …
Introduction The treatment of life membership fees received by professional bodies, trusts, and charitable institutions has long been a contentious issue in income-tax law. The central question revolves around whether such one-time, non-recurring receipts should be classified as revenue income chargeable in the year …
Introduction The Andhra Pradesh High Court examined whether absence of a Document Identification Number (DIN) in departmental orders automatically invalidates such orders or whether they continue to hold enforceability until judicially set aside. The Court clarified the legal effect of …
Introduction The Orissa High Court in its judgment dated 11 August 2025 in Reliable Security and Intelligence Services (Orissa) (P.) Ltd. v. NFAC addressed the scope of powers of the Assessing Officer under Section 245 of the Income-tax Act, 1961. The dispute arose when the …
The Indian Income-tax Act, 1961, not only levies tax on income but also provides relief to taxpayers by allowing the set-off and carry forward of losses. These provisions ensure that taxpayers are taxed only on their net income after adjusting eligible losses. The …
The processing of income tax refunds for Assessment Year (AY) 2025-26 has seen noticeable delays compared to previous years. While refunds are usually credited within a few weeks of e-verification, several systemic, procedural, and compliance-related factors have slowed down the …
Key Highlights of the CBDT Instruction 1. What Changed? The CBDT has amended its own instruction (originally issued on March 15, 2022) to align with the statutory changes made by the Finance (No. 2) Act, 2024. The update specifies that prosecution under Sections 49 and/or …