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 …
The Chhattisgarh High Court recently affirmed the order of the Income Tax Appellate Tribunal (ITAT) granting registration under Section 12AA of the Income-tax Act, 1961 to a trust created for the benefit of pharmaceutical dealers. The ruling underscores that at the stage …
The Supreme Court, in its judgment dated 28 August 2025, delivered a significant ruling in the field of tax prosecutions by quashing criminal proceedings initiated by the Income Tax Department against an assessee under Section 276C(1) of the Income Tax Act, …
The Bombay High Court in Gateway Terminals India Pvt. Ltd. v. DCIT & Ors. (26 August 2025) has delivered a significant ruling on the scope of deductions under Section 80-IA of the Income-tax Act, 1961. The issue before the Court was whether interest …
The issue before the Income Tax Appellate Tribunal (ITAT), Ahmedabad, in its order dated 19 August 2025, revolved around the rejection of a trust’s application for registration under section 12AB of the Income-tax Act, 1961. The Commissioner of Income Tax (Exemptions) [CIT(E)] …
Many employers in India provide a Flexible Compensation Structure (Flexi Pay), which allows employees to design part of their salary by choosing from different allowances and reimbursements. The objective is to optimize tax savings while meeting personal and professional needs. However, not all …