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Landmark Rulings

ITAT Bangalore — Direct Tax

747 rulings

  1. ITAT Bangalore · 21 Oct 2016
    ITAT - Not correct to hold that the payment against each bill/GR to each truck has to be considered as a separate contract and therefore no TDS applicable on individual payment for each GR less than Rs. 50,000.

    Sri Shivamurthy vs. ACIT

    (2016) TaxCorp(LJ) 11361 (ITAT-BANGALORE) · Sections. 194C, 40(a)(ia)

  2. ITAT Bangalore · 21 Oct 2016
    ITAT - Where assessee-company had not made any attempt to prove nexus between amount of provision created which was disallowed in earlier years u/s 40(a)(ia) and the amount of provision reversed during the year under consideration, additions confirmed.

    M/s. ABB India Ltd. (Formerly known as ABB Ltd.) Versus Joint Commissioner of Income-tax (LTU), Bangalore

    (2016) TaxCorp(LJ) 11356 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51740&Category=ITAT&CategoryType=Zip

  3. ITAT Bangalore · 21 Oct 2016
    ITAT - Disallowance of kist payment (lease rent) as prior period item not valid since it is not the case of the department that this method of accounting of kist payment on cash basis is not consistently followed by the assessee.

    M/s. Elite Enterprises Versus Income Tax Officer, Ward 1, Puttur, Dakshina Kannada Dist.

    (2016) TaxCorp(LJ) 11347 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51739&Category=ITAT&CategoryType=Zip

  4. ITAT Bangalore · 21 Oct 2016
    ITAT - When there were no takers for the money to lend, idle funds were placed in banks for earning interest. Deduction u/s.80P(2)(a)(i) allowed.

    Income-tax Officer, Ward -4 (2) (2) , Bengaluru Versus The BEML Employees Co-op Society Ltd

    (2016) TaxCorp(LJ) 11346 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51756&Category=ITAT&CategoryType=Zip

  5. ITAT Bangalore · 19 Oct 2016
    ITAT - Payment to Malaysian subsidiary for carrying out clinical trial and R&D pursuant to Product Development agreement constitutes FTS under Article 13 of India Malaysia DTAA. TDS applicable u/s 195.

    Stempeutics Research Pvt. Ltd. vs. JDIT

    (2016) TaxCorp(LJ) 11339 (ITAT-BANGALORE)

  6. ITAT Bangalore · 18 Oct 2016
    ITAT - Where the objects of the assessee society are not in respect of educational purposes (for the purpose of exemption u/s 10(23C)(vi)) because the same amounts to rendering consultancy services.

    M/s Southern India Banks Staff Training College Versus The Income Tax Officer, Ward-14 (2), Bangalore

    (2016) TaxCorp(LJ) 11332 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51728&Category=ITAT&CategoryType=Zip

  7. ITAT Bangalore · 12 Oct 2016
    ITAT - Assessee cannot claim depreciation on assets acquired under amalgamation more than the depreciation allowable to amalgamating company.

    United Breweries Ltd. vs. DCIT

    (2016) TaxCorp(LJ) 11286 (ITAT-BANGALORE) · Section. 32

  8. ITAT Bangalore · 26 Sep 2016
    ITAT - In case of independent accumulation of income u/s. 11(2), besides accumulation of profit u/s. 11(1)(a), the investment or deposit cannot be disallowed only for the reason that application of money was not for the object of the society.

    The Deputy Director of Income Tax (Exemptions), Cirlce 17 (1) , Bangalore Versus Karnataka Jesuit Educational Society and Vica-Versa

    (2016) TaxCorp(LJ) 11165 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51447&Category=ITAT&CategoryType=Zip

  9. ITAT Bangalore · 24 Sep 2016
    ITAT - No penalty u/s 271(1)(c) where claim of depreciation on financed leased assets disallowed as the issue is a debatable one.

    Joint Commissioner of Income Tax, LTU, Bangalore Versus M/s. HP India Sales Pvt. Ltd.,

    (2016) TaxCorp(LJ) 11163 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=50818&Category=ITAT&CategoryType=Zip

  10. ITAT Bangalore · 24 Sep 2016
    ITAT - When the salary paid to the Director is still less than the salary paid to the other Directors during the year under consideration then the provisions of Section 40A(2) cannot be invoked.

    M/s. Jupiter Technologies Pvt. Ltd. Versus Dy. Commissioner of Income Tax, Circle 4 (1) (1), Bangalore.

    (2016) TaxCorp(LJ) 11162 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51410&Category=ITAT&CategoryType=Zip

  11. ITAT Bangalore · 23 Sep 2016
    ITAT - Where consultant doctors were paid fixed remuneration and the working conditions were under supervision and control of the hospital authorities, services are rendered in the nature of employee. TDS u/s 192 applicable.

    M/s. Hosmat Hospital Pvt. Ltd. Versus Asst. Commissioner of Income-tax (TDS) , Circle 18 (1) , Bangalore and Vica-Versa

    (2016) TaxCorp(LJ) 11146 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51401&Category=ITAT&CategoryType=Zip

  12. ITAT Bangalore · 20 Sep 2016
    ITAT - The burden of proving the onus is on the assessee to produce the creditors (funds borrowed from villagers) specifically when the facts and circumstances clearly raise the suspicion on the very genuineness of the claim. Addition sustained.

    Mahaveer Saraswathi Versus Income Tax Officer, Ward – 2, Hassan

    (2016) TaxCorp(LJ) 11123 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51334&Category=ITAT&CategoryType=Zip

  13. ITAT Bangalore · 20 Sep 2016
    ITAT - In case of joint ownership of property (property purchased by the husband and wife in the joint names), the share of the co-owner shall be determined as per the ratio of their contribution in the purchase consideration.

    Shri Ravindra Sunku and Smt. Roopa Ravindra Sunku Versus Income Tax Officer, International Taxation Ward 2 (1), Bangalore

    (2016) TaxCorp(LJ) 11120 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51339&Category=ITAT&CategoryType=Zip

  14. ITAT Bangalore · 20 Sep 2016
    ITAT - If the assessee or the deductee felt that no TDS or lower TDS was deductible for any reason, they should have approached the payee to grant a certificate for no deduction of TDS or low deduction of TDS and since this was not done by the assessee or the payee, this contention is not acceptable that no TDS was deductible by the assessee company.

    Bangalore Metro Rail Corporation Ltd. Versus The Deputy Commissioner of Income Tax, Circle-16 (1), Bangalore

    (2016) TaxCorp(LJ) 11113 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=51327&Category=ITAT&CategoryType=Zip

  15. ITAT Bangalore · 02 Sep 2016
    Foreign currency expenditure towards recharge of travel, hotel, boarding and lodging facilities, constitutes reimbursement and thus allowable as no TDS was required to be deducted.

    CISCO Systems Services B.V. India Branch vs. JDIT

    (2016) TaxCorp(LJ) 10987 (ITAT-BANGALORE)

  16. ITAT Bangalore · 20 Aug 2016
    Transfer Pricing: Argument that transaction of extending credit period to AEs cannot be regarded as “international transaction” in the absence of any income arising therefrom is not acceptable. Observations in Vodafone vs. UOI 368 ITR 1 (Bom) are in a different context. The transaction of extending credit period to AEs is closely linked with the transaction of providing services to the AE and is not a separate transaction. Both transactions have to be aggregated for determination of ALP

    Tally Solutions Pvt. Ltd vs. ACIT

    (2016) TaxCorp(LJ) 10892 (ITAT-BANGALORE)

  17. ITAT Bangalore · 17 Aug 2016
    Conduct of the Counsel in making selective reference to the Tribunal’s order in “very deceitful manner” is “highly deplorable”. Attempt to re-argue matter is “clear case of abuse of process of court” and is condemned “in no uncertain terms as it resulted in colossal waste of valuable time of this Tribunal”. Verdict in Dr. T.K. Dayalu (202 TM 531 (Kar) on taxability of development agreements is “not good law” in view of CIT vs. N. Vemanna Reddy (Kar)

    Triad Resorts & Hotels P.Ltd vs. WTO

    (2016) TaxCorp(LJ) 10879 (ITAT-BANGALORE)

  18. ITAT Bangalore · 29 Jul 2016
    ITAT - When management fees are paid under an agreement with AE and there is no finding that such services were also availed separately from third parties and booked as expenditure in P&L account, then determination of ALP at Nil is not acceptable.

    AXA Technologies Shared Services Pvt. Ltd. Vs. DCIT

    (2016) TaxCorp(LJ) 10753 (ITAT-BANGALORE)

  19. ITAT Bangalore · 18 Jun 2016
    ITAT - TPO and DRP justified in holding that the assessee has not established the quantum of capacity utilization adjustment with evidences and supporting details.

    M/s. Biesse Manufacturing Co. Pvt. Ltd. Versus Asst. Commissioner of Income Tax, Circle 2 (1) (1) , Bengaluru

    (2016) TaxCorp(LJ) 10402 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenINTL.aspx?ID=9335&Category=INTLDecisions&CategoryType=Zip

  20. ITAT Bangalore · 09 Jun 2016
    ITAT - Amount received by the assessee from the discretionary trust can't be taxed u/s.56(2)(vi).

    Mrs. Sharon Nayak Versus Deputy Commissioner of Income-tax

    (2016) TaxCorp(LJ) 10317 (ITAT-BANGALORE) · http://taxcorp.in/FileOpenDT.aspx?ID=49502&Category=ITAT&CategoryType=Zip

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