2023 SCC Vol. 4 Part 4
Constitution of India — Art. 226 — Maintainability of writ petition: A writ under Art. 226 against a private educational institute would
Income Tax Act
Jurisdictional Issues — Challenges before CESTAT
by Suvendu Kumar Pati†
No penalty leviable under Section 271-C of Income Tax Act on mere belated remittance of TDS by assessee: Supreme Court
The Supreme Court observed that the consequences on nonpayment or belated remittance of the TDS would be under Section 201(1A) and Section 276-B of Income Tax Act, 1961.
CIT can revise erroneous order by Assessing Officer causing prejudice to revenue; Supreme Court overrules it’s 2000 verdict
The Supreme Court stated that the erroneous assessment order had resulted in loss of the Revenue in the form of tax. Thus, the High Court had committed a very serious error in setting aside the order passed by the Commissioner passed in exercise of powers under Section 263 of the Income Tax Act.
Delhi High Court set aside delayed show cause notice issued by Revenue Department under IT Act
The Delhi High Court observed that there was an unexplained substantial delay in issuing the impugned Show Cause Notice dated 09-11-2017 and thus, is inexcusable in the eyes of law
Payment received by assessee from foreign company for business support services cannot be treated as FTS under Art. 12 (5) of India Netherlands DTAA: ITAT reiterates
ITAT noted that an identical issue was subject matter of consideration of the Tribunal in assessee’s own case, hence following the precedent, the Tribunal directed that the payment received in this case cannot be treated as FTS under Article 12 (5) of India Netherlands DTAA.
Online Gaming Budget Proposals – Challenges during Transition Phase
by S. Vasudevan†, Karanjot Singh Khurana†† and Harshit Khurana†††
Online Gaming Budget Proposals – Challenges during Transition Phase
Cite as: 2023 SCC OnLine Blog Exp 27
In view of moratorium declared by NCLT, all the proceedings in Court, Tribunal cannot continue on account of Amendment to S. 178(6) IT Act: ITAT
ITAT reiterated that IBC has overriding effect on all the acts including Income Tax Act (‘IT Act’) which has been specifically provided under Section 178(6) of the IT Act as amended w.e.f. 01-11-2016.
Budget 2023: India Further Expands Tax Net on Digital Services
by Tarun Jain†
Cite as: 2023 SCC OnLine Blog Exp 17
25 Landmark Judgments on Constitutional Law by the Supreme Court in 2022 [Part II]
by Siddharth R. Gupta† and Sangam Ghorpade††
Cite as: 2023 SCC OnLine Blog Exp 7
Supreme Court settles the dispute with respect to levy of interest and surcharge for belatedly filing Income Tax Return
Supreme Court noted that the ‘interest' only follows the ‘principal', therefore, the ‘principal' being the payable tax, resulted into no liability to pay the tax along with return. Consequently, held that there is no liability to pay interest if there was no liability to pay the tax.
Sikkimese women can’t be denied tax exemption merely for marrying non-Sikkimese men after April 2008; SC strikes down Proviso to Section 10(26AAA) of Income Tax Act
Noting that there is no disqualification for a Sikkim man, who marries a non-Sikkimese after 01.04.2008, the Supreme Court observed that the discrimination is based on gender.
They are all Sikkimese! All old settlers entitled to the exemption under Section 10(26AAA) of the Income Tax Act: Supreme Court
While MR Shah, J, has struck down the definition of “Sikkimese” in Section 10(26AAA) of the Income Tax Act, 1961, Nagarathna, J, has called for saving the Explanation to Section 10(26AAA) and has created a stopgap ‘sub-clause (iv)’ till the Union of India makes the requisite amendment to the provision.
Rajasthan High Court quashes notice issued under Section 148 of the Income Tax Act for non-supply of ‘reasons to believe’
“Sufficiency of material is one thing and supply of the same is another, which is mandatory in nature. Therefore, the non-supply of the material referred to in the reasons to believe would be enough to render the proceedings bad, even though the material for forming the opinion may be sufficient.” observed the Court.
KAAR | Reverse Charge Mechanism not applicable on reimbursement of expenses on actuals to a whole-time director of the company
KAAR ruled that reimbursement of expenses at actual cost which are incurred by the employee on behalf of the company is not liable to tax and reverse charge mechanism is not applicable on reimbursement of expenses on actuals to a whole-time director of the company who is also an employee of the company.
ITAT| Hospitals providing medical facilities on a commercial basis are not charitable organisations; Not exempted from income tax
ITAT upheld the order of the CIT and said that the assessee had only provided treatment to a few patients at concessional rates, which was less than 1% of the revenue of the assessee. Thus, the activities of the assessee cannot be said to be charitable activities and it is not entitled for registration or approval under section 10(23C) or 12A of the Income Tax Act.
Vodafone versus India: A Never-Ending Saga
by Swarnendu Chatterjee† and Anwesha Pal††
Cite as: 2022 SCC OnLine Blog Exp 82
Supreme Court interprets Section 194 H of Income tax Act; Overrules Bombay High Court’s 2009 Qatar Airways judgment
Supreme Court: In an appeal filed by Singapore airlines against the judgment passed by the Delhi High Court holding that
A Man of Vision and Action- CJI Uday Umesh Lalit Retires
by Sucheta Sarkar†