Diary Entries At Partner's Premises Insufficient For Additions Without Link To Firm: Gujarat High Court

The Gujarat High Court on 8 September held that diary entries or other material found during survey proceedings cannot, by themselves, justify additions in the hands of a partnership firm when the material was not recovered from the firm's premises and there is no independent evidence linking the transactions recorded in it to the firm. A Bench of Justices Bhargav D. Karia and Pranav Trivedi dismissed the Revenue's appeals against Expert Particle Board and its partner, upholding the orders of...

State Liquor Regulation Doesn't Bar CCI Probe Into Anti-Competitive Conduct: Madhya Pradesh High Court

The Madhya Pradesh High Court on 17 September held that the State's power to regulate liquor under the Madhya Pradesh Excise Act, 1915 does not conflict with the Competition Commission of India's (CCI) jurisdiction to investigate anti-competitive conduct under the Competition Act, 2002.A Division Bench of Justices Vivek Rusia and Pradeep Mittal dismissed a batch of writ petitions filed by distilleries and bottling units operating in Madhya Pradesh, challenging CCI proceedings, including its...

Karnataka High Court Quashes Revision Proceedings Over ESOP Tax Treatment After ₹27.13 Cr. Refund

On 18 September, the Karnataka High Court set aside revision proceedings initiated against taxpayer Mukesh Bansal after his revised income tax return for the assessment year 2019-20 resulted in a refund of Rs. 27.13 crore. Justice S. Sunil Dutt Yadav held that an intimation issued under Section 143(1) of the Income Tax Act, without any adjustment, cannot be treated as an “order” for exercising revisionary powers under Section 263 of the Act. The Bench observed: “...The corollary would be that,...

Delhi High Court Bars Anonymous Parties From Using JCB Branding Over Alleged False Arrest Claims

The Delhi High Court on 15 September restrained anonymous parties allegedly linked to former JCB dealer Krishna Auto Riders Private Limited (KARPL) from using JCB's name, trademarks, logos and other brand identifiers in a manner suggesting an affiliation with the company. A Bench of Justice Jyoti Singh also directed Google and Meta to take down videos and Instagram reels allegedly claiming that two JCB India officers had been arrested. She observed: “The defendants are also restrained till...

Tax Authorities Cannot Recover Pre-CIRP Dues Extinguished Under Resolution Plan: Bombay High Court

The Bombay High Court on 7 September held that tax authorities cannot continue recovery proceedings for pre-CIRP dues extinguished under an NCLT-approved Resolution Plan. A Division Bench of Justices M.S. Karnik and Sandesh D. Patil allowed a writ petition filed by Aarem Insights Pvt. Ltd., formerly known as Shop CJ Network Pvt. Ltd., and directed the State tax authorities to refund the statutory pre-deposit of Rs. 31,99,174 made by the company for pursuing its MVAT appeal, along with...

Kerala High Court Quashes Order Dismissing Actor Jayasurya's Income Tax Appeal Over Non-Appearance

The Kerala High Court has quashed an order dismissing Malayalam actor Jayasurya's (Jayan Vathakkattu Moni) income tax appeal solely because he failed to appear for the hearing despite notices being issued on four occasions.Justice Ziyad Rahman A.A. held that an appellant's non-appearance cannot, by itself, be a ground to dismiss an appeal without considering the grounds raised in it.The court was hearing a plea challenging an order passed by the Commissioner of Income Tax (Appeals). The appeal...

Delhi High Court Sets Aside Rejection Of GST Cancellation Revocation Plea Over Unidentified Officer

The Delhi High Court has set aside an order rejecting a taxpayer's application for revocation of cancellation of its GST registration, after finding that the notice granting an opportunity of personal hearing did not disclose the details of the officer before whom the taxpayer was required to appear.The Division Bench of Justices Anil Kshetarpal and Amit Mahajan directed the GST authorities to grant the taxpayer a fresh opportunity of personal hearing and thereafter pass a fresh order on its...

Karnataka High Court Dismisses Genpact's Challenge To ED Seizure Of Gurgaon Office Under FEMA

The Karnataka High Court has dismissed Genpact India's, a business process management and professional services company, challenge to the Enforcement Directorate's seizure of its Gurgaon head-office premises under Section 37A of the Foreign Exchange Management Act (FEMA).At the same time, the court set aside the ED's rejection of Genpact's application for a no-objection certificate (NOC) to invest $100 million in its GIFT City entity, holding that the rejection did not give adequate reasons for...

Income Tax Act | Delhi High Court Seeks Affidavit On Pending Advance Ruling Cases, Appointment Of Board Members

The Delhi High Court has directed the Union Government to file an affidavit disclosing the pendency of cases before the Boards for Advance Rulings and their benches, while also seeking details regarding the status of Chief Commissioners nominated by the Central Board of Direct Taxes (CBDT) as members of the Boards.The Division Bench of Justices Dinesh Mehta and Rajneesh Kumar Gupta passed the direction while hearing a batch of petitions, including those filed by Mitsubishi Electric and the...

Delhi High Court Upholds Delhivery's ₹51.48 Crore Deduction For ESOP Expenditure

The Delhi High Court has upheld Delhivery Pvt. Ltd.'s claim for deduction of ₹51.48 crore in ESOP expenditure, ruling that the Assessing Officer was also not justified in rejecting a Chartered Accountant's valuation report for an assessment year when such certification was permissibleThe Division Bench of Justices Dinesh Mehta and Rajneesh Kumar Gupta dismissed the Revenue's appeal in its entirety and answered both questions raised before it in favour of the assessee.One of the questions before...

Reassessment Notice Can Be Issued Without Section 148A Procedure For Pre-Sept 2024 Searches: Delhi High Court

The Delhi High Court has held that where a search was conducted between April 1, 2021 and September 1, 2024, the reassessment provisions under Sections 147 to 151 of the Income Tax Act, 1961, as they stood before the Finance Act, 2024 amendment, would continue to apply.The Division Bench of Justices Dinesh Mehta and Rajneesh Kumar Gupta accordingly upheld the issuance of a notice under Section 148 of the Income Tax Act without first following the procedure under Section 148A(b), (c) and (d).The...

Delhi High Court Stays Income Tax Reassessment Against GoDaddy Over 'Over-Zealous' Approach Of AO

The Delhi High Court has stayed income reassessment proceedings initiated against domain registrar GoDaddy.com LLC, observing that the Assessing Officer (AO) was proceeding with an “over-zealous approach” and appeared to be guided by revenue considerations.The Division Bench of Justices Dinesh Mehta and Rajneesh Kumar Gupta observed that the AO had “ignored objectivity and basic tenet of tax adjudication system, being certainty and finality of the assessment proceedings.”GoDaddy's counsel...