Judgment Search Results Home > Cases Phrase: interest tax act 1974 section 26 abetment of false returns etc Court: income tax appellate tribunal itat chandigarh

H.P. State Indl. Dev. Corporation Vs. Joint Commissioner of Income-tax

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2001)80ITD639(Chd.)

..... assessments have rightly been reopened under section 10 of the interest-tax act, 1974. ..... this section is imported in the provisions of interest-tax act, it would only mean that if the method of accounting employed by the appellant is rejected or the a/c books are rejected, then best judgment assessment can be framed under section 8(3) of interest-tax act no further meaning can be attached to it and the charging section of interest-tax act cannot be altered with mere incorporation of section 145 of income-tax act in the list of sections given under section 21 of interest-tax act. ..... the course of reassessment proceedings, the assessee submitted that the system of accounting regularly employed by the assessee regarding the interest income was cash and, therefore, original returns submitted by the assessee were correct and complete.the assessments were made as per regular system of accounting followed by the assessee in terms of section 145 of the income-tax act, read with section 21(2) of the interest-tax act. ..... 159 dated 31-12-1974 and 621 dated 10-12-1991 under which the explanatory notes on the two acts were explained given as also the charging section, held as under:-- (i) that the credit institution was liable to return interest chargeable to tax subject to certain exceptions as "accruing or arising" to the credit of the institution in the previous year whereas the assessee showed interest on receipt basis ..... also contended that interest on loans received from hdfc, uti, icici, etc. .....

State Bank of Patiala Vs. Joint Commissioner of Income Tax

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2005)93TTJ(Chd.)906

..... the learned departmental representative, on the other hand, invited our attention to the provisions of section 7 of the interest-tax act, 1974, and pleaded that under the said act, the ao was required to make the assessment on the basis of information gathered by him and not on the basis of information furnished by the assessee. ..... a notice under section 7(2) of the interest-tax act, 1974, was issued, subsequently, a detailed questionnaire along with the notice was issued to the assessee-bank. ..... , 1999, inspite of the fact that the said amounts do not fall within the definition of chargeable interest under section 5 of the interest-tax act, 1974." 3. ..... the ao did not consider the claim of the assessee on the ground that the assessee had not filed a revised return and, therefore, the claim made by the assessee in the course of assessment proceedings was liable to be rejected. ..... the ao has ignored the claim on the ground that revised return not having been filed, the claim of the assessee was not to be considered. ..... the relevant facts, briefly stated, are that assessee had filed the return declaring chargeable interest of rs. ..... it is not disputed that the assessee had not filed the revised return rectifying the mistake in the original-return. ..... if the return as such is accepted without scrutiny, perhaps it may be a different matter. ..... in this case, the assessee had simply committed a mistake in filing the return. ..... assessee is required to file the return. .....

The A.C.i.T. Vs. Aggarwal Construction Co.

Court : Income Tax Appellate Tribunal ITAT Chandigarh

..... having regard to the treatment meted out in earlier years, the assessee could reasonably believe that he is fully complying with the provisions of section 44aa of the income-tax act and his belief under the circumstances cannot be said to be otherwise than a bonafide belief.the cancellation of penalty is required to be upheld.17. ..... are or is likely to exceed ^56[ten lakh] rupees, ^57[during such previous year; or (iii) where the profits and gains from the business are deemed to be the profits and gains of the assessee under section 44ad or section 44ae orsection 44af, 58 [or sectional 44bb of section 44bbb],as the case may be, and the assessee has claimed his income to he lower than the profits or gains so deemed to be the profits and gains of his business, as the case may be, during ..... he was further of the view that in the absence of books, the assessing officer was not able to see whether there was contravention of provisions of sections 269ss, 269t and 40a(3) of the income-tax act etc. ..... following the ratio of learned itat in the above-mentioned case, i hereby apply net profit rate of 12% on contract receipts shown in the return of income for working out the taxable income of the assessee which works out to rs. ..... the facts of the present case being similar to that case, it would be in the interest of justice if penalty levied is deleted and the appeal is allowed.6. ..... there are separate provisions in section 271 to deal with the above wrong and false accounts. .....

S.A. Builders Ltd. Vs. Asstt. Cit

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2003)86ITD58(Chd.)

..... was held that interest paid on borrowed amount from the overdraft account utilized for making donations could not be held to be for the purpose of assessee's business and, therefore, disallowance of interest under section 36(1)(iii) of the income tax act was justified.accordingly, the assessing officer disallowed interest of rs. ..... / allowances against the current year's net profit, computed in accordance with the regular method of determination of income of the assessee as per the normal provisions of the income tax act (sections 28 to 43) for the purpose of carrying forward such losses/ allowances to the next year, without paying any attention to the fact that actually the assessee was charged ..... section (2) of section 115j further provides that computation of income under section 115j does not affect the determination of the amounts in regard to claims under sections 32(2), 32a(3), sub-section (1) of section 72, section 73 or section 74 or sub-section (3) of section 74a, etc ..... however, the assessee submitted that no doubt this claim was not preferred either in the return of income or before the lower authorities yet the assessee was entitled to such benefit in view of the judgment of ..... benefit of carry forward of loss either in the return of income or in the proceedings before the assessing officer ..... return of income, the assessee had claimed deduction for investment allowance under section ..... the award regarding the claim will be nil then shri sharma shall return the amount of advance. .....

income Tax Officer Vs. Tirlok Tirath Vidyavati Chuttani

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2004)90ITD569(Chd.)

..... , the charitable character of the assessee cannot be called into question and the assesses cannot be denied exemption in respect of income on the ground that it was not a charitable institution.12.1 sub-section (15) of section 2 of the income-tax act defines "charitable purpose" as to include relief to the poor, education, medical relief and advancement of any other object of general public utility. ..... another for utilization by the donee-trust towards its charitable objects is proper application of income for charitable purpose in the hands of the donee-trust; and the donor-trust will not lose exemption under section 11 of the income-tax act, 1961 merely because the donee-trust did not spend the donation during the year of receipt itself. ..... that cit(a) was justified in holding that donation given to sukes by the assessee trust amounted to utilization of income for the objects of the assessee-trust and, therefore, such income qualified for exemption under section 11 of the income- tax act.accordingly, we do not find any legal or factual infirmity in the well-reasoned and well-discussed order of ld. cit(a) ..... as mentioned earlier, the assessee derived income from nursing home, interest on fdrs/other investments, agricultural income and miscellaneous rental receipts etc.the assessee has not incurred any expenses in respect of interest income. ..... is sort of incentive granted to the donors to make contributions to the public charitable trust which they can claim deduction in their returns. .....

The A.C.i.T. Vs. Nahar International Ltd.

Court : Income Tax Appellate Tribunal ITAT Chandigarh

..... but this rule is subject to limitations, for there should be finality and certainty in all litigations including litigation arising but of the income-tax act and an earlier decision on the same question cannot be reopened if that decision is not arbitrary or perverse, if it had been arrived at after due inquiry, if no fresh facts are placed before the tribunal ..... in the assessment year 92-93, the tribunal has observed, "even if it is assumed that assessee had advanced the loans to employees out of funds on which assessee paid interest, then also such advances were for purposes of business of the assessee as the entire amount cam back to the assessee within 3 days. ..... ld dr reiterated that the ao has rightly made the disallowance out of interest claimed under section 36(1)(iii).3.3 ld ar, on the other hand, drew our attention to the balance sheet as on 31.03.95 and submitted that the assessee is having reserve ..... the assessee was having reserve and surplus and, therefore, reserve and surplus must have been utilized for the purpose of advancing interest free loan to the employees cannot be accepted on the ground that correspondingly there are long term investment made, as extracted ..... , the assessee advanced loans to the employees, the money has returned to the company by way of share application money within a ..... etc ..... the assessee had surplus funds/own capital available which has been worked out after setting off the amount utilized for fixed assets, work-in-progress, business creditors etc. .....

Assistant Commissioner of Vs. Nahar International Ltd.

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2006)98ITD96(Chd.)

..... the decision of the learned accountant member.the members of the bench have differed in their opinion while considering and deciding the captioned appeal on the following point which is being referred to the president, income-tax appellate tribunal under section 255(4) of the income-tax act, 1961: whether, on the facts and in the circumstances of the case, cit(appeals) was right in deleting interest of rs. ..... but this rule is subject to limitations, for there should be finality and certainty in all litigations including litigation arising out of the income-tax act and an earlier decision on the same question cannot be reopened if that decision is not arbitrary or perverse, if it had been arrived at after due inquiry, if no fresh facts are placed before the tribunal giving the later decision ..... has pointed out that in the assessment year 1992-93, the tribunal has observed, "even if it is assumed that assessee had advanced the loans to employees out of funds on which assessee paid interest, then also such advances were for purposes of business of the assessee as the entire amount came back to the assessee within 3 days. ..... whereas, the assessee advanced loans to the employees, the money has returned to the company by way of share application money within a period of three days ..... from the above statement, the assessee had surplus funds/ own capital available which has been worked out after setting off the amount utilized for fixed assets, work-in-progress, business creditors, etc. ..... 1996, etc. .....

Punjab State Co-op. Milk Producer Vs. Income-tax Officer

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2007)104ITD408(Chd.)

..... the issue involved in the present appeal is as to whether deduction under section 80p(2)(d) of the income-tax act, 1961 is permissible to the assessee in respect of the gross interest received from member cooperative societies or net interest computed in accordance with the provisions of the act this issue was neither raised nor decided by the hon'ble high court. ..... view taken by the andhra pradesh high court on the scope of section 80p: of the income-tax act which had replaced section 81 of the income-tax act, fully supports the view we have already expressed on the "income exemption" of profits and gains of a business of a co-operative society as envisaged under section 81 of the income-tax act read in conjunction with sections 66 and 110 thereof.it is, therefore, evident that the issue relating to deduction under section 80p is also covered by the aforementioned decision of the hon'ble ..... also invited our attention to the return of income to support his contention with particular reference to sl.nos. ..... investment" means, in common parlance, putting out money on interest, either by way of loan, or by purchase of income producing property....it is thus evident that on the basis of the decision of the hon'ble supreme court, the advances made by the assessee to the member cooperative societies for the purpose of procurement of milk etc. .....

Commissioner of Income-tax Vs. Suraj Parkash Gupta

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (1998)65ITD8(Chd.)

..... opinion between the members constituting the division bench, the following point of difference has been referred to me as a third member by the hon'ble president under section 255(4) of the income-tax act, 1961 :- "whether, on the facts and in the circumstances of the case, the questions as mentioned below were referable questions of law or not :- ..... statement at pages 137 to 151 of the paper-book explaining the amount raised as loan and their subsequent utilisation as circulating capital in various concerns in which the assessee is interested as a proprietor or partner and further utilisation for returning earlier loans raised for the purpose of business. ..... assessment year 1990-91 in an order passed under section 143(3) on account of interest paid on borrowings utilised for the purpose of business ..... from the above it is clear that the deletion of interest disallowed by the revenue authorities is on the basis of finding of facts that borrowings were used for the purpose of business and there was no finding by the assessing officer or the cit (appeals) ..... no.29 of 1997 on the ground that the penalty under section 271(1)(c) would meet the same fate as it is consequential to the decision in the quantum proceedings deleting the addition ..... the goods of mohan meakins and hamira in preference to the goods manufactured by khasa, khode, mcdowell, shaw wallace, etc. ..... in that year who were selling goods of other manufacturers like khode, mcdowell, shaw wallace, harburton, khasa distilleries, etc. .....

Bhagyoday Investments Pvt. Ltd. Vs. A.C.G.T. [Alongwith G.T.A. Nos.

Court : Income Tax Appellate Tribunal ITAT Chandigarh

Reported in : (2004)84TTJ(Chd.)309

..... sub-section (xii) of section 2 of the gift-tax act defines "gift" as under: "(xii) "gift" means the transfer by one person to another of any existing movable or immovable property made voluntarily and without consideration in money or money's worth, and includes the transfer or conversion of any property referred to in section 4, deemed to be a gift under that section.sub-section (xxii) of section 2 of the gift-tax tax defines "property" as under: "(xxii)- "property" includes any interest in property, movable or immovable. ..... the basis of working the fair market value of the assets and the book value is the respective balance sheets and the value shown in the wealth tax returns, no specific arguments have been addressed before the bench to challenge such value. ..... we have also noted that market value of these assets was taken as per value shown in the respective balance-sheets and as declared in the wealth tax returns for the assessment year 92-93. ..... ltd, filed the return of gift tax declaring therein taxable gift of rs. ..... however, in all the remaining cases, returns of gift were filed declaring therein taxable gift at nil. ..... in their profit sharing ratio, he also found that the book value of the assets was much less than the market value of assets owned by the firm.the market value was taken as per wealth tax returns. ..... 25,000 in the return. .....