CIT(A) Cannot Tell AO to Reopen Another Assessment Year     Rajkot ITAT Holds Reassessment Void Ab Initio Where Reopening Was Triggered by an Appellate Direction Beyond Jurisdiction Tax litigation has an important rule: Before asking whether income is taxable, one must first ask whether the authority has jurisdiction to make the assessment. This distinction…

DVO Valuation and 10% Tolerance Band: Can the Income Tax Department Tax a Difference in Property Value after DVO report?     A difference between the actual sale consideration of an immovable property and its valuation by the Departmental Valuation Officer (DVO) does not automatically mean additional tax. Where the difference is within the permissible…

Section 87A Rebate on STCG under Section 111A – Ready-to-Use Application before the Assessing Officer   [A Practical Draft for Taxpayers and Tax Professionals] The controversy surrounding the availability of rebate under Section 87A against tax payable on Short-Term Capital Gains (STCG) chargeable under Section 111A has generated considerable discussion among taxpayers and professionals. For…

When CPC Says “NO” to Rebate under Section 87A – Nagpur ITAT Says, Yes!     A significant ruling on Section 87A rebate against Short-Term Capital Gains under Section 111A Sometimes, a tax dispute is not really about the amount involved. It is about a principle. Recently, I argued before the Nagpur Bench of the Income Tax Appellate…

Forgotten Foreign Bank Account? ₹ 5 Lakh Shares? A New Tax Window Has Opened!     A former student who returned to India years ago called me last week: “Sir, I worked in the UK back in 2015. I still have a dormant bank account there with around £ 2,000. I never reported it in…