Section 54F Relief on 50 Future Flats? Hyderabad ITAT Says Yes   Taxpayers entering into Joint Development Agreements (JDAs) often face a peculiar problem. While the Income Tax Department seeks to tax capital gains immediately upon transfer of development rights, it sometimes refuses to grant Section 54F exemption on the residential flats that are yet…

No Satisfaction, No Penalty: ITAT Deletes Section 271D Penalty Despite Alleged Cash Transaction Violation Tax law is not merely about whether a violation has occurred. Equally important is whether the Income Tax Department follows the correct legal procedure before imposing a penalty. In a significant ruling, the Income Tax Appellate Tribunal (ITAT) has held that…

Can an Honest Tax Filing Mistake Attract a 200% Penalty? ITAT Ahmedabad Says No   In the era of faceless assessments and automated tax scrutiny, even a small error in an income tax return can sometimes snowball into a major dispute. But can a genuine clerical or arithmetic mistake by a tax consultant be treated…

Demonetisation Cash Deposits Cannot Be Taxed Twice: Delhi ITAT Gives Major Relief to Traders   Mere Increase in Cash Sales During Demonetisation Is Not Enough for Addition Under Section 68 The demonetisation period continues to generate tax disputes even years after the withdrawal of ₹500 and ₹1,000 currency notes. One of the most common allegations…

No Return Filed, Yet ITAT Grants Relief: Principle of Consistency Defeats Revenue’s Bid to Tax Entire Bank Deposits   When the Tax Department Itself Adopted a Method Earlier, Can It Suddenly Change Its Stand? The principle of consistency is one of the most important yet often overlooked doctrines in tax law. While each assessment year…