Judgement

ITAT held that damages paid for delayed supply under contractual terms are compensatory in nature and allowable as business expenditure under Section 37.

Breach of Contract Damages Are Not Penalties, Income Tax Deduction Allowed: ITAT

ITAT upheld the CIT(A)'s findings that no additions can be made in the hands of the firms towards the capital contribution made by the partners of the firm.

No Addition Can be Made Against Firm for Capital Contributed by Partners: ITAT Upholds CIT(A)'s Ruling

The Tribunal relied on the Supreme Court's Ruling, which held that reopening cannot be based on mere suspicion or roving inquiry.

Reopening Based on "mere suspicion or roving inquiry" Invalid Under Section 147: ITAT

Articles

India’s Budget 2026 offers tax relief to foreign cloud companies using approved Indian data centres, encouraging investment.

Budget 2026 Brings Tax Relief for Foreign Cloud Companies in India

Income Tax Appellate Tribunal rules that additions under Sections 68 and 69 cannot survive when transactions are properly explained through audited books of account, statutory returns, and complete banking records

Income Tax: Section 68/69 Additions Fail When Proper Books, Returns and Bank Records Exist

The ITAT ruled that the provisional registration earlier granted should be treated as regular registration under Form10AB.

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Breach of Contract Damages Are Not Penalties, Income Tax Deduction Allowed: ITAT

No Addition Can be Made Against Firm for Capital Contributed by Partners: ITAT Upholds CIT(A)'s Ruling

Reopening Based on "mere suspicion or roving inquiry" Invalid Under Section 147: ITAT

Budget 2026 Brings Tax Relief for Foreign Cloud Companies in India

Income Tax: Section 68/69 Additions Fail When Proper Books, Returns and Bank Records Exist

ITAT Grants Relief to Old Charitable Trust on Section 12A and 80G Application Rejection