1

Commissioner (A) is not empowered to enhance income a new source of income vide 82ITR 9Trib) 176
1

It is assessee’s choice to select a method for determining FMV of shares vide 81 ITR (Trib) (SN) 78
1

No TP adjustment of trade receivables in case of a debt-free company vide 81ITR (Trib) (SN) 94
1

To accord registration as a charitable institution under income tax dominant purpose must be charitable and satisfies the conditions laid down us 2(15) vide 426ITR108 despite having non charitable ancillary objects meant to achieve the dominant purpose
1

Transactions with dubious entities is reason enough for case reopening vide 421ITR624

Disclosure methods Disclosures of important transactions in directors report and notes are good indicators to prevent AO to resort to reopening of cases after 4 years.

ByCA Gopal Nathani

Feb 9, 2022

The High Court in [2015] 4 ITR-OL 517 (Bom) in their pointer held that in this case the director’s report and which was before the AO as well has been referred to. In the director’s report, under the head “International operations”, all details as to how the acquisition was made and under what documents with all the salient features and the benefit occurring to the company have been pointed out. Reference was also made to note No. 10 in the notes forming part of the profit and loss account. It is in these circumstances that we are of the view that there is merit in submission that the reas- sessment is undertaken only on account of change of opinion.

It is always better to submit during assessment annual report , directors report , notes and any other statutory reports that highlight material transactions and agreements in the relevant year tocounter inquiry/ notice u/s 148A.