Legal Landmarks

1. VOLUME NO.: LLAT/784 OF 2016-17 DATE: 23 June 2014
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
Dear Client,
We have pleasure in listing below some of the recent legal landmarks.
SrNo Authority Section/Rules RATIO(S)
Citation /Subject CASE(NAME OF ASSESSEE)
1.1 SC 115-O 115P 263 ITA
Where A paid dividend distribution tax on dividend declared in AGM A could not be
held liable under section 115-O.
1.2 54TM135 Tax on distributed profits
BMW Industries Ltd
2.1 PUN ITAT 92C ITA
Company which earned profit in one of last three years could not be considered as
loss making entity so as to exclude same from comparability analysis as persistent
loss making means continuous loss making for more than 3 years .
2.2 63TM339 Transfer Pricing
Bobst India (P.) Ltd
3.1 BOM HC 4 ITA
Tenancy of rental premises belonged to individual partners and not to assessee-firm
and consideration was received by partners in individual capacity addition made in
income of assessee-firm was not justified.
3.2 55TM422 Chargeability
Bombay Electric Laundry
4.1 DEL ITAT 271(1)(c) 92C ITA
Penalty could not have been imposed simply because transfer pricing addition was
accepted by A.
4.2 67TM288 Penalty
Boston Scientific India (P.) Ltd
5.1 DEL HC 4 ITA
Entertainment tax subsidy would be considered as capital receipt even though the
source was the public who visit the cinema hall after it becomes operational.
5.2 ITA No 586_2013 Chargeability
Bougainvillea Multiplex Entertainment
6.1 BOM HC 37(1) 263 ITA
Since amount paid by A to buy-back shares of one group of shareholders was only
for purpose of ensuring that it could run its business smoothly and more profitably
therefore the amount was allowable as revenue expenditure.
6.2 63TM013 Deduction
Bramha Bazar Hotels Ltd