B&B Tax

Bharat Petroleum Corporation Ltd. v. Commissioner of Central Excise [2025 INSC 84] dated 20.01.2025 "32. Under the proviso to sub-section (1) of Section 11-A, an extended period of limitation can be invoked when there is a nonlevy or non-payment or short levy or short payment of the excise duty by a reason of fraud or collusion or any wilful mis-statement or suppression of facts or contravention of any of the provisions of 1944 Act or the rules made thereunder with the intent to evade payment of duty. The show cause notice referred to the statements recorded of BPCL officers and other OMCs. No detailed reasons have been recorded in support of invoking the extended period of limitation by the Commissioner in his order. The High Court, in the impugned order, has confirmed the extended period of limitation by recording the following findings in paragraph 44:  “44. On the question of time bar, we find that the show cause notice has alleged that the contents of the MOU were not brought...

Pr. CIT v. Jupiter Capital Pvt ltd [2025 INSC 38] dated 02.01.2025 Issue : Claim of capital loss : “Whether  reduction in share capital of the subsidiary company and subsequent proportionate reduction in the shareholding of the assessee will be covered within the ambit of the expression “sale, exchange or relinquishment of the asset” used in Section 2(47) the Income Tax Act ” Holding: " 12. The followi ng principles are discernible from the aforesaid decision [ Kartikeya V. Sarabhai v. CIT(1997) 7 SCC 524  ]  of this Court: a. Section 2(47) of the Income Tax Act, 1961, which is an inclusive definition, inter alia, provides that relinquishment of an asset or extinguishment of any right therein amounts to a transfer of a capital asset. While the taxpayer continues to remain a shareholder of the company even with the reduction of share capital, it could not be accepted that there was no extinguishment of any part of his right as a shareholder qua the company. b. A company u...