Recent important tax caselaws / judgements

SECTION 2(15)

CHARITABLE OR RELIGIOUS PURPOSE

Land dealings : Where assessee-trust was carrying out following activities: purchase of land at nominal cost, then level and clear it, cut into plots and sell of plots at much higher prices, and charging of fees and fines, activities of assessee were not charitable in nature within meaning of proviso to section 2(15) - Improvement Trust v. Commissioner of Income-tax (2014) 41 taxmann.com 403 (Amritsar - Trib.)     SECTION 10(23C) CHARITABLE/RELIGIOUS INSTITUTIONS University not tax-exempt under Art 289(1) of the Constitution as 'State' in Art 289 doesn't include University - Visvesvaraya Technological University v. Assistant Commissioner of Income-tax (2014) 42 taxmann.com 237 (Karnataka)       SECTION 45 CAPITAL GAINS - CHARGEABLE AS Business income v. Capital gains - Share dealings : Where assessee-corporation along with private entrepreneurs made investment in shares of companies which were formed with object of promoting agro/horticulture based industry in State, income arising from subsequent sale of those shares was to be taxed as 'capital gain' and not as a 'business income' - Commissioner of Income-tax v. Punjab Agro Industries Corporation Ltd. (2014) 41 taxmann.com 328 (Punjab & Haryana)       SECTION 268A FILING AN APPEAL BY INCOME-TAX AUTHORITY Monetary limit : Appeal cannot be dismissed without considering merits of case, solely on ground of low tax effect, where notional tax effect exceeds monetary limit prescribed by Board - Commissioner of Income-tax v. Anjani Fabrics Ltd (2014) 41 taxmann.com 361 (Gujarat)    Source : Taxmann