Supreme Court Constitutional Bench dismisses IT appeal - Proviso to section is prospective not retrospective
15th Sept, 2014, CIT New Delhi Vs Vatika Township Pvt. Ltd.
A five Judge Constitutional Bench of the Hon'ble Supreme Court passed a judgment answering the questions raised in reference in an income tax case and dismissed the revenue's appeals.
The question of law raised was whether the proviso appended to Section 113 of the Income Tax Act inserted in Finance Act, 2002 is prospective or it is clarificatory / curative and therefore retrospective in operation. In a extremely well reasoned judgement the Hon'ble Court has held it is prospective and deleted the surcharge. Read/Download Judgement