News
Clarification sought on Income Declaration Scheme, 2016
Read more at:VDS Vide Finance Act 2016, the Income Disclosure Scheme 2016 (IDS) has been launched for window period of 01.06.2016 to 30.09.2016. The present scheme is almost pari-materia to the earlier schemes like VDIS-1997, Amnesty Scheme-1985, VDS-1975, VDS-1965 etc., with slight changes here and there. However, the litigation arose only due to lack of clarity…
Read MoreClarification required on Dispute Resolution Scheme, 2016
Read more at: dispute resolution scheme Pending tax disputes have been one of the major concerns of the government in recent times. Considering the huge pending disputes, the government has introduced the Income Tax Dispute Resolution Scheme, 2016. This scheme can be very effectively used by a section of taxpayers and has the potential to successfully reduce…
Read MoreNon-issue of notice u/s 143(2) for assessment u/s 148 is fatal: Chd ITAT
For complete Text of Judgemnet click here sanjeev Aggarwal ITAT ORDER It was contended that the Assessing Officer has erred in framing assessment under section 147 r.w.s. 143(3) of the Act even when no notice under section 143(2) of the Act was issued and served on the assessee and, hence the assessment deserves to be…
Read MoreExorbitant Profit earned by University, exists for profit, No 10(23C) exemption
For complete Text of Judgement, click here Visveswaraiah-University-1023C-Exemption The Visvesvraya Technological University (VTU) has been constituted under the Visveswaraiah Technological University Act, 1994. It discharges functions earlier performed by the Department of Technical Education, Government of Karnataka. The University exercises control over all Government and Private Engineering Colleges within Karnataka. The University claimed exemption under…
Read MoreNon Compete Fees received shall not be liable to Capital Gains and shall not be added to the book profits : Bom HC
In a recent decision, Hon’ble Bombay High Court held that: Section 55(2)(a) of the Act would have no application in the present circumstances, as it deals with the cost of acquisition in relation to a capital asset which includes a right to manufacture or carrying on business. In the present case, the Agreement prohibits the…
Read MoreKerala HC confirms penalty u/s 271C on non-deduction of TDS on interest paid by partner to the firm.
In a decision titled CIT vs. Thomas Muthoot, ITA No. 139 OF 2013, dtd. 03/07/2015, the Hon’ble Kerala HC has confirmed the levy of penalty u/s 271C for non- deduction of TDS in respect of interest paid by partner to the firm. For complete text of judgement, click here Thomas Muthoot
Read MoreP&H HC dilutes impact of Abhishek Industries 286 ITR 1
The Hon’ble P&H in two decisions reported in July 2015 has diluted the impact of decision in case of Abhishek Industries vs. CIT 286 ITR 1 wherein the Hon’ble High Court had laid down that disallowance u/s 36(1)(iii) is warranted if interest free advance is given coupled with fact that assessee has outstanding interest bearing…
Read MoreDisallowance u/s 36(1)(iii) shall not be made if interest free loan is given to a relative out of free reserves : P&H HC
In a recent decision, Hon’ble Gujarat High Court held that: The appellant’s case is that an amount of 8.89 crores was advanced by the respondent/assessee to his son. The assessee on the other hand contends that during the AY in question 2008-2009, only about Rs. 2.14 crores was advanced by him to his son. It…
Read MoreExcess stock will fall under the definition of S. 14 of the Act and therefore entitled to set off u/s 71 : Guj HC
In a recent decision, Hon’ble Gujarat High Court held that: We are also of the opinion that the submissions made by the Ld. advocate is that the case would fall under the proviso of S. 69(c) of the act does not apply to the facts of the present case. It is not the case of…
Read MoreUnaccounted sales of the assessee have been shown as income by its sister concern : SC
In a recent decision, Hon’ble Supreme Court held that: Income from undisclosed sources – addition – unaccounted sales vis-a-vjs sales accounted for by sister concern – Partners of the assessee firm admitted excess stock in their statements recorded u/s 131 -Though the assessee explained the difference before the CIT(A) with the help of the books…
Read More