An award couldn’t be set aside merely on ground of non-existence of arbitration clause in agreement : HC

COMPANY LAW/ARBITRATION ACT : Where plea of appellant about non-existence of arbitration clause in agreement between parties, had not been accepted by Court in application under section 11(6), impugned arbitral award could not be set aside on ground of non-existence of arbitration clause in agreement between parties

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195640/an-award-couldn’t-be-set-aside-merely-on-ground-of-non-existence-of-arbitration-clause-in-agreement-hc.aspx

SLP granted against ruling that proviso to Sec. 194A(1) is restricted to individual/HUF having specified turnover

INCOME TAX : SLP granted against High Court ruling that benefit of exclusion from purview of section 194A is restricted only to those individuals and Hindu Undivided families whose total sales, gross receipts or turnover from business or profession do not exceed monetary limit specified under section 44AB(a) or (b)

from www.taxmann.com Latest Case Laws https://ift.tt/3oIo8aR

SLP granted against ruling that proviso to Sec. 194(1) is restricted to individual/HUF having specified turnover

INCOME TAX : SLP granted against High Court ruling that benefit of exclusion from purview of section 194A is restricted only to those individuals and Hindu Undivided families whose total sales, gross receipts or turnover from business or profession do not exceed monetary limit specified under section 44AB(a) or (b)

from www.taxmann.com Latest Case Laws https://ift.tt/3mENQv4

Medallion is also classified as pendant; Sec. 10AA exemption could not be denied to jewellery manufacture

INCOME TAX : A medallion is also classifiable as a pendant; therefore, assessee could not be denied exemption under section 10AA on ground that it had violated approval granted by Development Commissioner, Special Economic Zone for manufacturing gold pendants by saying that product manufactured by assessee was described as medallion

from www.taxmann.com Latest Case Laws https://ift.tt/34NNa0F

Commission paid to non-resident agents not having any PE in India not taxable in India

INTERNATIONAL TAXATION : Where non-resident agents had rendered their services outside India and all agents had overseas offices and they were not having any permanent establishment in India, commission paid to them was not liable to tax in India

from www.taxmann.com Latest Case Laws https://ift.tt/37XWwZq

Income arising to Co. by reversing entries of stock option given to employees eligible for Sec. 10A/10B exemption

INCOME TAX : Income brought to tax under section 41(1) by reversal of entry with regard to stock option scheme given to employees was also in nature of 'export income' for purpose of exemption/deduction under section 10A/10B

from www.taxmann.com Latest Case Laws https://ift.tt/2HODNVu

Notification No. 88/2020 [F. No. 370142/35/2020-TPL] / SO 3906(E)

Publish Date : Thursday, October 29, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/3jDOCH3

Levy of license fees under GPMC Act for advertising hoardings in pvt. properties is constitutionally valid: Guj. HC

GST/EXCISE/ST/VAT : Section 386(2) of Gujarat Provincial Municipal Corporation Act,1949 provides for levy of license fees for license to place advertising hoardings in private properties and sanction of Corporation is subject to control of State Government; such levy of fees is constitutionally valid

from www.taxmann.com Latest Case Laws https://ift.tt/37WtqKa

Loss from investment made in subsidiary for enhancement of business activities in global market is allowable

INCOME TAX : Where assessee-company made investment in its wholly owned subsidiary outside India for business purpose i.e for enhancement of its business activity in global market, however, said subsidiary could not perform upto company's expectations and same was wound up, loss arising from investment made in subsidiary was to be allowed as business loss of assessee

from www.taxmann.com Latest Case Laws https://ift.tt/2HKDVVK

Sec. 80-IB restricting usage for a commercial purpose applicable block-wise if every block has separate approval

INCOME TAX : Where assessee had taken a separate approval in respect of each block and thereby complied with requirement of commercial area in a project not exceeding 5 per cent of built up area, it would be entitled to deduction under section 80-IB

from www.taxmann.com Latest Case Laws https://ift.tt/3oG0wnq

No additions based on seizure of loosed sheet where no unaccounted cash was found to be paid by buyer

INCOME TAX : Where no unaccounted cash was found to be paid by buyer to seller in respect of sale-purchase of land and addition made on account of on-money transaction in hands of buyer and seller was also deleted, addition made in hands of assessee-broker was to be deleted

from www.taxmann.com Latest Case Laws https://ift.tt/3eazorK

ITC cannot be disallowed to purchaser if seller has collected tax but not paid to Govt.

GST/EXCISE/ST/VAT : Input tax credit cannot be disallowed on ground that seller has not paid tax to Government, when purchaser is able to prove that seller has collected tax and issued invoices to purchaser

from www.taxmann.com Latest Case Laws https://ift.tt/3myytV5

​Equalisation Levy (Amendment) Rules, 2020​

Publish Date : Wednesday, October 28, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/2HJW9ag

Notification No. 86/2020 [F. No. 285/09/2018-IT(Inv.V) CBDT] / SO 3854(E)

Publish Date : Wednesday, October 28, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/37SplX6

Conversion of survey into search & seizure without recording any recording satisfaction is bad in law; SLP dismissed

INCOME TAX : SLP dismissed against High Court ruling that survey at residential premises of assessee could not have been converted into search and seizure without tax authorities recording that assessee had failed to co-operate or there was a suspicion that income was concealed by assessee warranting resort to process of search and seizure

from www.taxmann.com Latest Case Laws https://ift.tt/2G9orKt

Loss of 100% export oriented units can be set off against profit of other units under same head

INCOME TAX : Loss sustained by assessee-company from its hundred per cent export oriented unit (EOU) which was entitled to exemption under section 10B could be set-off against profit of its other units under same head of income

from www.taxmann.com Latest Case Laws https://ift.tt/2TMYkwl

President gives his assent to Ordinance for setting up of Commission to check air pollution in Delhi

The Ministry of Law and Justice has come up with ordinance which deals with air pollution in Delhi-NCR and adjoining area. The main objective of the Ordinance is to form a Commission for air quality management for better co-ordination, research, identification and resolution problems surrounding the air quality matters.

from taxmann.com News https://ift.tt/3jIkf1T

Mere non acceptance of assessee’s stand by AO wouldn’t permit revenue to levy penalty; SLP dismissed

INCOME TAX : Where during assessment proceedings assessee had made full representation why according to his belief, receipt on sale of leasehold right was not chargeable to tax and High Court upheld order of Tribunal setting aside penalty order, SLP filed was to be dismissed

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000192956/mere-non-acceptance-of-assessee’s-stand-by-ao-wouldn’t-permit-revenue-to-levy-penalty-slp-dismissed.aspx

Ministry of Law and Justice issues ordinance to deal with air pollution in Delhi-NCR region

The Ministry of Law and Justice has come up with ordinance which deals with air pollution in Delhi-NCR and adjoining area. The main objective of the Ordinance is to form a Commission for air quality management for better co-ordination, research, identification and resolution problems surrounding the air quality matters.

from taxmann.com News https://ift.tt/3mwCglJ

Provision of sec. 139(5) allowing revision of belated ITR not applicable with retrospective effect

INCOME TAX : Substitution of sub-section (5) of section 139 vide Finance Act, 2016 which came into force from 1-4-2017 is prospective in nature

from www.taxmann.com Latest Case Laws https://ift.tt/2HJpYY6

Petitioner entitled to avail benefit of Sabka Vishwas Scheme even if penalty amt. is not mentioned in Form SVLRS-1

GST/EXCISE/ST/VAT : Inadvertent Mistake made by petitioner by not mentioning about penalty imposed upon them in Form SVLDRS-1 would not dis-entitle petitioner from availing benefits under Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019

from www.taxmann.com Latest Case Laws https://ift.tt/35NihbX

Ministry of Commerce and Industry issues Consolidated FDI Policy, 2020

In order to attract and promote FDI in order to supplement domestic capital, technology and skills for accelerated economic growth and development, the Department for Promotion of Industry and Internal Trade has issued consolidated FDI policy, 2020 which is effected with effect from October 15, 2020.

from taxmann.com News https://ift.tt/3e4lyHh

Key takeaways from guidelines on RBI’s interest waiver scheme; know how this scheme would benefit bo

The much awaited interest waiver scheme has now been announced by the Government of India. The main motto of the scheme is to provide ex-gratia payment of the difference between compound interest and simple interest by way of relief for a period from 1.3.2020 to 31.8.2020. The scheme will waive plausible levies of interest on interest against loans amount taken upto a limit of Rs. 2 crore.

from taxmann.com News https://www.taxmann.com/topstories/222330000000021018/key-takeaways-from-guidelines-on-rbi’s-interest-waiver-scheme-know-how-this-scheme-would-benefit-borrowers.aspx

Interference by HC wasn’t called for when creditor followed due procedure to initiate proceedings under SARFAESI

FEMA, BANKING & INSURANCE : Where appellant, secured creditor had complied with procedure prescribed under SARFAESI Act before initiating proceedings under SARFAESI Act and calling upon respondents to pay outstanding dues and respondent borrowers were unable to justify error in procedure being followed by appellant, no interference by High Court in its limited scope of judicial review was called for

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196641/interference-by-hc-wasn’t-called-for-when-creditor-followed-due-procedure-to-initiate-proceedings-under-sarfaesi.aspx

IFCSA authority board approves ‘bullion exchange and Global-in house centers’ regulations

The board of the International Financial Services Centres Authority (IFSCA) has approved draft bullion exchange Global-in house center regulations, paving the way for setting up the entire ecosystem for bullion trading, including bullion exchange, depository, clearing house and vaults.

from taxmann.com News https://www.taxmann.com/topstories/222330000000021020/ifcsa-authority-board-approves-‘bullion-exchange-and-global-in-house-centers’-regulations.aspx

Clarifications in respect of the Direct Tax Vivad se Vishwas Act, 2020

Publish Date : Wednesday, October 28, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/3mu0vkt

Notification No. 85/2020 [F. No. IT(A)/1/2020-TPL] / SO 3847(E)

Publish Date : Tuesday, October 27, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/2G5NI8l

No. Sec. 263 revision if no material was produced to support finding that assessee was used as device to divert profit

INCOME TAX : Where there was no material to support finding of Commissioner that assessee-firm was used as a device to divert excess profit to sons of partners of assessee, Commissioner erred in revising assessment order on issue of deduction under section 80-IB

from www.taxmann.com Latest Case Laws https://ift.tt/37JHGpr

Exp. incurred on a project which was never put to use & subsequently abandoned to be treated as revenue in nature

INCOME TAX : Where assessee was developing a new software platform but such new platform was abandoned during subsequent financial year due to rapid change in technology, expenditure incurred by assessee could not be treated as capital expenditure incurred for development of a new product giving enduring benefit to assessee

from www.taxmann.com Latest Case Laws https://ift.tt/3jBA62u

Govt. extends the due-date for payment under Vivad Se Vishwas Scheme (without any additional charges

The Central Government has extended the due date for filing a declaration to opt for Vivad Se Vishwas Scheme to 31-12-2020. Further, where tax payment is made on or before 31-03-2021, no additional charges shall be levied. However, where payment is made on or after 01-04-2021, additional charges as specified under section 3 of the Direct Tax Vivad se Vishwas Act, 2020 shall be levied.

from taxmann.com News https://ift.tt/34xiIrc

Key takeaways from guidelines of interest waiver on loans up to 2 Cr. under RBI moratorium scheme

The much awaited interest waiver scheme has now been announced by the Government of India. The main motto of the scheme is to provide ex-gratia payment of the difference between compound interest and simple interest by way of relief for a period from 1.3.2020 to 31.8.2020. The scheme will waive plausible levies of interest on interest against loans amount taken upto a limit of Rs. 2 crore.

from taxmann.com News https://ift.tt/3moZWII

Mutual fund Co. deciding to wind up Mutual fund schemes should obtain consent of unit-holders

SEBI: Where Mutual fund company decided to wind up mutual fund schemes, it had to obtain consent of unit-holders/investors of said schemes which would be by a simple majority

from taxmann.com News https://ift.tt/35KbwHU

Trust registration to be denied only in case assessee failed to fulfil requirements mentioned in Sec. 12AA

INCOME TAX : Application for registration under section 12A, read with section 12AA could not be rejected on grounds that assessee had not deducted tax at source from salary of staff or assessee paid salary to staff partly in cash and partly by cheque and that application filed by assessee for registration under section 12A, read with section 12AA was a change of mind because for three preceding years before that, assessee had filed return as a purely business entity

from www.taxmann.com Latest Case Laws https://ift.tt/2TtbwGj

Plaintiff's claim of beneficial interest in co. was unsustainable as he failed to submit any proof

COMPANY LAW : Where plaintiff made declaration with respect to beneficial interest in some companies, but he could not submit any proof and further concerned companies had also not filed any return with ROC with regard to declaration claimed to have been made by plaintiff, claim of beneficial interest by plaintiff would be unsustainable

from www.taxmann.com Latest Case Laws https://ift.tt/3mp8QpE

Bombay HC denied condonation of delay of 3389 days in filing appeal before ITAT in absence of strong reasons

INCOME TAX : Delay of 3389 days in filing appeal before Tribunal could not condoned when no sufficient cause was shown by assessee

from www.taxmann.com Latest Case Laws https://ift.tt/2Tzs7rT

ITAT could have condoned delay where affidavit explaining reason for delay was annexed therein; matter remanded

INCOME TAX : Where assessee waited for passing of penalty order for which direction was given by Commissioner under section 263 and when such penalty order was passed assessee filed an appeal before Tribunal and in that process, delay occurred, Tribunal could have condoned delay if reason for delay supported by an affidavit was made out by assessee before it; thus, matter was to be remanded back to Tribunal

from www.taxmann.com Latest Case Laws https://ift.tt/35DX0RS

Approval u/s 10(17A) doesn’t connote a paper conveying approval and bearing stamp & seal of CG

INCOME TAX : Reference to 'approval' in section 10(17A) does not only connote a paper conveying approval and bearing stamp and seal of Central Government but any material available in public domain indicating recognition for such services, rendered in public interest

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195992/approval-us-1017a-doesn’t-connote-a-paper-conveying-approval-and-bearing-stamp-seal-of-cg.aspx

Apex Court grants relief to Amazon, Flipkart against CCI’s plea for removal of stay on probe

The Apex Court has dismissed the CCI's plea against Karnataka HC order staying CCI's direction to investigate into alleged anti-competitive conduct by Amazon, Flipkart. The Apex Court has also remanded the matter to Karnataka HC and directed it to adjudicate on the issue in 6 weeks.

from taxmann.com News https://www.taxmann.com/topstories/222330000000021015/apex-court-grants-relief-to-amazon-flipkart-against-cci’s-plea-for-removal-of-stay-on-probe.aspx

Sec. 12AA registration couldn't be denied on ground that part of salary was paid to staff in cash

INCOME TAX : Application for registration under section 12A, read with section 12AA could not be rejected on grounds that assessee had not deducted tax at source from salary of staff or assessee paid salary to staff partly in cash and partly by cheque and that application filed by assessee for registration under section 12A, read with section 12AA was a change of mind because for three preceding years before that, assessee had filed return as a purely business entity

from www.taxmann.com Latest Case Laws https://ift.tt/34u2QWD

ITAT remanded matter to examine additional evidence filed by assessee to substantiate her claim of sec. 54 exemption

INCOME TAX: Where Assessing Officer denied section 54 deduction to assessee on ground that assessee had not deposited unutilized capital gain in a specified bank account within due date for filing return of income as contemplated under section 54(2) and assessee sought to file additional evidence to show that within a period of 3 years from date of transfer of capital asset, it had put up construction of residential house and, therefore, requirement of deposit of unutilized capital gain in a spe

from www.taxmann.com Latest Case Laws https://ift.tt/37H2UUT

CIT isn't empowered to verify genuineness of trust activities while granting Sec. 12AA registration

INCOME TAX : Verification of genuineness of activity is not condition precedent for granting registration under section 12AA

from www.taxmann.com Latest Case Laws https://ift.tt/3osVeM0

CBDT extends due date for furnishing of Tax Audit Report & ITR for AY 2020-21

The CBDT has extended due dates for furnishing tax audit report and filing of Income-tax Return for the Assessment Year 2020-21. The new due date for furnishing of tax audit report is 31-12-2020. The due date for filing of ITR is 31-01-2021 in case where taxpayer is required to get books of account audited or furnish report in respect of international/specified domestic transactions and 31-12-2020 in all other cases.

from taxmann.com News https://ift.tt/3dVbArQ

​Income-tax (23rd Amendment) Rules, 2020​

Publish Date : Thursday, October 22, 2020

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Taxmann and AIFTP publish FAQS and Survey results on Faceless Assessment Scheme

The Hon’ble CBDT Chairman Shri PC. Mody launches e-Book for the taxpayers and tax professionals. This e-book comprehensively highlights the important finest points of the new faceless assessment scheme in the form of FAQs and also share the insightful results of the Survey on FAS.

from taxmann.com News https://ift.tt/2IZzyH2

Interest on borrowing could not be included in cost of inventory: ITAT

INCOME TAX : Valuation of inventory should be in accordance with method of accounting regularly employed by assessee and is to be further adjusted to include amount of any tax, duty, cess or fee actually paid or incurred by assessee to bring goods to place of its location and hence, there is no such provision in this section to include interest cost in value of inventory

from www.taxmann.com Latest Case Laws https://ift.tt/3kAuir2

Accumulation of 15% of income u/s 11 couldn't be regarded as obligation envisaged in law

INCOME TAX : Where a trust has incurred shortfall due to its excess spending on objects of trust in a particular year, such deficit or shortfall could be allowed to be carried forward in full for set off against incomes generated in subsequent years

from www.taxmann.com Latest Case Laws https://ift.tt/37AC5Sq

HC issued notice to Additional Solicitor General as constitutional validity of e-filing of ITR is challenged

INCOME TAX : Where assessee filed a writ petition on ground that rule 12 requiring assessee to mandatorily file e-return of income for assessment year 2019-20 when same was not possible for assessee for reason beyond its control, was ultra vires to provisions of Act as well as Constitution and, hence, same was void, notice was to be issued to Additional Solicitor General of India

from www.taxmann.com Latest Case Laws https://ift.tt/35nT33u

SDV or FMV of flat is to be considered on date of booking of flat if same was acknowledged in sale agreement

INCOME TAX : Where assessee entered into agreement for purchase of flat and had made certain payment at time of booking of flat, stamp duty valuation or fair market value of immovable property was to be considered as on date of payment made by assessee towards booking of flat

from www.taxmann.com Latest Case Laws https://ift.tt/37yGcyj

No section 40A(9) disallowance if amount paid was for welfare of employees : ITAT

INCOME TAX : Where tax effect in appeal of revenue was below Rs. 50 lakhs, appeal was not maintainable because of low tax effect as per latest instructions of CBDT

from www.taxmann.com Latest Case Laws https://ift.tt/35t8Hui

CBDT releases instructions for filing of ITR Forms for AY 2020-21

The Central Board of Direct Taxes (CBDT) has released instructions for filing of Income-tax Return Forms. These instructions are guidelines to help the taxpayers for filling the particulars in Income-tax Return Form 1 to 7 for the Assessment Year 2020-21.

from taxmann.com News https://ift.tt/2HhRlJ7

No infirmity in ITAT's order allowing assessee to cross-examine person : Madras HC

INCOME TAX : Where assessee challenged impugned addition under section 68 on ground that she was not given an opportunity of cross examination of 'S' and Tribunal remanded matter to Commissioner (Appeals) to allow assessee to cross examine 'S', there was no infirmity in Tribunal's order

from www.taxmann.com Latest Case Laws https://ift.tt/35jzrO8

IFSCA prescribes regulatory framework for REITs and InvITs in IFSC

The International Financial Services Centres Authority (IFSCA), with an objective to develop the financial products and services in the Gujarat International Finance Tec-City International Financial Services Centre (GIFT IFSC) has prescribed the regulatory framework for Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) in IFSC.

from taxmann.com News https://ift.tt/35hgH1C

Sec. 69B addition to be quashed if it was made on finding of Excise Dept. which was later set aside by CESTAT

INCOME TAX : Where Assessing Officer made addition made on account of undisclosed investment in stock and profit on sales of undisclosed stock on basis of findings of search conducted by DGCEI which was duly approved by Commissioner Central Excise, since CESTAT had set aside whole demand raised against assessee, findings of Assessing Officer would not survive and, thus, impugned addition was to be deleted

from www.taxmann.com Latest Case Laws https://ift.tt/35qruqc

Functioning of SEBI will be hampered if exercise of its powers are preceded by mandatory personal hearing: HC

SEBI : There is no duty on SEBI while considering an exemption application under Regulation 29 of Securities and Exchange Board of India (Share Based Employee Benefits) Regulations, 2014, to give a personal hearing to applicant company

from www.taxmann.com Latest Case Laws https://ift.tt/31qjxjS

Interest received in advance on discounting of bills against LC is taxable on accrual basis: Madras HC

INCOME TAX : Income received in advance in nature of interest income on discounting of bills against letter of credit is to be subjected to taxation on accrual basis and not on receipt basis as per mercantile system of accounting

from www.taxmann.com Latest Case Laws https://ift.tt/3obCSPf

Accumulation of Income upto 15% is to be allowed on gross receipts without deducting any exp.

INCOME TAX: 15 per cent accumulation for application in future has to be calculated on gross receipt and not on net receipt after deduction of revenue expenditure

from www.taxmann.com Latest Case Laws https://ift.tt/31txflY

ITAT erred in dismissing appeal on account of low tax effect as assessee's case fall within exception : Madras HC

INCOME TAX : Revenue's appeal could not be dismissed on account and matter under exception stated in para 10(c) of circular no. 3 of 2018, dated 11-7-2018 tax effect when an audit objection was raised by department

from www.taxmann.com Latest Case Laws https://ift.tt/3obikGN

HC remanded matter back for fresh consideration on issue related to allowability of interest paid on loans

INCOME TAX : Where assessee claimed deduction under section 57(iii) on interest paid on loans taken by it from its relatives, since assessee had specifically stated that loans were availed through proper banking channels and interest amounts were paid to lenders, who had disclosed same in their respective return of income and tax was remitted by them on interest income, revenue was unjustified in disallowing assessee's claim for deduction under section 57(iii) in respect of interest paid and, th

from www.taxmann.com Latest Case Laws https://ift.tt/3o7VCPN

TPAs are liable to deduct TDS u/s 194J while making payment to hospitals on behalf of insurance Co.

INCOME TAX : Third Party Administrator (TPA), who was responsible for making payment to hospitals for rendering services on medical/health insurance policies issued by insurance companies was liable to deduct tax at source under section 194J from payments made to hospitals

from www.taxmann.com Latest Case Laws https://ift.tt/37n2keM

Now student can register for foundation course after passing class 10th; ICAI amends regulations

The Institute of Chartered Accountants of India (ICAI) has notified the Chartered Accountants (Amendment) Regulations, 2020 wherein it has amended regulations 25E, 25F & 28F. Regulation 25E has been amended to provide that a candidate can register himself for foundation course after passing class 10th examination.

from taxmann.com News https://ift.tt/37pPYmi

STT deducted but not paid couldn't be allowed as deduction by virtue of section 43B

INCOME TAX : Even where mercantile system of accounting was adopted, deduction of STT would not be allowed unless STT amount was deposited with authorities

from www.taxmann.com Latest Case Laws https://ift.tt/31qu7r3

Notification No. 83/2020 [F.No.500/1/2014-APA-II] / SO 3660(E)

Publish Date : Monday, October 19, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/35bgoW1

Petition to condone delay against delisting order was to be rejected as there was no credible reason for delay: SAT

Company Law : Where BSE passed order for delisting securities of appellant company and appeal against said order had been filed after delay of 428 days along with miscellaneous application seeking condonation of delay, however, no credible reason had been given in said miscellaneous application for delay in filing appeal, said miscellaneous application seeking condonation of delay was to be rejected and consequently, appeal against order of BSE was to be dismissed

from www.taxmann.com Latest Case Laws https://ift.tt/349tMun

SAT upholds penalty imposed on promoter and others for price manipulation and synchronized trades

COMPANY LAW : Where pursuant to investigation into trading in scrip of RFL it was found that 23 connected and related entities entered into synchronised, reversal and self-trades and, appellant-promoter and rest of his related appellants were involved in manipulation of share price and SEBI directed appellants to pay a penalty for violation of the PFUTP Regulations, it was held that there was a price manipulation, volume manipulation by synchronized trades, reversal trades, self-trades, LTP cont

from www.taxmann.com Latest Case Laws https://ift.tt/3lXXtEU

Dep. on admission fees and processing charges paid towards membership of stock exchange is allowable: ITAT

INCOME TAX : Membership in stock exchange by assessee creates intangible right in its favour, hence depreciation is to be granted towards admission fees and processing charges paid for said membership

from www.taxmann.com Latest Case Laws https://ift.tt/37ltcf2

No disallowance of interest paid on loans taken from relatives if they duly disclosed interest income in their ITR

INCOME TAX : Where assessee claimed deduction under section 57(iii) on interest paid on loans taken by it from its relatives, since assessee had specifically stated that loans were availed through proper banking channels and interest amounts were paid to lenders, who had disclosed same in their respective return of income and tax was remitted by them on interest income, revenue was unjustified in disallowing assessee's claim for deduction under section 57(iii) in respect of interest paid and, th

from www.taxmann.com Latest Case Laws https://ift.tt/2FFSlFW

Madras HC remanded matter as ITAT didn't adjudicate issue of assumption of jurisdiction by AO u/s 147

INCOME TAX : Where assessee challenged reopening of assessment by Assessing Officer and Tribunal did not render any specific finding on assumption of jurisdiction by Assessing Officer, Tribunal ought to have adjudicated grounds raised by assessee, that is, whether reopening was valid in law and, thus, matter was remitted back to Tribunal

from www.taxmann.com Latest Case Laws https://ift.tt/3m4Bmgd

No prosecution for wilful attempt to evade tax if assessee couldn’t furnish ITR due to seizure of books of account

INCOME TAX : Where in search conducted under section 132 department had seized relevant books of account, and as such, assessee could not file return of income on time, assessee had no wilful intention to evade tax and since it had paid entire tax amount, offence under section 276(c)(2) was not at all attracted

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195620/no-prosecution-for-wilful-attempt-to-evade-tax-if-assessee-couldn’t-furnish-itr-due-to-seizure-of-books-of-account.aspx

Discretionary hearing opportunity under ‘Faceless Appeal Scheme’ challenged before Delhi HC

A writ petition has been filed before the Delhi High Court with a pray to declare that Faceless Appeal Scheme, 2020 is discriminatory, arbitrary and illegal to the extent it provides discretionary hearing opportunity. It was claimed that the right of being heard, even through the videoconferencing mode is subject to the approval of the Chief Commissioner/Director General and thus same is discretionary.

from taxmann.com News https://www.taxmann.com/topstories/222330000000021001/discretionary-hearing-opportunity-under-‘faceless-appeal-scheme’-challenged-before-delhi-hc.aspx

Restraining trader from accessing securities market for 6 months was unwarranted as he had no link with buyer

SEBI : Investigation by SEBI revealed that appellant, trader and investor in capital market traded in scrip's of company 'AVIL' which led to positive contribution to last traded price of scrip's, which was manipulative and fraudulent and violative of regulations 3 and 4 - SEBI thus, passed order restraining appellant from accessing securities market for a period of six months

from www.taxmann.com Latest Case Laws https://ift.tt/354nADu

HC upholds RoC’s decision to include director in defaulters’ list; refers division bench for conflicting views

COMPANY LAW : Where defaulting company was in default in filing annual returns for continuous three financial years commencing from 1-4-2014 till 31-3-2017 and petitioner-director assailed action of Registrar of Companies in including petitioner in list of Directors of Companies who had defaulted in filing Annual Returns, it was held that petitioner stood disqualified to be a director by operation of provisions of Section 164(2)(a) for failure of defaulting company to file financial statements a

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196446/hc-upholds-roc’s-decision-to-include-director-in-defaulters’-list-refers-division-bench-for-conflicting-views.aspx

AO cannot adopt NAV method to determine value of shares of a company if assessee used DCF method for the same

INCOME TAX : Assessing Officer should scrutinize valuation report prepared under DCF method and if necessary, he can carry out fresh valuation either by himself or by calling a final determination from an independent valuer to confront assessee; he cannot change method of valuation and he has to follow DCF method only

from www.taxmann.com Latest Case Laws https://ift.tt/3dy4Gsr

HC dismissed writ as assessee had alternative remedy of filing appeal before ITAT

INCOME TAX : Where writ petition filed by assessee against order of TPO passed in consequence of directions given by DRP was dismissed as premature on ground that there is an appeal remedy available to assessee before Tribunal, said order could not be interfered with and assessee is free to raise all objections before Assessing Officer and then before Tribunal in manner provided under law

from www.taxmann.com Latest Case Laws https://ift.tt/37hiE0O

No penalty for wilful attempt to evade tax if assessee couldn’t furnish ITR due to seizure of books of account

INCOME TAX : Where in search conducted under section 132 department had seized relevant books of account, and as such, assessee could not file return of income on time, assessee had no wilful intention to evade tax and since it had paid entire tax amount, offence under section 276(c)(2) was not at all attracted

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195620/no-penalty-for-wilful-attempt-to-evade-tax-if-assessee-couldn’t-furnish-itr-due-to-seizure-of-books-of-account.aspx

CBDT issues guidelines for taking intrusive & coercive actions for recovery of taxes by AO/TRO

The CBDT has issued guidelines, for Assessing Officer or Tax Recovery Officer, who are authorized to carry out function related to recovery of arrear or current tax demand as per the provisions of Income-tax Act. The revised guidelines comes into effect from immediate effect.

from taxmann.com News https://ift.tt/3566Qvl

No penalty for wilful attempt to evade tax if assessee couldn’t furnished ITR due to seizure of books of account

INCOME TAX : Where in search conducted under section 132 department had seized relevant books of account, and as such, assessee could not file return of income on time, assessee had no wilful intention to evade tax and since it had paid entire tax amount, offence under section 276(c)(2) was not at all attracted

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195620/no-penalty-for-wilful-attempt-to-evade-tax-if-assessee-couldn’t-furnished-itr-due-to-seizure-of-books-of-account.aspx

Interest on refund computed after 01-04-1989 to be in accordance with Sec. 244A though it relates prior AYs

INCOME TAX : By Direct Tax Laws (Amendment) Act, 1987, section 244A was inserted with effect from 1-4-1989 and was made applicable for assessment year 1989-90 onwards - Hence, if interest on any excess advance tax paid in a financial year has to be computed after 1-4-1989, same has to be computed in accordance with section 244A only and assessee would be entitled to interest in terms of section 244A only

from www.taxmann.com Latest Case Laws https://ift.tt/3dxrcBt

No case of anti-competitive practice made out against OP as informant failed to prove alleged cartelization

COMPETITION ACT : Where OP1 was a leading supplier of copper rods and other copper products in India and OP2 was a globally diversified and very large natural resources company, with interests in iron ore, steel, copper, aluminium, power, oil and gas and zinc-lead-silver and informant filed information against OPs alleging cartelisation in determining prices of certain copper products in India, sharing market of certain copper products by way of allocation of customers,

from www.taxmann.com Latest Case Laws https://ift.tt/3nZTBF9

ITAT remanded matter back as there was no material to substantiate that CIT(E) had conducted inquiry

INCOME TAX : Where CIT(E) had rejected application purely on ground that certain payments on account of salary, vehicle rent and house rent were made by assessee-society to specified persons in violation of section 13, since there was no material on record to suggest that CIT(E) made inquiry regarding said payments, matter be restored to file of CIT(E)

from www.taxmann.com Latest Case Laws https://ift.tt/342NQyD

No anti-competitive practice by importers in increased prices of Phenol used in laminate sheets

COMPETITION LAW : Where informant involved in manufacture of decorative laminate sheets, popularly known as Sunmica, one of whose major raw materials is Phenol filed information against OP-importers who supplied Phenol in Indian market alleging cartelization by importers in January, February and March 2016 to increase price of Phenol, it was held that high phenol prices during February-March 2016, coupled with fact that importers, trader and brokers of phenol used to meet, though purportedly inf

from www.taxmann.com Latest Case Laws https://ift.tt/3j05jMk

No Sec. 263 revision just because guide line value of property was higher than sales consideration

INCOME TAX : Where in limited scrutiny with regard to purchase of property by assessee, Assessing Officer after hearing assessee and verifying source of funds made addition but Commissioner revised said order on the ground that guideline value of said property at relevant time was higher than sale consideration reflected in registered document, since guideline value is only an indicator and same is fixed by State Government for purposes of calculating stamp duty on a deal of conveyance,

from www.taxmann.com Latest Case Laws https://ift.tt/374YoiJ

Mere adding an additional signatory to a bank account cannot be claimed to be an act of oppression

COMPAMY LAW : Appointment of an Additional Director in absence of a minority shareholder does not amount to oppression and mismanagement under Companies Act, 2013 and further merely adding an additional signatory to a bank account cannot be claimed to be an act of oppression, hence, where petitioner minority shareholder of company failed to make out case that affairs of company were conducted in a manner prejudicial or oppressive to petitioners or to company,

from www.taxmann.com Latest Case Laws https://ift.tt/2Fw93HT

No infirmity if lower authorities concurrently held that sum spent on mining lease wasn’t for acquisition of right

INCOME TAX : Where both Commissioner (Appeals) as well as Tribunal, concurrently held that material on record indicated that amount paid by assessee to mining lessees was not towards acquisition of right in mine, but was basically towards expenditure undertaken by said lessees for purpose of developments like roads and trenches, temporary huts, drilling, etc. and, thus, held that provisions of section 35E was applicable to case of assessee,

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196378/no-infirmity-if-lower-authorities-concurrently-held-that-sum-spent-on-mining-lease-wasn’t-for-acquisition-of-right.aspx

Proviso to section 50C inserted by FA, 2016 with effect from 1-4-2017 is applicable with retro effect

INCOME TAX : Amendment by insertion of proviso to section 50C(1) introduced with effect from 1-4-2017 which provides that where date of agreement, fixing amount of consideration and date of registration for transfer of capital assets are not same, value adopted or assesssed or assessable by stamp valuation authority on date of agreement may be taken for purpose of computing full value of consideration for such transfer seeks to relieve assessee from undue hardship and, thus, should be taken to b

from www.taxmann.com Latest Case Laws https://ift.tt/340dZhx

CIT(A) cannot admit additional evidences without obtaining comments from AO

INCOME TAX : Where Commissioner (Appeals) admitted additional evidences/enclosures submitted by assessee without confronting same to Assessing Officer and without obtaining comments/remand from Assessing Officer on said additional evidence and deleted an addition under section 68 made to assessee's income on basis of such evidences, impugned order of deleting addition on basis of such additional evidenced was unjustified

from www.taxmann.com Latest Case Laws https://ift.tt/2T9p21T

CIT(A) cannot admit additional evidences without obtaining comments from AO on said evidence

INCOME TAX : Where Commissioner (Appeals) admitted additional evidences/enclosures submitted by assessee without confronting same to Assessing Officer and without obtaining comments/remand from Assessing Officer on said additional evidence and deleted an addition under section 68 made to assessee's income on basis of such evidences, impugned order of deleting addition on basis of such additional evidenced was unjustified

from www.taxmann.com Latest Case Laws https://ift.tt/3lL9PjG

Benefit of Sec. 54F exemption couldn’t be denied while clubbing capital gains income of minor

INCOME TAX : Where assessee-individual, earned long term capital gain along with his minor children on sale of equity shares of a private limited company and assessee explained that said sum was invested in capital gain account scheme for availing exemption under section 54F, exemption of capital gain could not be denied to minors, which was invested in Capital Gain Accounts Scheme (CGAS)

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000194231/benefit-of-sec-54f-exemption-couldn’t-be-denied-while-clubbing-capital-gains-income-of-minor.aspx

Section 164(2) doesn’t mandate cancellation or deactivation of DIN of disqualified directors: Madras HC

COMPANY LAW : In terms of Rule 11 of Companies (Appointment and Qualifications of Directors) Rules, 2014 (AQD Rules) neither cancellation nor decativation of DIN is provided for upon disqualification under section 164(2)

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196349/section-1642-doesn’t-mandate-cancellation-or-deactivation-of-din-of-disqualified-directors-madras-hc.aspx

SC dismissed SLP against ruling denying condonation of delay as assessee failed to show any cogent reason

INCOME-TAX: Where assessee sought for condonation of delay of four and half years in filing appeal against order of Tribunal on ground of ailment of manager but High Court declined to condone delay on ground that there was nothing on record to show that manager was suffering from ailments which did not permit him to take initiative for filing of appeal, SLP against said decision was to be dismissed

from www.taxmann.com Latest Case Laws https://ift.tt/3109EsO

CG employees need to purchase items or avail services through digital mode to get LTC cash scheme

With a view to compensate and incentivize consumption by the Central Govt. employees, the Ministry of Finance has announced LTC cash scheme. Employees need to spend an amount of leave encashment and an amount of 3 times of cash equivalent of deemed fare on purchase of items/availing of services (carrying GST of 12% or more) through digital mode.

from taxmann.com News https://ift.tt/2GZe8so

Various measures including LTC cash voucher announced by FM to boost the consumer demand

FM Mrs. Nirmala Sitharaman has announced various measures to boost demand in the economy. The steps taken are majorly focused on stimulating consumer demand as well as stimulating the capital expenditure to increase the GDP

from taxmann.com News https://ift.tt/2STul53

Foreign travel exp. couldn’t be disallowed if genuineness of expenses was never in doubt before tax authorities

INCOME TAX: Where assessee was able to produce their annual report along with accounts prepared in accordance with AS-18 that there was a gradual increase in sales compared to early years by subsidiary companies in foreign country and Assessing Officer, Commissioner (Appeals) and Tribunal did not dispute genuineness, and bonafides of expenditure incurred by assessee for foreign travel, expenditure having been incurred wholly and exclusively for purpose of business would be allowable

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196311/foreign-travel-exp-couldn’t-be-disallowed-if-genuineness-of-expenses-was-never-in-doubt-before-tax-authorities.aspx

VAT Proceedings to be concluded independently without taking support of reports of Enforcement Wing/ISIC authorities

GST/EXCISE/ST/VAT : Assessing Officer should conclude assessment proceedings under Tamil Nadu Vat Act independently and not being influenced by any of reports or proposals of Enforcement wing officer /ISIC Authorities

from www.taxmann.com Latest Case Laws https://ift.tt/2SK2WCz

Trust's registration can’t be denied on mere fact that part of gross receipts not expended in accordance with objects

INCOME TAX : SLP dismissed against High Court ruling that where undisputedly 71 per cent of receipt of trust were spent in accordance with its object, merely a partial expenditure, which was for religious purposes would not make trust non-genuine

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195361/trusts-registration-can’t-be-denied-on-mere-fact-that-part-of-gross-receipts-not-expended-in-accordance-with-objects.aspx

Downgrading of credit rating by taking into account relevant rating rationales wasn't perverse or arbitrary : HC

COMPANY LAW/SEBI : Where initial rating by Credit Rating is not accepted by party, same will not be published however, once an initial credit rating is accepted and published based whereon a party seeks financial facility, during pendency of said financial facility, Credit Rating Agency is mandated to conduct periodic surveillance and even if subsequent rating opined by Credit Rating Agency during period of surveillance is not accepted by party, same will still be disseminated by press release o

from www.taxmann.com Latest Case Laws https://ift.tt/30UwiCI

Trust's registration couldn't be denied on mere fact that part of gross receipts expended in accordance with objects

INCOME TAX : SLP dismissed against High Court ruling that where undisputedly 71 per cent of receipt of trust were spent in accordance with its object, merely a partial expenditure, which was for religious purposes would not make trust non-genuine

from www.taxmann.com Latest Case Laws https://ift.tt/3jRqKAB

No deemed dividend if assessee wasn't a registered shareholder in lending Co.

INCOME TAX : Where Assessing Officer treated loan received by assessee company from another company as deemed dividend under section 2(22)(e), in view of decision in case of CIT v. T. Abdul Wahid & co., since assessee was not a shareholder in said company from it received loan, such loan amount could not be treated as deemed dividend under section 2(22)(e) in hands of assessee

from www.taxmann.com Latest Case Laws https://ift.tt/3iSo7gJ

AO cannot change valuation method adopted by assessee while determining FMV of share u/s 56

INCOME TAX : To determine fair market value of shares under section 56(2)(viib), an assessee may adopt either Net Asset Value (NAV) method or Discounted Cash Flow (DCF) method; Assessing Officer can determine a fresh valuation but cannot change method of valuation which has been opted by assessee

from www.taxmann.com Latest Case Laws https://ift.tt/33K6mvz

Trust engaged in management of liquid and solid wastes in Industrial area is eligible for Sec. 11 relief

INCOME TAX : Where assessee-trust was engaged in activity of management of liquid and solid waste in industrial area and thereby earned profit, and Assessing Officer concluded that assessee was not engaged in activities which were charitable in nature but were business activities as per section 2(15), since dominant object of assessee was preservation of environment as envisaged under section 2(15), it was carrying out charitable activities and was entitled to seek exemption under section 11

from www.taxmann.com Latest Case Laws https://ift.tt/30PsjHM

No capital gains arise on re-organization of firm if assets & liabilities were retained by firm

INCOME TAX : SLP dismissed against High Court's ruling that where assessee firm decided to reorganise its business whereby couple of partners were retired and fresh partners were inducted but assets and liabilities relating to business remained with assessee firm, it was a case of reconstitution of firm and, thus, no capital gains could be said to arise under section 45(4)

from www.taxmann.com Latest Case Laws https://ift.tt/2SFW6y8

Slump sale consideration kept in Escrow a/c taxable in year of receipt as it was subject to fulfilment of condition

INCOME TAX : Where during previous year assessee had sold its marketing division by way of slump sale but in computation of income assessee had shown part of capital gain and remaining was kept in Escrow account, and assessee explained that balance would accrue to assessee in five equal yearly instalments on fulfilment of certain obligation, but Assessing Officer brought entire amount including that kept in Escrow Account to tax as income of assessee for assessment year under consideration, Asse

from www.taxmann.com Latest Case Laws https://ift.tt/2SC4Zsz

HC remanded matter to re-examine issue of taxability of capital gains on sale of flat received as share in JDA

INCOME TAX : Assessee entered into a joint develpoment agreement with a firm for development of a property under which assessee got 60 per cent share viz 9 flats - Assessee sold such flats in 2003 - During assessment proceedings for assessment years 2003-04 and 2004-05, Tribunal held that capital gains arose to assessee on sale of flats would be taxable for relevant assessment year 2000-01 and not for assessment years 2003-04 and 2004-05 - On basis of same, a reopening notice dated 10-6-2011 was

from www.taxmann.com Latest Case Laws https://ift.tt/34DM6Lg

No sec. 153A addition in respect of completed assessment when no incriminating material was found during search

INCOME TAX : In absence of any incriminating material related to relevant assessment year found during search, assessment under section 153A could not be made for such assessment year for which assessment had been concluded on date of search and not abated

from www.taxmann.com Latest Case Laws https://ift.tt/30Mlcjb

No sec. 153A addition in respect of completed assessment when no incremental material was found during search

INCOME TAX : In absence of any incriminating material related to relevant assessment year found during search, assessment under section 153A could not be made for such assessment year for which assessment had been concluded on date of search and not abated

from www.taxmann.com Latest Case Laws https://ift.tt/2GIGsPM

Society constituted to promote handloom sector by organising exhibitions eligible for Sec. 11 exemption: ITAT

INCOME TAX : Where assessee-society had been constituted by Ministry of Textiles, Government of India to promote handloom sector by organizing exhibitions in different parts of country for display and sale of handloom fabrics/cloth manufactured by handloom weavers and handloom society and motive was to provide a platform for handloom weavers of country for marketing and displaying their products through exhibitions and activities were not for any private gain or profit and receipts were used for

from www.taxmann.com Latest Case Laws https://ift.tt/3lqG3R3

Developer cum contractor work performed assuming risk & responsibility is eligible for sec. 80-IA deduction

INCOME TAX : Contractors performing work in nature of a developer-cum-contractor and assuming risks and responsibilities shall be eligible for deduction under section 80-IA in respect of eligible infrastructural facilities

from www.taxmann.com Latest Case Laws https://ift.tt/3iHHlWb

Debenture trustee couldn’t be restrained from taking step against borrower who acknowledged default in payment

COMPANY LAW/ARBITRATION: Where petitioner had borrowed funds by issuance of secured/unsecured non-convertible debentures and later it defaulted in repayment on final redemption date of debentures and substantial part of pledged shares of petitioner were already disposed of and petitioner had acknowledged its failure to pay outstanding amounts in various communications with debenture trustee and subscribers, debenture trustee could not have been restrained from taking any steps against petitioner

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000195530/debenture-trustee-couldn’t-be-restrained-from-taking-step-against-borrower-who-acknowledged-default-in-payment.aspx

Madras HC upholds legal validity of RBI’s circular on Additional Tier 1 Capital Bond

FEMA, BANKING & INSURANCE : RBI Master Circular - Basel III Capital Regulations dated 1-7-2015 bearing RBI/2015-16/58 DBR No. BP.BC.1/21.06.201/2015-16, insofar as it relates to issuance and write off of Additional Tier 1 Capital Bonds, is not ultra-vires

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000196289/madras-hc-upholds-legal-validity-of-rbi’s-circular-on-additional-tier-1-capital-bond.aspx

AO must record non-satisfaction about suo-motu sec. 14a disallowance offered by assessee before applying Rule 8D

INCOME TAX : Disallowance of expenditure incurred to earn exempted income has to be a smaller part of such income and should have a reasonable proportion to exempted income earned by assessee in that year, which can be computed as per rule 8D only after recording satisfaction by Assessing Authority that apportionment of such disallowable expenditure under section 14A made by assessee or his claim that no expenditure was incurred is validly rejected by Assessing Authority by recording reasonable

from www.taxmann.com Latest Case Laws https://ift.tt/33CvWlY

No reassessment to make additions based on report of Enquiry Commission if ITAT had duly considered said report

INCOME TAX : Where assessee purchased 'royalty paid' iron ore from open market and exported same at arm's length price, no addition could be made on ground of under-invoicing of export on basis of some report of Enquiry Commission

from www.taxmann.com Latest Case Laws https://ift.tt/3nmM6Ia

Real Estate Appellate Tribunal directs Appellant-developer to make pre-deposit of 50% of penalty for filing appeal

COMPANY LAW : Where appellant was engaged in developing plots of land and it had entered into an agreement for allotment and sale of six plots within project, together with a constructed building, to respondent / allottee, however, possession of building was not handed over to allottee on time, thus Adjudicating Officer ordered appellant to pay compensation to allottee, in view of fact that appellant was a promoter, appellant was required to make pre-deposit of 50 per cent of penalty amount, as

from www.taxmann.com Latest Case Laws https://ift.tt/36FHiry

Interest paid on acquisition of machinery allowable if purchase didn’t amount to extension of existing business

INCOME TAX : Payment of interest on loan availed for purchase of machinery which did not amount to extension of existing business was allowed as deduction under section 36(1)(iii), even if said machinery was not put to use in year under consideration

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000193032/interest-paid-on-acquisition-of-machinery-allowable-if-purchase-didn’t-amount-to-extension-of-existing-business.aspx

CIT(A) is empowered to deal with additional grounds which weren’t raised before AO during original assessment

INCOME TAX : Commissioner (Appeals) has jurisdiction to deal with additional grounds including those which were available when original return was filed

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000193606/cita-is-empowered-to-deal-with-additional-grounds-which-weren’t-raised-before-ao-during-original-assessment.aspx

NCLT directs Co. to transfer shares to transferee as no complaint of loss of share certificate was filed

COMPANY LAW : Where petitioner's father had purchased shares of respondent company from original shareholders and respondent refused to transfer of physical shares in name of petitioner on ground of signature of transferor mismatch but notices sent to original shareholders could not be served and there was no complaint of loss of share certificate, respondent was to be directed to transfer shares in favour of petitioner

from www.taxmann.com Latest Case Laws https://ift.tt/2Gs0VbG

Special adhesive stamps expenses incurred for assignment of receivables is revenue expenditure: ITAT

INCOME TAX : Where assessee had incurred expenditure for cost of adhesive stamp in connection with conveyance deed for assignment of receivables in connection with acquisition of an industrial unit, since said assignment was for facilitating recovery of receivables by assessee, thus, same was for business of assessee, same was to be allowed as business expenditure under section 37(1)

from www.taxmann.com Latest Case Laws https://ift.tt/2SzeFUp

Petition filed u/s 463(2) to relieve petitioner from disqualification to serve on board wouldn’t be maintainable

COMPANY LAW: Petition under section 463(2), to relieve petitioner from disqualification under section 164(2)(a) would not be maintainable as disqualification had already come into operation under specific statutory provision

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000193454/petition-filed-us-4632-to-relieve-petitioner-from-disqualification-to-serve-on-board-wouldn’t-be-maintainable.aspx

Lease rent received for letting out developed space in SEZ eligible for sec. 80-IAB deduction

INCOME TAX: Benefit of deduction available under section 80-IAB could not have been denied to assessee on pretext that lease rent income had been offered for taxation under head 'Income from house property'

from www.taxmann.com Latest Case Laws https://ift.tt/3nl3JrG

Sec. 54 exemption couldn't be denied even if advance for new residential flat was paid before sale of original asset

INCOME TAX: Where advance was paid by assessee to purchase residential flat prior to sale of capital asset, such advance was to be considered as part of purchase for purpose of section 54

from www.taxmann.com Latest Case Laws https://ift.tt/2GzkE9k

HC justified Sec. 40A(3) disallowance as assessee making cash payments though despite having banking facilities

INCOME TAX : Where assessee-company made cash payments for purpose of acquiring rights to screen movies in theatres to various parties, running into lakhs of rupees, though payees were identifiable, but since inspite of availability of banking facilities, assessee had been regularly effecting cash payments, said payments were to be disallowed in terms of section 40A(3), read with rule 6DD

from www.taxmann.com Latest Case Laws https://ift.tt/2SmHu6v

Writ petition challenging order of ROC to furnish documents for investigation was rejected

CL : Where pursuant to order of NCLT Registrar of Companies had issued order requiring company of which petitioner was director to furnish copies of certain documents for purpose of investigation proposed under Section 210 and petitioner preferred appeal before NCLAT against order of NCLT, writ petition filed to quash order of Registrar of Companies was disposed of permitting petitioner to pursue all his contentions before NCLAT

from www.taxmann.com Latest Case Laws https://ift.tt/3iohFOd

B/F short-term capital loss not to be set off against exempt capital gains; ITAT allowed carry forward of losses

INCOME TAX : Where assessee an FII based in Mauritius, had claimed the short-term and long-term capital gains arising in its hands from transfer of securities in Indian market, as exempt, under Article 13 of the DTAA which was allowed accordingly, Assessing Officer erred in concluding that the short term and long term capital gains earned by the assessee from transfer of securities in India during the year under consideration were to be adjusted against the STCL brought forward by the assessee f

from www.taxmann.com Latest Case Laws https://ift.tt/30vx7Sj

SLP granted against ruling deleting Sec. 271D penalty as depositors were from rural area having no banking facilities

INCOME TAX : SLP against High Court's decision holding that where assessee-company availed cash deposits from depositors in rural areas, in view of non-availability of adequate banking facilities, section 271D penalty need not be imposed, was to be granted

from www.taxmann.com Latest Case Laws https://ift.tt/3jpHNtm

Exemption for medical allowance couldn’t be allowed if employee didn’t submit proof to incurring medical exp.

INCOME TAX : Where there was no proof of medical expenditure incurred by employees and assessee-employer also could not substantiate that employees had spent allowances received by them for intended purpose, fixed medical allowance given by employer was taxable as salary income

from www.taxmann.com Latest Case Laws https://www.taxmann.com/topstories/101010000000193667/exemption-for-medical-allowance-couldn’t-be-allowed-if-employee-didn’t-submit-proof-to-incurring-medical-exp.aspx

​Income-tax (22nd Amendment) Rules, 2020

Publish Date : Thursday, October 1, 2020

from RSS FEED for Income Tax India : Communications https://ift.tt/2EWEfzK

Independent director not willful defaulter if alleged acts occurred without his consent and knowledge: HC

COMPANY LAW : In terms of section 149(12), an independent director shall be held responsible only in respect of such acts of commission or omission by a company which occurred with his knowledge, consent or connivance

from www.taxmann.com Latest Case Laws https://ift.tt/30pWtB3

HC remanded matter to check whether conditions laid down u/s 71A satisfied to claim benefit of set off of losses

INCOME TAX : Where Tribunal allowed assessee amalgamated company to set off losses in respect of amalgamating company, since Tribunal had not adverted to fact that whether assessee company had complied with conditions laid down in section 71A(2) which were mandatory so as to enable assessee to claim benefit of set off under section 71A, matter was to be remanded

from www.taxmann.com Latest Case Laws https://ift.tt/2EOGzbU

Interest earned by co-operative society on short term deposits with banks eligible for Sec. 80P deduction

INCOME TAX : Where assessee co-operative society, engaged in providing credit facility to its members, earned interest income on deposits made with co-operative banks, since these were short-term deposits of money not required for time being, such interest earned on these deposits would fall within ambit of "profits and gains of business attributable to" providing credit facilities by assessee to its members and assessee was eligible to claim deduction on same under section 80P(2)(a)(i)

from www.taxmann.com Latest Case Laws https://ift.tt/2G7Qt9r

No prior permission from Registrar of Chits is required for amalgamation of company into business of chit funds

COMPANY LAW : Order of NCLT observing that since appellant was in business of chit funds, it required prior permission from Registrar of Chits for amalgamation was to be set aside

from www.taxmann.com Latest Case Laws https://ift.tt/3cQOm5x

HC directs banks to provide a moratorium of EMI payable by borrower company due to Covid-19 pandemic

FEMA, BANKING & INSURANCE : Where petitioner-construction company had taken term loan from respondent bank and EMI were recovered from lease rent deposited in escrow account, respondent bank was directed to provide a moratorium of EMI payable by petitioner company for period 1-3-2020 till 31-5-2020 in view of COVID-19 pandemic

from www.taxmann.com Latest Case Laws https://ift.tt/2HFuMO8

Construction of new independent building couldn't be treated as extension of existing housing project for Sec. 80-IB

INCOME TAX: Where assessee constructed residential buildings on a plot of land on basis of commencement certificate issued on 19-6-1997 and subsequently, assessee constructed another building on same plot of land pursuant to commencement certificate issued on 24-12-2003, since new project was independent from original housing project, construction was to be held started after 1-10-1998, enabling assessee for deduction under section 80-IB

from www.taxmann.com Latest Case Laws https://ift.tt/2Seh8DF

Application of oppression and mismanagement dismissed as transfer of inter se members did not require approval of Board

Company Law : Where Adjudicating Authority in impugned order had stated that neither did transfer of shares inter-se members require prior approval of Board of Directors nor option of purchase to all existing members prior to effecting such transfer was required, thus application of oppression of mismanagement of applicant was to be dismissed

from www.taxmann.com Latest Case Laws https://ift.tt/33i7Sor

Property to be treated as residential house even if possession couldn't be taken due to poor construction

INCOME TAX : Where possession of property owned by assessee was not taken by him as it was unfit for habitation, it could not be said that assessee was not owner of property

from www.taxmann.com Latest Case Laws https://ift.tt/3in93aq

Bank couldn't derive security interest against loan obtained by developer on property belonging to owner: HC

FEMA, BANKING & INSURANCE : Where developer had no right to mortgage or create charge over property belonging to petitioner-owner, bank could not derive any security interest on loan obtained by developer in respect of said property and, thus, no right could be enforced by bank on such property by taking recourse to section 13 of SARFAESI Act

from www.taxmann.com Latest Case Laws https://ift.tt/33eK1Ge

Bank couldn't derive security interest against loan obtained by developer on property belong of owner: HC

FEMA, BANKING & INSURANCE : Where developer had no right to mortgage or create charge over property belonging to petitioner-owner, bank could not derive any security interest on loan obtained by developer in respect of said property and, thus, no right could be enforced by bank on such property by taking recourse to section 13 of SARFAESI Act

from www.taxmann.com Latest Case Laws https://ift.tt/33fyB4Z