CORPORATE AND PROFESSIONAL UPDATE DECEMBER 26, 2015 INCOME TAX ACT INCOME TAX ACT SECTION 2(15) CHARITABLE PURPOSE The object of general public utility – Banking technology service: Where assessee-society was established by RBI to provide Banking Technology services and to carry out research which was charitable in nature; merely because it had generated surplus during the …
INCOME TAX ACT – Company Taxation in India ALTERNATE MINIMUM TAX (AMT) [CHAPTER XII-BA–SECTIONS 115JC TO 115JF] SET OFF OF CREDIT OF MAT PAID UNDER SECTION 115JB [SECTION 115JAA] MINIMUM ALTERNATE TAX ON COMPANIES [SECTION 115JB] COMPUTATION OF BOOK PROFIT FOR IND-AS COMPLIANT COMPANIES DIRECT TAX LAWS Section 119 of the Income-tax Act, 1961 – …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 24, 2015 INCOME TAX ACT SECTION 4 INCOME – CHARGEABLE AS Capital receipt : In case of issue of FCCB, increase or decrease in liability on account of fluctuation in foreign exchange as on date of balance sheet would be on capital account and, therefore, any gain or loss is not …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 23, 2015 INCOME TAX ACT SECTION 2(22) DEEMED DIVIDEND Inflated Purchases : Payment of money by inflating purchases cannot be construed as loan or advance within meaning of section 2(22)(e) – [2015] 64 88 (Chennai – Trib.) Read our articles: Top Taxation Relaxation to MSMS SECTION 28(i) BUSINESS INCOME – YEAR IN WHICH …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 22, 2015 INCOME TAX ACT SECTION 9 INCOME – DEEMED TO ACCRUE OR ARISE IN INDIA Interest : Where assessee-company paid interest on FCCBs issued by it to bond-holders outside India, said income squarely fell under exclusion clause of sub-section (1)(v)(b) of section 9, and, consequently, it could not fall within …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 21, 2015 DIRECT TAXES: IT: Where Assessing Officer received information from Enforcement Directorate that in books of assessee there were huge cash deposits which were not explained, he could not reopen assessment on basis of said information alone without even examining as to whether amount in question was reflected in …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 20, 2015 TPO can reject transfer pricing study report based on multiple year data and use only current year data [ITAT Bangalore DCIT vs. M/s. Parametric Technology (India) Pvt. Ltd]. CD (compact disc) is an admissible ‘documentary evidence’-Supreme Court of India. [Shamsher Singh Verma vs. State of Haryana] CLB has …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 19, 2015 FAQ ON COMPANY LAW: Query: One of our client company appointed us as Auditors of the company at the Annual General Meeting held on 30th September, 2015. But brother of one of partner of Auditor firm has invested in the equity shares for face value of Rs. 1 lakh …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 18, 2015 ST: Whether the activity of transportation services carrying employees of companies from specific points to the factory/establishment and back can be categorized under Tour operator service – Held NO – M/s L.N. Gupta Transport Co. Vs. C. C. E., Nagpur (CESTAT Mumbai) VAT & ST: Merely because a chemical may not be …
CORPORATE AND PROFESSIONAL UPDATE DECEMBER 17, 2015 FAQ on Company Law: Query: We have incorporated a Pvt Ltd Company on 29th October 2015. But since then no Board meeting has been held regarding the appointment of First Auditors of company as well. Kindly advice in the matter. Answer: Section 139(6) of the Companies Act, 2013 lays down that …