CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 14, 2016 INCOME TAX ACT SECTION 10(23FB) VENTURE CAPITAL FUND Claim of exemption : In terms of SEBI (Alternative Investment Funds) Regulation, 2012, ‘corpus’ means amount committed by investors and, thus, where assessee fund did not invest more than 25 per cent of amount so committed by investors in only one …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 11, 2016 DIRECT TAX: Reassessment u/s 147 not permissible merely on change of opinion –ITAT. [ACIT vs. Reliance Industrial infrastructure Ltd.(ITAT Mumbai) I.T.A. No.5872/M/2012]. Penalty under Customs can be imposed simultaneously on firm and its partners: Larger bench of HC[2016] 66 taxmann.com 49 (Bombay) Amritlakshmi Machine Works v. Commissioner of Customs (import) …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 10, 2016 DIRECT TAX: IT: Mere deposit of surplus funds in FDRs cannot be treated as application of fund for charity as per section 11(1)(a) but there has to be nexus between investment in FDRs and achievement of charitable objects of assessee[2016] 66 taxmann.com 12 (Chandigarh – Trib.) Income-tax Officer (Exemptions) v. S.D. …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 09, 2016 DIRECT TAX: Exemption u/s 11& 12 : Merely because an institution, which otherwise is established for a charitable purpose, receives income that would not make it any less a charitable institution, denial of exemption should only be to the extent of income which was violative of section 13(1) …
CORPORATE AND PROFESSIONAL UPDATE JANUARY 28,2016 Amendments made to the The Companies (Incorporation) Rules, 2014, w.e.f. 26th January, 2016 [Notification dated 22nd January, 2016]. Highlights of these amendments, in brief, are : Where the name proposed is — Not in consonance with the principal objects of the company [(ii) of clause (b) of sub-rule (2) of Rule 8] Vague [e.g. …
CORPORATE AND PROFESSIONAL UPDATE JANUARY 17, 2016 INCOME TAX ACT SECTION 2(42C) CAPITAL GAINS – SLUMP SALE Where assessee sold its entire shareholding in its subsidiary company to a third party, since sale consideration was received by assessee itself and not by said subsidiary, it could not be treated as slump sale within meaning of …
CORPORATE AND PROFESSIONAL UPDATE JANUARY 16, 2016 INCOME TAX ACT SECTION 24 INCOME FROM HOUSE PROPERTY – DEDUCTION Interest : Where assessee undertook to pay loan of financial institutions as a condition for acquiring its mortgaged property, interest paid on such loan would be deductible under section 24(1)v(i) against rental income from said property – [2016] 72 …
PROFESSIONAL UPDATE JANUARY 14, 2016 Period to grant Amnesty- Extended under Haryana VAT On 13-01-2016, the much-awaited Amnesty Scheme for recovery of dues up to 01-April-2015 has been provided for by substituting section 59A vide Notification No. Leg. 1/2016 dated 13th January 2016. The new section 59 A can be read as under: “59A Amnesty …
PROFESSIONAL UPDATE JANUARY 12, 2016 ASSESSMENTS U/S 153A PURSUANT TO SEARCH PROCEEDINGS ARE LIMITED TO INCRIMINATING MATERIAL UNEARTHED DURING THE COURSE OF SUCH SEARCH:- CIT vs. Kabul Chawla (Delhi High Court) Fact :- Whether the assessment u/s 153A of the act pursuant to search operations for the years which stood assessed earlier is de-novo. Whether …
CORPORATE AND PROFESSIONAL UPDATE JANUARY 9, 2016 INCOME TAX ACT SECTION 9 INCOME – DEEMED TO ACCRUE OR ARISE IN INDIA Fee for technical services : Where in earlier years, consideration received by assessee Swede company for supply of telecom equipments as not taxable, while in current year Tribunal had recorded that Commissioner (Appeals)’s order was …