CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 23, 2016 Supply Of Goods to Indian Navy not must to claim excise exemption. Manufacture of rosin and turpentine without aid of power , seeking retrospective exemption is not a constitutional right – HC. [Mangalam Organics Limited vs Union of India – 2016 (2) TMI 529 – Delhi High Court]. Brokerage …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 22, 2016 DIRECT TAX The petitioner is admittedly not a foreign Company. – Since the petitioner is not an eligible assessee in terms of Section 144C(15)(b) no draft order can be passed in the case of the petitioner u/s 144C(1) –( Honda Cars India Limited (Formerly – M/s. Honda Siel Cars …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 20, 2016 Income Tax Act SECTION 9 INCOME – DEEMED TO ACCRUE OR ARISE IN INDIA Business income : Where assessee, engaged in operation and maintenance of international airport, obtained services of non-resident companies for running duty free retail shops, matter was to be remanded back to determine as to whether …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 19, 2016 Direct Tax Section 80IB(10) : Deduction allowed on additional business declared post search.[Madhav Corporations vs. ACIT (ITAT Ahmedabad), IT(SS) A Nos. 380 to 382/AHD/2014, AY 2010-11]. Non TDS deduction disallowance is not sustainable if payee discharges his tax liability.[ Kurian Ulahannan Moothukuzhiyil vs. ITO (ITAT Ahmedabad), I.T.A. No. …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 18, 2016 Income Tax Act SECTION 10A FREE TRADE ZONE Set off of loss : Loss suffered by assessee in an unit entitled for exemption under section 10A cannot be set off against income from any other unit not eligible for such exemption – [2016] 66 110 (Chennai – Trib.) SECTION 14A …
CORPORATE & PROFESSIONAL UPDATE FEBRUARY 17, 2016 SERVICE TAX ON MULTI-LEVEL MARKETING Multi-Level Marketing (MLM) is a marketing strategy in which the distributor is compensated for the sales of the other salespeople that they recruit. This recruited sales force is referred to as the participant’s “downline”, and can provide multiple levels of compensation. In this …
CORPORATE AND PROFESSIONAL UPDATE FEBRUARY 16, 2016 Direct Tax CBDT directs AOs to pass Sec-154 Rectification Orders in writing and serve a copy on the assessee and not just make an entry on the AST system-Instruction No.02/2016, dt.15.02. 2016 Securities Premium is not accumulated profits u/s 2(22)(E): ITAT. [M/s Jeans Knit Pvt. Ltd. vs. ACIT (ITAT …
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) …