Tax
Block Period Of Six AYs For Purpose Of Sec 153C Has To Be Reckoned From Date Of Receipt Of Documents By AO: Delhi ITAT
The New Delhi ITAT held that for purposes of assessment u/s 153C, the date of recording of satisfaction of AO will be deemed date for the possession of seized documents. Section 153C of Income tax Act empowers the Assessing Officer of the person searched to handover the money, gold, jewellery, or other relevant articles/things or books of account or documents belonging to the other...
Statutory Authority Must Not Grant Approval U/s 153D Mechanically: Delhi ITAT Criticizes On Unjust Exercise Of Discretion By AO
While emphasizing that the obligation of granting approval acts as an inbuilt protection to the taxpayer against arbitrary or unjust exercise of discretion by the AO, the New Delhi ITAT held that approval granted u/s 153D should necessarily reflect due application of mind and if the same is subjected to judicial scrutiny, it should stand for itself and should be self-defending. The...
Payments Made To Overseas Company For Services Utilized Abroad, Does Not Warrant Tax Deduction At Source U/s 195: Delhi ITAT
The New Delhi ITAT held that when the taxpayer company has utilized the service of a company outside India and payment has also been made outside India, then taxpayer company would not be liable for deduction of tax at source u/s 195. As per Section 195 of the Income Tax Act, TDS must be deducted at the time of credit or payment on certain payments made to non-residents, and it applies...
Refund Can't Be Denied On Ground That It Earlier Period: CESTAT
The Ahmedabad Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that the refund cannot be denied on the ground that the refund pertains to an earlier period.The bench of Ramesh Nair (Judicial Member) and C. L. Mahar (Technical Member) has observed that Rule 5, by which the refund is given in respect of the credit taken, will be applicable even to refunds relating...
JAO Cease To Have Jurisdiction To Issue Reassessment Notice Outside Faceless Assessment: Bombay High Court
The Bombay High Court has held that the Jurisdictional Assessing Officer (JAO) would cease to have jurisdiction to issue any notice under Section 148A(b) and to take further actions under Section 148A(d) and Section 148 of the Act, outside the faceless assessment.The bench of Justice G. S. Kulkarni and Justice Somasekhar Sundaresan has observed that the JAO did not have the authority to issue...
Reassessment Notice To Non-Existing Entity Is Not Legally Tenable: Karnataka High Court
The Karnataka High Court has held that the reassessment notice to a non-existing entity is not legally tenable.The bench of Justice S. Sunil Dutt Yadav has observed that the notice under Section 148A(b) of the Act was issued on February 28, 2024, with respect to the assessment year 2020–21. The scheme of amalgamation has fixed the appointed date as April 1, 2019, and the entity to which...
Bombay High Court Directs Sales Tax Dept. To Refund Rs. 10.70 Crores Excess Paid Under Settlement Scheme
The Bombay High Court has directed the sales tax department to refund Rs. 10.70 crore. The bench of Justice K. R. Shriram and Justice Jitendra Jain has observed that, on reading Section 11 of the Settlement Scheme, the defect notice is issued when there is a shortfall in making the payment and not when an applicant has paid the correct amount. The bench noted that the amount payable was...
GST Registration Cancelled On Allegation Of Non-Existent Entity; Delhi High Court Directs Assessee To Furnish Documents
The Delhi High Court has quashed the order cancelling the petitioner's GST registration and permitted the petitioner to respond to the Show Cause Notice, since the only allegation against the petitioner is that it was found to be non-existent.The bench of Justice Vibhu Bakhru and Justice Sachin Datta has granted liberty to the petitioner/assessee to furnish all documents and material in...
Bombay High Court Quashes Proceedings Initiated By Customs Authorities For Seizing Jewellery
The Bombay High Court has quashed the proceedings initiated by the customs authorities for seizing the jewelry.The bench of Justice K. R. Shriram and Justice Jitendra Jain has relied on the decision of the Supreme Court in the case of Directorate of Revenue Intelligence vs. . Pushpa Lekhumal Tolani, in which it was held that foreign tourists are allowed to bring into India jewelry even...
SAD Refunds Can't Be Denied For Taking Away Facility Of Re-Crediting DEPB Scrips: Kerala High Court
The Kerala High Court has held that if the appellant/assessee satisfies the conditions in Notification No.102/2007-Cus dated 14.09.2007 for the purposes of refund of the 4% Special Additional Duty (SAD), then merely because the facility of re-crediting the Duty Entitlement Pass Book (DEPB) scrips has been taken away, the refund that the appellant is entitled to by virtue of the...
Long Term Finance Provided For Purchase Of Residential House, Bank Entitled For Deduction ; Kerala High Court
The Kerala High Court has held that the South Indian Bank is entitled to the deduction envisaged under Section 36(1)(viii) of the Income Tax Act in respect of the long-term finance provided by it for the construction and purchase of houses in India for residential purposes.The bench of Justice A.K. Jayasankaran Nambiar and Justice Syam Kumar V.M. has observed that a view has been expressed...
Disallowance Operate Against Erring Employer Assessee When Employees' Contribution To EPF/ESI Not Made Within Due Date: Kerala High Court
The Kerala High Court has held that the disallowance operates against erring employer assessee when employees' contribution to EPF/ESI not made within the due date.The bench of Justice A.K.Jayasankaran Nambiar and Justice Syam Kumar V.M. has observed that where the employees' contribution to EPF/ESI was not made over by the employer to the statutory authorities within the due date prescribed...