Tax
Income Tax Authorities Can’t Step Into Shoes Of Businessmen To Determine Expenditure For Business Purpose: ITAT
The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that income tax authorities cannot step into the shoes of businessmen to determine how much expenditure should have been incurred for the purpose of business.The bench of Astha Chandra (Judicial Member) and B. R. R. Kumar (Accountant Member) has observed that activities clearly demonstrate that the assessee had incurred expenses...
Cash Can’t Be Considered As Goods For The Purpose Of Seizure Proceedings Under GST: Gujarat High Court
The Gujarat High Court has recently delivered a verdict on the issue of the seizure of cash under the Goods and Services Tax (GST) Act, clarifying that cash does not qualify as "goods" for the purpose of seizure proceedings.The judgment delivered by the division bench of Justices Biren Vaishnav and Mauna M. Bhatt, emphasized that retaining seized cash for more than six months without issuing...
Interest Income From Co-Operative Bank Entitled To Income Tax Deduction: Madras High Court
The Madras High Court recently clarified that interest income received from a Cooperative bank is also entitled to deduction under Section 80P(2)(d) of the Income Tax Act 1961.Justice Krishnan Ramasamy observed that as per the Act, a Co-operative society is defined as a co-operative society registered under the Co-operative Societies Act 1912. Thus, even a cooperative bank would come within...
Re-Opening Is Not Permissible As It Falls Within The Purview Of A ‘Change Of Opinion’: Bombay High Court
The Bombay High Court has held that re-opening is not permissible as it clearly falls within the purview of a ‘change of opinion’ which is impermissible in law.The bench of Justice K. R. Shriram and Justice Neela Gokhale have observed that the basis on which the AO issued notice alleging that there was "information" that suggests escapement of income was an internal audit...
Service Tax Payable On Renting/Leasing Shops, Premises, Buildings, Etc. For Any Commercial Purpose Except Agriculture: CESTAT
The Delhi Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that service tax is payable on renting or leasing shops, premises, buildings, etc. for any commercial purpose except agriculture.The bench of Dr. Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member) observed with respect to shops, premises, buildings, etc. rented or leased out for any...
Delhi High Court Quashes Non-Speaking Order Rejecting The Grant Of An LDC Permitting Deduction Of 0.01% TDS
The Delhi High Court has quashed the non-speaking order rejecting the grant of a lower deduction of tax certificate (LDC) permitting the deduction of 0.01% TDS.The bench of Chief Justice Satish Chandra Sharma and Justice Tushar Rao Gedela has observed that the reasons furnished by the Respondent/department qua the Application i.e., as to why the Petitioners’ request that TDS should not...
Bombay High Court Quashes FAO Order Passed After Two Years Of DRP Direction Against Vodafone Idea
The Bombay High Court has held that the assessment order dated August 31, 2023, passed by the Faceless Assessing Officer (FAO) two years after the Dispute Resolution Panel (DRP) directions, is time-barred and cannot be sustained.The bench of Justice K. R. Shriram and Justice Neela Gokhale has strongly recommended that a detailed inquiry be initiated on the failure on the part of the...
Iron Ore Fines Are Exempted From Payment Of Customs Duty: CESTAT
The Kolkata Bench of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that iron ore fines were exempted from payment of duty.The bench of Ashok Jindal (Judicial Member) and Rajeev Tandon (Technical Member) has observed that a let export order cannot be issued before payment of full duty by the assessee. In those circumstances, it cannot be said that a let export order...
Tax Agreement Between India, Saint Vincent And Grenadines For Exchange Of Information And Assistance In Collection With Respect To Taxes: CBDT
The Central Board of Direct Taxes (CBDT) has notified the tax agreement between the Government of the Republic of India and the Government of Saint Vincent and the Grenadines for the Exchange of Information and Assistance in collection with respect to taxes.The agreement was signed at Kingstown, Saint Vincent and the Grenadines on the 19th May of 2022.The Agreement entered into force on the...
Income Chargeable To Tax Escaping Assessment | Reassessment Proceedings Against Amalgamated Entity, MP High Court Quashes Order U/S 148A(d) Income Tax Act
Madhya Pradesh High Court has recently quashed reassessment proceedings initiated against a non-existent/amalgamated entity under Section 148 A of the Income Tax Act, holding that even the availability of alternative remedy has no bearing in such instances when the entity has ceased to exist pursuant to amalgamation.The division bench of Justices Sushrut Arvind Dharmadikari and Pranay Verma...
Interest Earned Deposited In The Consolidated Fund Of India By Way Of Challans: ITAT Deletes Income Tax Addition Against NHIDCL
The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that the assessee, National Highways & Infrastructure Development Corp. India (NHIDCL), received funds in fiduciary capacity from the government and deposited with the Consolidated Fund of India the interest received on deposits kept in bank accounts out of funds received for infrastructure development projects.The bench...
GST Act | Proceedings Ought Not To Be Initiated If Rectified Tax Invoices, E-Way Bills Produced Before Passing Detention Order: Allahabad HC
The Allahabad High Court has held that once rectified/ correct tax invoices and e-way bills are produced before the authorities before passing of the detention/ seizure order, the proceedings under the Goods and Service Tax Act, 2017 ought not to be initiated.Relying on the decision of the division bench of the Allahabad High Court in M/s Axpress Logistics India Pvt. Ltd. Vs. Union of India...