Tax
Assessee Entitled To The Benefit Of VsV Act During The Pendency Of Prosecution Not Involving 'Tax Arrears': Bombay High Court
The Bombay High Court has directed the department to decide the application filed by the assessee in conformity with the Direct Tax Vivad Se Vishwas Act 2020.The bench of Justice K. R. Shriram and Justice N. K. Gokhale has observed that the assessee had paid self-assessment tax but has not paid the demand made due to reassessment or reopening of the assessment and has challenged the order...
ITAT Excludes Infosys From The List Of Comparables Under Software Development Services Segment
The Delhi bench of the Income Tax Appellate Tribunal (ITAT) has upheld the exclusion of Infosys from the list of comparables under the software development services segment.The bench of Saktijit Dey (Vice President) and Dr. Brr Kumar (Accountant Member) has observed that departmental authorities themselves have excluded Infosys for AYs 2014–15, 2015–16, and 2016–17.The...
CBDT Classifies NBFCs Into Top, Upper, And Middle Layers
The Central Board of Direct Taxes (CBDT) has classified all the Non-Banking Financial Companies (NBFCs) into top, upper, and middle layers.The top, upper, and middle layers of the NBFCs will be eligible for provision of the Income Tax Act related to certain deductions to be only on actual payment.A Non-Banking Financial Corporation (NBFC) is a company that is registered under the Companies...
GST Registration Cancellation: Superintendent Of Central Tax To Take Independent Decision Without Influenced By Direction Of DGGI: Kerala High Court
The Kerala High Court has held that the Superintendent of Central Tax should take an independent decision without being influenced by the direction of the DGGI, Kochi Zonal Unit.The bench of Justice Dinesh Kumar Singh has observed that the DGGI, Kochi Zonal Unit, has already taken the decision to cancel the GST registration of the petitioner. The competent authority was only required to form...
Bogus Capital Gain By Sale Of Shares, Assessee Not A Beneficiary, ITAT Deletes Addition
The Ahmedabad Bench of Income Tax Appellate Tribunal (ITAT) has deleted the addition on account of bogus capital gain by the sale of shares of a penny stock company in the absence of incriminating material.The bench of Siddhartha Nautiyal (Judicial Member) and Waseem Ahmed (Accountant Member) has held that no material has been brought on record to suggest that the assessee was involved in...
Rajasthan High Court Seeks A Mechanism Matching Supplier's Credit Note With ITC Reversal, From Authorities
The Rajasthan High Court has asked for suggestions from the authorities with respect to a mechanism for matching a supplier's credit note with input tax credit (ITC) reversal.The bench of Justice Manindra Mohan Shrivastava and Justice Praveer Bhatnagar has found that in the absence of any statutory obligation cast on the respondent to undertake a matching exercise if the petitioner is willing...
Presumptive Taxation, Income From Profession Can’t Be In Absence Of Notified Professional Qualification: ITAT
The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has held that income from professions against which TDS is deducted cannot be taxed at 50% in the absence of notified professional qualification.The bench of Narender Kumar Choudhry (Judicial Member) and B.R. Baskaran (Accountant Member) has observed that the assessee is just a 10th grader who passed matriculation and does not...
There Can Be No Protective Addition In Absence Of Substantive Addition: ITAT
The Delhi bench of the Income Tax Appellate Tribunal (ITAT) has held that protective addition presupposes the existence of substantive additions; there can be no protective addition in the absence of substantive addition.The bench of Yogesh Kumar U.S. (Judicial Member) and Pradip Kumar Kedia (Accountant Member) has observed that the assessment order was passed against the assessee on December...
GST Act | If Invoice Or Any Other Specified Document Is Accompanying Goods, Then Consigner Or Consignee Are Deemed To Be Owner: Allahabad HC
The Allahabad High Court held that if goods are accompanied by invoices or any other document as specified, either the consignee or the consigner shall be deemed owner of the goods. Penalty, if any, should be imposed under Section 129(1)(a) of the Goods and Services Tax Act, 2017. Petitioner was transporting a consignment for M/s Tata Steel Ltd. from Odisha to Pilkhua. Due to breakdown of...
Tax Cases Weekly Round-Up: 17 September To 23 September, 2023
Delhi High Court Tax Authority Based In Delhi Lacks Jurisdiction On Withholding Tax Liability On Share Purchase Transaction: Delhi High Court Quashes Tax Demand Against Sumitomo Case Title: Sumitomo Mitsui Financial Group Inc. Versus CIT The Delhi High Court has deleted the tax demand against Sumitomo Mitsui Financial Group on the grounds of lack of jurisdiction. Delhi...
Fee Paid By TCS Towards The Brand To Tata And Sons Ltd. Is Not Capital In Nature, Royalty Not Chargeable: ITAT
The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) has held that the fee paid by the assessee, Tata Consultancy Services (TCS), towards the brand to Tata and Sons Ltd. is not capital in nature for the reason that the brand is not owned by the assessee.The bench of Vikas Awasthy (Judicial Member) and Padmavathy S. (Accountant Member) has observed that there cannot be any royalty that...