Tax
Gujarat High Court Quashes Income Tax Reassessment Notices Against Non-Existent Entity
The Gujarat High Court has quashed the income tax reassessment notice against a non-existent entity.The bench of Justice Biren Vaishnav and Justice Devan M. Desai has observed that the erstwhile company Satyasarthi Estate Organisers Private Limited amalgamated with the petitioner Anokhi Reality Private Limited. The jurisdictional officer was informed of the amalgamation. The...
Treatment Of Shares In Books Of Accounts Determines Taxation, JM Financial’s Set-off Not Colourable Device: ITAT
The Mumbai Bench of the Income Tax Appellate Tribunal (ITAT) has held that the treatment of shares in books of accounts determines taxation under capital gain or business income, and the method adopted for arriving at the sale consideration does not determine the nature of the transaction.The bench of Aby T. Varkey (Judicial Member) and Padmavathy S. (Accountant Member) has observed that...
Bank Not Obliged To Deduct TDS From FDR Interest To Jammu Development Authority: Jammu & Kashmir And Ladakh High Court
The Jammu & Kashmir and Ladakh High Court has held that the assessee bank shall not be obliged to deduct TDS from the interest payments made to the Jammu Development Authority (JDA) on its amount kept in FDRs.The bench of Justice Sanjeev Kumar and Justice Javed Iqbal Wani has observed that the JDA is similar to the Agra Development Authority, constituted under the provisions of the...
CESTAT Upholds Service Tax Demand Against The Service Provider Based On ONGC’s Reply
The Kolkata Bench Of Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has upheld the service tax demand against the service tax provider based on ONGC’s reply.The bench of Ashok Jindal (Judicial Member) and K. Anpazhakan (Technical Member), while dealing with the issue of whether the appellant has recovered service tax from ONGC or not, noted that the only evidence available...
Bill Discounting Facility Could Be Offered Not Only By Banking Company But Also By A Body Corporate: CESTAT
The Chennai Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has observed that bill discounting facilities could be offered not only by a banking company or a financial institution but also by a body corporate.The bench of P. Dinesha (Judicial Member) and M. Ajit Kumar (Technical Member) has observed that service tax is payable on ‘bill discounting’ under banking...
CBDT Allows Income Tax Exemption To Joint Electricity Regulatory Commission
The Central Board of Direct Taxes (CBDT) has exempted the Joint Electricity Regulatory Commission from Income tax under clause 46 of Section 10 of the Income-tax Act, 1961.The Central Government notified income tax exertion to the Joint Electricity Regulatory Commission, a commission constituted by the Government of India, in respect of petition fees, licence fees, other income in respect...
Central Board Of Direct Taxes Issues Guidelines For Compulsory Selection Of Returns For Complete Scrutiny In FY 2023-24
The Central Board of Direct Taxes (CBDT) has recently issued comprehensive guidelines for the compulsory selection of income tax returns for Complete Scrutiny during the Financial Year 2023-24.The notification said that , based on Guidelines dated 24.05.2023 issued from F.No. 225/66/2023 /ITA-II, various letters/queries have been received in the Board from DsGIT(Inv.) and CCsIT(Central)...
Shifting Of Commissionerates, Re-Organisation Of Office, Not A Valid Justification For Inordinate Delay In SCN Adjudication: Bombay High Court
The Bombay High Court has held that the belated hearing of the show cause notice would amount to a violation of the principles of natural justice."Merely for the reason that there was shifting of the Commissionerates and reorganisation of its office, there would be no reason to abdicate and/or not comply with the obligations under the Act to promptly and/or expeditiously adjudicate the show...
Weighment Of Goods By FCI Is Not Covered Under “Business Auxiliary Service”: CESTAT
The Chandigarh Bench of the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has held that undertaking the weighment of goods by the Food Corporation Of India (FCI) is not covered under "business auxiliary service".The bench of S. S. Garg (Judicial Member) And P. Anjani Kumar (Technical Member) has observed that weighment by the FCI is done to ensure that the declared quantity...
Income Tax Department Introduces Young Professional Scheme to Assist Officers in Income Tax Appellate Tribunal (ITAT)
In a bid to bolster its resources and streamline tax litigation management, the Income Tax Department, under the Ministry of Finance, Government of India, has launched the Young Professional Scheme. This scheme aims to engage young graduates in Law and Accountancy on a full-time basis, providing valuable support to Departmental Officers across various benches of the Income Tax Appellate...
Tax Cases Weekly Round-Up: 30 July To 5 August, 2023
Delhi High Court No TDS Deductible On Commission Payment To Non-Resident Agent Overseas: Delhi High Court Case Title: PCIT Versus Maharani Enterprises The Delhi High Court has held that commission payments to non-resident agents overseas are not chargeable to tax and there is no TDS required to be deducted under Section 195 of the Income Tax Act. Bombay High Court No Order...
Gujarat High Court Quashes Orders Rejecting Declaration Under SVLDRS Scheme, Directs Acceptance Of Declaration
The Gujarat High Court has rendered a verdict in favor of M/S Fta Hsrp Solutions Pvt, setting aside the rejection of their declaration filed under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (SVLDRS). The court has directed the designated committee, Sabka Vishwas Dispute Resolution Scheme, to accept the petitioner's declaration and bring closure to the tax...