CORPORATE & PROFESSIONAL UPDATE DECEMBER 13, 2015 INCOME TAX ACT SECTION 9 INCOME – DEEMED TO ACCRUE OR ARISE IN INDIA Penalty as ordered by US Court : An amount levied as penalty by an order of US Court can never attract any tax nor would such a payment made by applicant attracts any tax liability …
CORPORATE & PROFESSIONAL UPDATE ON DECEMBER 12, 2015 www.caindelhiindia.com; CORPORATE UPDATES IT: Exemption u/s 10A – the disallowed expenditure becomes a part of the income derived from the activity of export of software and entitled to the deduction under Section 10A of the Act – CIT-II Vs. Ntrance Customer Services Pvt. Ltd. (2015 (12) TMI 566 – …
Corporate & Professional Update December 11, 2015 INCOME TAX ACT SECTION 2(1A) AGRICULTURAL INCOME Income from coffee business: Where assessee was selling only sun dried coffee seeds and was not engaged in other processing activities, its income from coffee estate had to be computed by applying Rule 7B – [2015] 175 (Chennai – Trib.) SECTION 2(15) CHARITABLE PURPOSE …
CORPORATE & PROFESSIONAL UPDATE DECEMBER 10, 2015 1. INCOME TAX ACT SECTION 4 (a) HUF – ASSESSABLE AS Where father of assessee got registered HUF, doing lottery business two months before his death and thereafter, assessee carried on said lottery business as karta of HUF, undisclosed income related to said business declared on search was …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 9, 2015 1. INCOME TAX ACT SECTION 9 INCOME – DEEMED TO ACCRUE OR ARISE IN INDIA Interest: Interest on refund of tax is not covered by definition of ‘interest’ mentioned under article 12(4) of India-Italy DTAA, and, therefore, Assessing Officer is justified in imposing TDS at higher rate while …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 7, 2015 1. INCOME TAX ACT SECTION 2(29BA) MANUFACTURE Embroidery work on synthetic fabrics : Where assessee was engaged in business of embroidery work on synthetic fabrics on job work basis, work of embroidery carried on by assessee would fall within ambit of definition of manufacture and thereby it was …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 6, 2015 DIRECT TAX No reassessment beyond 4 years to tax deemed dividend if material facts of such income were disclosed in assessment [2015] 104 (Gujarat) Viren Sureshchandra Shah v. ACIT. Personal loan given by a company to its shareholder holding substantial interest in it would be taxable as deemed dividend [2015] …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 5, 2015 1. FAQ on Company Law: Query Answer Our Company wants to Guarantee Commission to the Directors of Company for having guaranteed the term loans obtained from financial institutions/ banks. Kindly advice whether the Company is allowed to pay the same according to the provisions of the Companies …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 4, 2015 Income–tax (11th Amendment) Rules, 2015 In exercise of the powers conferred by section 285BA read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Government with respect to registration of persons, due diligence and maintenance of information, and the Board for matters relating …
CORPORATE AND PROFESSIONAL UPDATE ON DECEMBER 3, 2015 DIRECT TAXES: Rejection of book results u/s 145 – estimating the income at 5 percent of gross receipts – no material was brought to establish that the purchases and expenses had been inflated or the sales had been suppressed and in the absence of any such material …