TODAYS UPDATES : DIRECT TAX: CBDT issued clarification on the Income Declaration Scheme, 2016 vide Circular No. 17 of 2016 dated 20.05.2016. CBDT issued explanatory notes on provisions of the Income Declaration Scheme, 2016 as provided in chapter ix of the finance act, 2016 vide Circular No. 16 of 2016 dated 20.05.2016 CBDT has issued circular regarding …
Today updates: DIRECT TAX: Income Tax: Disallowance of profit in sale of agriculture land – whether transaction in property by assessee company should not be treated as business activity – Held that – There is no enabling provision in the income-tax law prescribing that even if the assessee s income is exempt by a provision, then …
TODAYS UPDATES Direct Tax: Deductions claimed u/s. 54EC and 54F denied – Except the fact that assessee has received the so called 1/4th share out of the total consideration there is no indication of any assessee s ownership on the property either to full extent or to 1/4th extent. AO proceeded on the fallacious assumption …
TODAYS UPDATES Direct Tax: Even if income by way of rent is enhanced with retrospective effect, it accrues only when a right to receive the income is vested in the assessee. A notice u/s 148 seeking to assessee the income prior to its accrual is without jurisdiction. A reading of the decision of this Court in …
TODAYS UPDATE : Direct Tax: Registration u/s 12AA cannot be denied questioning profit motive.[MS. Sree Anjaneya Medical Trust vs. CIT (Kerala HC)]. Interim stay order period is to be excluded for computing limitation period. [VLS Finance Ltd. and Anr. vs. Commissioner of IT and Anr. (SC)]. CBDT prescribes procedure for e-filing of form 15G/15H. Notification …
TODAYS UPDATES Direct Tax: CBDT has issued a Notification regarding the Procedure for submission of Form 15CC by an authorized dealer in respect of remittances under sub-section (6) of section 195 of the Income-tax Act, 1961 read with rule 37BB of the Income-tax Rules, 1962 vide notification No. 8/2016 dated 4th May 2016. CBDT has issued a …
TODAYS UPDATE Direct Tax: CBDT, vide order dated 2nd May, 2016 has given direction to field formation, with a view to avoid disputes/Litigation and to maintain uniform approach that the income arising from transfer of unlisted shares, irrespective of period of holding, would be taxable under the head ‘Capital Gain’ except in certain circumstances where …
Finance Bill 2016 : Changes in the Finance Bill 2016 as passed by the Lok Sabha on May 5, 2016:
# LLPs is now ‘Eligible start-ups’
# Unlisted shares held for 24 months or less would be treated as short-term capital asset
# Employer Contribution in excess of 12% of salary to the recognized provident fund shall be deemed as income of employee
# Processing of ITR is not necessary before the expiry of one year from the end of financial year in which return is furnished, where a notice is issued for scrutiny assessment U/s 143(2).
# A new Section 270A has been inserted to provide for levy of penalty in cases of underreporting and misreporting of income
# Under reporting of income shall be punishable as willful attempt to evade tax liable to prosecution U/s 276C
# TCS U/s 206C to be collected at the time of receipt only in specific cases (more…)
TODAY UPDATES: DIRECT TAX: IT: The cost incurred by the previous owner shall be adopted while computing capital gains in the hands of the assessee – benefit of indexation should accordingly be provided w.e.f. 01 APR 1981 – P.M. Rungta (HUF) Vs. ITO (2016 (5) TMI 67 – ITAT Mumbai) IT: Exemption on the principle of mutuality claimed – …
CORPORATE AND PROFESSIONAL UPDATE MAY 3, 2016 DIRECT TAX IT: Additional payment even if made to the retiring partner in excess of capital account is not in nature of any profit or income within the meaning of Sec.28(va) of the Act and it cannot be brought to tax as business income – Sharadha Terry Products Ltd. Vs. …