{"id":687,"date":"2015-12-10T07:20:00","date_gmt":"2015-12-10T07:20:00","guid":{"rendered":"http:\/\/caindelhiindia.com\/blog\/?p=687"},"modified":"2021-07-10T08:58:43","modified_gmt":"2021-07-10T08:58:43","slug":"corporate-professional-update-december-10-2015","status":"publish","type":"post","link":"https:\/\/www.caindelhiindia.com\/blog\/corporate-professional-update-december-10-2015\/","title":{"rendered":"CORPORATE &#038; PROFESSIONAL UPDATE DECEMBER 10, 2015"},"content":{"rendered":"<h2 style=\"text-align: justify;\"><span style=\"color: #000080;\"><strong>CORPORATE &amp; PROFESSIONAL UPDATE DECEMBER 10, 2015<\/strong><strong>\u00a0<\/strong><\/span><\/h2>\n<figure id=\"attachment_3111\" aria-describedby=\"caption-attachment-3111\" style=\"width: 594px\" class=\"wp-caption alignnone\"><a href=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2015\/12\/achieve-your-goal.png\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-3111\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2015\/12\/achieve-your-goal.png\" alt=\"www.caindelhiindia.com; Achieve your Goals\" width=\"594\" height=\"279\" \/><\/a><figcaption id=\"caption-attachment-3111\" class=\"wp-caption-text\">www.caindelhiindia.com; Achieve your Goals<\/figcaption><\/figure>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #800080;\">1.<\/span> <span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">INCOME TAX ACT<\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #ff6600;\"><strong><span style=\"color: #ff6600;\">SECTION 4<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>(a)<\/strong> <span style=\"text-decoration: underline;\"><strong>HUF &#8211; ASSESSABLE AS<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">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 to be assessed in hands of HUF and not in hands of assessee in his individual capacity .<\/p>\n<p style=\"text-align: justify;\"><strong>(b)<\/strong> <span style=\"text-decoration: underline;\"><strong>ASSOCIATION OF PERSONS &#8211; ASSESSABLE AS<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">Where seized material showed that finance business was carried on by AOP consisting of three persons including assessee, notice under section 158BC in relation to that business was issued in status of AOP and return of income was also filed in status of AOP, undisclosed income of said business was to be assessed in hands of AOP and not in hands of assessee in his individual capacity<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 5<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>INCOME &#8211; CONCEPT OF REAL INCOME<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Mercantile system of accounting :\u00a0<\/strong>Where assessee was in fact not receiving any interest on loan advanced and it had to write off said loan finally in subsequent year, no addition could be made on account of accrued interest just because assessee was following mercantile system of accounting<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 9<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>INCOME &#8211; DEEMED TO ACCRUE OR ARISE IN INDIA<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Business profits :\u00a0<\/strong>Where Japanese company executed Engineering, Procurement, Construction and Commissioning contracts in India through Indian project office, income from offshore services, though chargeable under section 9(1)(vii) was exempt under DTAA and, hence, could not be charged to tax in light of section 90(2)<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #ff6600;\"><strong><span style=\"color: #ff6600;\">SECTION 23<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>INCOME FROM HOUSE PROPERTY &#8211; ANNUAL VALUE<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Others :\u00a0<\/strong>Where assessee had given a building on rent to Government and Assessing Officer fixed rent of building at a higher amount than disclosed by assessee and record showed that penalty proceedings under section 271(1)(c) were initiated against assessee and on verification of matter they were dropped, once penalty proceedings were dropped, rent for building must be taken as disclosed by<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #ff6600;\"><strong><span style=\"color: #ff6600;\">SECTION 54F<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>CAPITAL GAINS &#8211; EXEMPTION IN CASE OF INVESTMENT IN RESIDENTIAL HOUSE<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Time limit for utilization of capital gain :\u00a0<\/strong>When sale consideration\/capital gains has been utilized for purchase or construction of new asset before due date for furnishing return of income under section 139(4), assessee is entitled to claim deduction in respect of amount so utilized under section 54F<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 143<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>ASSESSMENT \u2013 GENERAL<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Others :\u00a0<\/strong>Levy of tax on two assessees for same premises and for same period was not justified<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #ff6600;\"><strong><span style=\"color: #ff6600;\">SECTION 260A<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>HIGH COURT &#8211; APPEALS TO<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><strong>Court fee :\u00a0<\/strong>As section 52A of Kerala Court fees, Act specified court fee in appeal before High Court at 1% of income assessed by Assessing Officer, but in many cases such assessed income might not at all survive, State Government had to make required amendment; High Court opined that instant matter was to be stayed till information about steps taken by State Government was provided<\/p>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #800080;\">2.<\/span> <span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">COMPANIES ACT<\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTIONS 433<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>WINDING UP &#8211; CIRCUMSTANCES IN WHICH A COMPANY MAY BE WOUND UP<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">Where respondent-company had admitted its liability to pay amount due to petitioner against supply of books and they had no defence for amount admitted and claim was not disputed contemporaneously but was disputed only when demand for payment came to be raised through statutory notice, winding up petition against respondent was to be admitted.<strong>\u00a0<\/strong><\/p>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #800080;\">\u00a03. <span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">SER<\/span><span style=\"color: #800080; text-decoration: underline;\">VICE TAX<\/span><\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION<\/span> <span style=\"color: #ff6600;\">65(31)<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>TAXABLE SERVICES &#8211; CONSULTING ENGINEER&#8217;S SERVICES<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">Environmental studies being: (a) Environmental Biotechnology, (b) Environmental Impact Assessment, (c) Environmental Monitoring, (d) Environmental Policy Analysis and (e) Hazardous Waste Management, being in nature of scientific consultancy, are outside scope of consulting engineer.<strong>\u00a0<\/strong><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #800080;\"><strong><span style=\"color: #800080;\">4.<\/span><\/strong> <\/span><span style=\"text-decoration: underline;\"><strong><span style=\"color: #800080; text-decoration: underline;\">CE<\/span><span style=\"color: #800080; text-decoration: underline;\">NTRAL EXCISE ACT<\/span><\/strong><\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 5A<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>EXEMPTIONS &#8211; CENTRAL EXCISE &#8211; SSI\/THRESHOLD EXEMPTION<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">Where, after several representations, Government amended SSI-extending exemption to &#8216;parts of Chapter 93&#8217; only from 1-10-2001, said amendment could not be regarded as retrospective.<\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 35C<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>APPEALS &#8211; RECTIFICATION OF MISTAKES\/REVIEW &#8211; APPELLATE TRIBUNAL<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">An error, which has to be established by a long drawn process of reasoning on points where there may conceivably be two opinions does not amount to &#8216;error apparent on face of record&#8217; and is not a rectifiable mistake<\/p>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #800080;\">5.<\/span> <span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">CENTRAL EXCISE TARIFF ACT<\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong><span style=\"color: #ff6600;\">SECTION 2<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>CLASSIFICATION &#8211; THREE WHEELED TRACTOR<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">In view of Chapter Note 2 to Chapter 87 of Tariff, vehicle comprising &#8216;Auto Track\/Hauling Unit and Semi-trailer&#8217; is classifiable as &#8216;tractor&#8217; under Heading 8701, not as &#8216;Light Motor Vehicle&#8217; under Heading 8704<strong>\u00a0<\/strong><\/p>\n<p style=\"text-align: justify;\"><strong><span style=\"color: #800080;\">6. <span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">CENTRA<\/span><span style=\"color: #800080; text-decoration: underline;\">L EXCISE RULES<\/span><\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #ff6600;\"><strong><span style=\"color: #ff6600;\">RULE 18<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"text-decoration: underline;\"><strong>EXPORT &#8211; REBATE OF DUTY<\/strong><\/span><\/p>\n<p style=\"text-align: justify;\">Word &#8216;or&#8217; in rule 18 of the Central Excise Rules, 2002, to be interpreted as &#8216;and&#8217; and therefore, the exporters are entitled to both rebates under rule 18 (viz. input-stage rebate as well as output stage rebate on finished goods) and not one kind of rebate<\/p>\n<p style=\"text-align: justify;\">\u00a0<strong>\u00a0<span style=\"color: #800080;\">7.<\/span> <span style=\"color: #800080;\"><span style=\"text-decoration: underline;\"><span style=\"color: #800080; text-decoration: underline;\">STATUT<\/span><span style=\"color: #800080; text-decoration: underline;\">ES<\/span><\/span><\/span><\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"text-decoration: underline; color: #ff6600;\"><strong><span style=\"color: #ff6600; text-decoration: underline;\">DIR<\/span><span style=\"color: #ff6600; text-decoration: underline;\">ECT TAX LAWS<\/span><\/strong><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\">Report of Kelkar Committee on revisiting and revitalizing PPP Model of infrastructure development submitted to Finance Minister<\/p>\n<ul style=\"text-align: justify;\">\n<li><strong>\u00a0<\/strong><span style=\"text-decoration: underline;\"><span style=\"color: #3366ff; text-decoration: underline;\"><strong><span style=\"color: #ff6600; text-decoration: underline;\">CORPO<\/span><span style=\"color: #ff6600; text-decoration: underline;\">RATE LAWS<\/span><\/strong><\/span><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\">Frequently Asked Questions on SEBI (Share Based Employee Benefits) Regulations, 2014 \u00a0Guidelines on \u201cIndian owned and controlled\u201d for insurance intermediaries &#8211;<em><strong>CIRCULAR NO.IRDA\/INT\/CIR\/ORD\/208\/11\/2015, dated 20-11-2015 .\u00a0<\/strong><\/em>Implementation of Section 51A of Unlawful Activities Prevention Act (UAPA), 1967 &#8211; Updates to Al-Qaida and Taliban Sanctions List &#8211;<strong>\u00a0<\/strong><em><strong><strong>CIRCULAR DBR.A<\/strong><\/strong><\/em><em><strong><strong>M<\/strong><\/strong><strong>L.NO.6854\/14.06.001\/2015-16.<\/strong><\/em><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #3366ff;\"><strong>\u00a0<\/strong><span style=\"text-decoration: underline;\"><strong><span style=\"color: #ff6600; text-decoration: underline;\">INDIRECT TAX L<\/span><span style=\"color: #ff6600; text-decoration: underline;\">AWS (ST.\/EX.\/<\/span><span style=\"color: #ff6600; text-decoration: underline;\">CUS. &amp; (CST &amp; VAT)<\/span><\/strong><\/span><\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\">Delhi Value Added Tax Act, 2004 \u2013 Amendment in Third &amp; Fourth Schedule &#8211; \u00a0<strong><em>NOTIFICATION NO.F.3(22)\/FIN(REV-I)\/2015-2016\/DSVI\/913, dated 16-11-2015.<\/em><\/strong><\/p>\n<p style=\"text-align: justify;\">Chairman, CBEC holds a meeting to strengthen institution of Indirect Tax Ombudsmen (ITOM) &#8211;\u00a0<strong><em>PRESS RELEASE, dated 20-11-2015.<\/em><\/strong><\/p>\n<p style=\"text-align: justify;\">Delhi Value Added Tax (Amendment) Rules, 2015 \u2013 Amendment in rule 35 &#8211;<em><strong>\u00a0NOTIFICATION NO.F.3(23)\/FIN(REV-I)\/2015-2016\/DSVI\/914, dated 16-11-2015.<\/strong><\/em><\/p>\n<p style=\"text-align: justify;\"><em>\u00a0<\/em>Delhi Value Added Tax (Amendment) Rules, 2015 \u2013 Amendment in rule 7 and DVAT form 16 &#8211;<span style=\"text-decoration: underline;\">\u00a0<\/span><strong><em>NOTIFICATION NO.F.3(21)\/FIN(REV-I)\/2015-2016\/DSVI\/907, dated 12-11-2015.<\/em><\/strong><\/p>\n<p style=\"text-align: justify;\"><em>The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional\u00a0endeavors. For query or help, contact: <\/em><a href=\"mailto:info@caindelhiindia.com\"><em>info@caindelhiindia.com<\/em><\/a><em>\u00a0or call at\u00a0011-233 433 33<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>CORPORATE &amp; PROFESSIONAL UPDATE DECEMBER 10, 2015\u00a0 1. INCOME TAX ACT SECTION 4 (a) HUF &#8211; 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 &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[144,142,146],"tags":[566,502,501,569,179,180,561,214,181,194,541,539,550,538],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/687"}],"collection":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/comments?post=687"}],"version-history":[{"count":10,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/687\/revisions"}],"predecessor-version":[{"id":3136,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/687\/revisions\/3136"}],"wp:attachment":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/media?parent=687"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/categories?post=687"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/tags?post=687"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}