Exemption u/s. 10(23C)(vi) can be claimed without applying for registration u/s. 12A

Exemption u/s. 10(23C)(vi) can be claimed without applying for registration u/s. 12A Posted: 27 Dec 2012 07:33 PM PST In our considered opinion, exemption under Section 10(23C)(vi) of the Act can be claimed by an assessee without applying for registration under Section 12A of the Act as it is not required to fulfil the conditions mentioned under Section 11 of the Act while claiming exemption under Section 10(23C)... LLPs established to carry on a profession would now need to obtain NOC at the time of change of name Posted: 27 Dec 2012 07:30 PM PST No Objection Certificate (NOC) from the concerned regulator/Institute for LLP Name approval/incorporation General Circular no. 40/2012, dated 17-12-2012 In continuation of this Ministry's Circular No. 2/2012, dated 1st March, 2012 on registration of companies or LLPs where one of their... Billing System & Accounting Treatment in Case of Reverse Charge of Service Tax Posted: 27 Dec 2012 07:29 PM PST CA Nitin Gupta IN CASE OF SERVICE RECEIVER IN CASE OF REVERSE CHARGE • WHERE PAYMENT IS MADE TO THE SERVICE PROVIDER, WITHIN 6 MONTHS FROM THE DATE OF INVOICE   POT = PAYMENT BASIS •WHERE PAYMENT IS NOT MADE TO THE S.P., WITHIN 6 MONTHS FROM THE DATE OF INVOICE   POINT OF TAXATION [...] Initiation of reassessment proceedings on basis of assessment for subsequent assessment year Posted: 27 Dec 2012 07:28 PM PST Undoubtedly an order of assessment which has been passed for a subsequent assessment year may furnish a foundation to reopen an assessment for an earlier assessment year. However, there must be some new facts which come to light in the course of assessment for the subsequent assessment year which... Year End Review of measures taken by CBDT & CBEC Posted: 27 Dec 2012 07:28 PM PST 24X7 Customs Clearance , Mandatory E-payment of Customs duty, E-helpline, Measures to Check Tax Evasion , Measures to Check Black , money, E-Filing of Returns, Centralised Processing Centre (CPC) , Payment of Direct Taxes Through ATMs , Online Tax Help , Communication Strategy for school children Discounting charges not amounts to interest and taxable as business income Posted: 27 Dec 2012 07:25 PM PST The Court took into consideration the definition of 'interest' under section 2(28A) of the Act and also analysed the contents of two circulars issued by the CBDT, being No. 65 dated 02.09.1971 and the subsequent one dated 22.03.1993 (Circular No. 647)(sic), and confirmed the reasoning of the... Additional evidences cannot be accepted by CIT(A) without following mandate in terms of rule 46A Posted: 27 Dec 2012 06:45 PM PST In the case under consideration, the assessee placed before the ld. CIT(A), certain additional evidence and admittedly, the said documents were not submitted before the AO. The powers of the CIT(A) in terms of rule 46A to admit fresh evidence, entail an element of discretion which is required to be... Addition U/s. 41(1) not justified on failure of revenue to prove adjustment of liability Posted: 27 Dec 2012 06:35 PM PST Section 41(1) is a deeming fiction and seeks to tax receipts or benefit which may not strictly be 'income', the burden to prove that a particular benefit or receipt falls within the four corners of the provisions of section 41(1) lies upon the revenue. Export commission paid to nonresident agent for taxable services outside India is not taxable in India Posted: 27 Dec 2012 06:23 PM PST In Divi's Laboratories Ltd.'s case (supra), it was held that commission paid to a non-resident agent for services rendered outside India is not chargeable to tax in India and that hence, no disallowance can be made. No penalty if assessee raised a bona fide claim in respect of 'provision for bad debts' Posted: 27 Dec 2012 06:08 PM PST The difference between a write off of a debt as irrecoverable and a provision against the same on account of or for it being bad and doubtful for recovery, is not technical but factual and, further, real and not imaginary.This is more so in view of the express provision of law by way of Explanation... Mere pendency of writ cannot be a ground for condoning delay of in filing appeal Posted: 26 Dec 2012 09:10 PM PST It is the oft-repeated submission of the counsel that the COD applications are liable to be allowed on the sole ground of pendency of their writ petition before the Hon'ble High Court. No judicial authority has been cited before us in support of the plea. We are of the view that the pendency... Renaming of the Integrated Professional Competence Examination (IPCE) Posted: 26 Dec 2012 09:09 PM PST In terms of Notification NO XCA(7)/145/2012 dated 1st August 2012, Integrated Professional Competence Examination(IPCE), stands renamed as Intermediate (IPC) Examination and would be known accordingly, with effect from May 2013 examination onwards. Deduction u/s. 80-IA(4) available if assessee develops the infrastructure facility but do not operate or maintain the same Posted: 26 Dec 2012 08:52 PM PST We find that, the AO accepts that the assessee is an infrastructure developer. But we look into the main objection of the AO that being a developer by itself is not enough to avail the deduction, but the assessee should have maintained, operated and handed it back to the government. Commissioner cannot revise order passed by TPO u/s. 92CA(3) Posted: 26 Dec 2012 08:45 PM PST As seen from the provisions, the CIT has no jurisdiction over the TPO administratively and therefore, the CIT could not have revised the order under section 92C(3) passed by the TPO. Interest on deposits to be split up between its period of holding for taxation purposes Posted: 26 Dec 2012 07:07 PM PST Even though the parameter for considering the expenditure and income is not the same, yet the principle to be followed is that when the instrument concerned is certain as to its period of life and specifically points out to a particular interest amount to be paid on the maturity date, the question...

Norms for listing of Stay and Appeals before CESTAT

Norms for listing of Stay and Appeals before CESTAT Posted: 26 Dec 2012 07:36 PM PST The Hon'ble Vice President, CESTAT has ordered as under:- 1. Hence forth appeals and stay applications are to be listed in the cause list chronologically age-wise. 2. Assistant Registrars of the concern Benches will ensure that at least 20 stay applications and 15 regular matters are listed in... Taxability of Gifts received from Relatives & Non Relatives Posted: 26 Dec 2012 07:08 AM PST If you receive a gift from any of your relatives or friends for Christmas or New Year or Pongal or any festival, worth more than Rs. 50000, as per income tax laws, it may be taxable income on your hands in certain situations. New Company Law in the Making Posted: 26 Dec 2012 06:59 AM PST Very soon, companies in India shall be governed by a new piece of legislation to be known as Companies Act, 2013 which shall replace the longest legislation of the country, the Companies Act, 1956 which is now over 56 years old. HC upheld Sacking of IPS officer for being 'habitually in debt' Posted: 25 Dec 2012 08:50 PM PST The Delhi High Court has upheld the dismissal of a 1973-batch IPS officer on the ground of misconduct and for being habitually in debt as he did not repay after taking loans from various banks. Due Date for Filing Cost Audit Report in XBRL mode extended to January 31, 2013 Posted: 25 Dec 2012 08:22 PM PST As per General Circular number 43/2012 dated 26.12.2012, time limit to file Cost Audit Report and Compliance Report for the year 2011-12 [including the overdue reports relating to any previous year(s)] in XBRL mode, without any penalty has been extended upto January 31, 2013 or within 180 days from... Extension of Last date for Filing of Cost Audit and Compliance Report in XBRL mode Posted: 25 Dec 2012 08:18 PM PST Keeping in view of the ongoing requests from different quarters, MCA has extended the date of filing of Cost Compliance Reports and Cost Audit Reports upto 31st Jan 2013 vide General Circular No. 43/2012 dated 26 dec 2012. Anti-dumping duty on the import of Phthalic Anhydride Korea RP, Taiwan and Israel Posted: 24 Dec 2012 06:34 PM PST Notification No.58/2012-Customs (ADD)  New Delhi, the 24th December, 2012             G.S.R. _(E). –WHEREAS  in the matter of Phthalic Anhydride (hereinafter referred to as the subject goods), falling under Chapter 29 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), originating...

All delivery based transaction may not be treated as investment activity

All delivery based transaction may not be treated as investment activity Posted: 25 Dec 2012 06:43 PM PST High Court of Bombay had upheld the decision of the Tribunal in the case of Gopal Purohit (supra), on the ground that there was no substantial question of law involved. Even before Hon'ble High Court there was no question raised that all delivery based transactions have always to be treated as... Relevant date for filing Excise Duty refund claim is date of judgment Posted: 25 Dec 2012 06:33 PM PST The limitation period prescribed under section 11B for filing the refund claim is one year from the relevant date. The term 'relevant date' in the case where the duty becomes refundable as the consequences of judgment, decree, order or direction of the Appellate authority, appellate Tribunal or any... Encashment of bank guarantee amount to payment of duty / tax Posted: 25 Dec 2012 06:21 PM PST In this case initially the bank guarantee furnished, was not a duty deposit in advance, but a security. After the duty was determined, the encashment of bank guarantee will amount to duty paid as the encashed bank guarantee lost its character of security. Transport / Rent-a-Cab service of employees to and from factory is input service Posted: 25 Dec 2012 06:16 PM PST Whether the transportation service, provided in the factory of the M/s. Tata Auto Comp. Systems Ltd., to their staff for pick up and drop from their residence to the factory and vice versa, was an input service, in or in relation to manufacture, whether directly or indirectly of the final products... Payment for making logistic arrangements are not FTS even if the same require some managerial skill Posted: 25 Dec 2012 05:58 PM PST Learned DR contended that for providing the said services, managerial skill was also required and even the knowledge of local law was also used by the concerned service provider. In our opinion, merely because some managerial skill is required to render the services, it would not make the services... Search Assessment u/s.153C is Void If AO's Satisfaction Not Recorded Posted: 25 Dec 2012 08:26 AM PST There is no satisfaction recorded by AO before initiating proceedings under section 153C. Inspite of giving sufficiently adequate time to the Revenue for production of the necessary records and considering the fact that AO refused to allow inspection to assessee as recorded by the bench on... Overview of Pharmaceutical Industry with Specific Reference to Laws Of India Posted: 25 Dec 2012 08:09 AM PST The main aim of the Pharmaceutical Industry is to develop, research and distribute drugs in order to provide health care for the people in the society. Pharmaceutical companies are allowed to deal in generic and/or brand medications and medical devices. Just like any other industry, they are also... Addition u/s. 68 justified if applicants do not respond to summons, despite submission of PAN & bank details Posted: 24 Dec 2012 09:16 PM PST An assessee's duty to establish that the amounts which the AO proposes to add back, under Section 68 are properly sourced, does not cease by merely furnishing the names, addresses and PAN particulars, or relying on entries in a Registrar of Companies website. Reopening justified if Assessee not disclosed in return of income that it was a search case Posted: 24 Dec 2012 08:37 PM PST In the facts of the present case also, it may be that if the Assessing Officer had made some efforts and examined the record of the previous assessment year, he may have come to know that this was a search and could have taken consequent action thereon. However, that by itself would not absolve the... Oversight and workload not reasonable cause to condone delay of 557 days in appeal filing Posted: 24 Dec 2012 08:25 PM PST It to be settled position of law that right of appeal is neither an absolute nor an ingredient of natural justice, the principle of which must be followed in judicial and quasi-judicial adjudication. The right to appeal is a statutory right and it can be circumscribed by the condition in the grant.... Royalties & FTS are liable to tax as per Article 12 of the India-USA treaty only on payment basis Posted: 24 Dec 2012 08:22 PM PST It is observed that the amount in question payable by BAH India to the USA entity was not paid during the year under consideration and there is no dispute about the same. The said amount payable to the USA entity has been brought to tax in India in its hands by the Revenue authorities as fees for... Penalty justified if Assessee manipulates its accounts so as to reduce its profits Posted: 24 Dec 2012 08:20 PM PST Tribunal in the penalty proceedings has by its order, independent of the findings in quantum proceedings, has reached a conclusion that various incriminating documents found during search established that the appellant's were manipulating its accounts so as to reduce its profits. Consequently,... Treatment of expense should be based on nature & not based on assessee's statement Posted: 24 Dec 2012 08:07 PM PST It is seen from the facts that the assessee does not claim its expenditure as replacement of whole machinery or repairing of machinery as such. The assessee contended that such expenditure incurred in replacing the rolls has not in any manner increased the production capacity. On the other hand, it... Losses from share trading through sister concern at a lowest market price are 'artificial losses' & not allowable Posted: 24 Dec 2012 08:05 PM PST The order of the Assessing Officer would reveal that the assessee was asked to explain why its loss on the sale and purchase of J.P. shares should not be treated as sham; its response stated that shares were backed by the actual delivery. However, no further facts were forthcoming. The lacunae...