The Hon’ble Supreme Court of India in the matter of M/s Northern Operating Systems Pvt. Ltd. (“NOS”) in relation to taxability of the arrangement of secondment of expat employees to Indian entity under reverse charge mechanism.
Tuesday 24 May 2022
SC rules IGST is not leviable on inbound ocean freight in case of CIF contracts
The issue involved was whether Integrated Goods and Services Tax (IGST) can be separately levied and collected from the Indian importer on ocean freight paid by the foreign exporter to a foreign shipping line, where Customs duty together with IGST has been already discharged on the value of imported goods.
Saturday 21 May 2022
Recent Income Tax Court decesions.
·
Mumbai
ITAT held that no disallowance of reinsurance payments to foreign re-insurers
under section 37(1) and/ or 40(a)(ia) of the Income-tax Act, 1961.
Understand section 80JJAA: Deduction wrt employment of new employees
A. Criteria
1. Any assessee who has business income and is
subject to audit u/s 44AB
2. Business must not be formed by splitting up or
reconstructing of an existing business
3. Business must not be transferred from any other
person or as a result of any business re-organization.
4. Filing of Form No 10DA.
Understand Treaty impact on Adani-Holcim deal.
The Adani recently announced aquisation of Cement companies ACC &
Ambuja cement from Holcim group based in Switzerland. Currently, the equity (covered
by the deal) is held by the Holcim group as under:
Ambuja
Cements Limited – 63.55% stake is held by Holderind Investments Limited, a Mauritius entity ('Holding entity'). In turn, the Holding entity is owned by
Holderfin B.V, a Netherlands entity ('Intermediate Holding entity') which is
ultimately owned by Holcim Limited, Switzerland ('Ultimate Holding entity').
ACC Limited - 50.05%
stake is held by Ambuja
Cements Limited, whereas
the Holding entity
owns a 4.48% stake.
Thursday 19 May 2022
Tuesday 17 May 2022
Electricity Charges are Includible in Rent for Charging GST - AAAR
This is to apprise you about a recent decision by Appellate
Authority for Advance Ruling (‘AAAR’) in the case of Harish Chand Modi,
RAJ/AAAR/05/2021-22, wherein it was held that reimbursement of
electricity expenses by the lessee to lessor would form part of taxable value
and not to be treated as ‘Pure Agency Services’.
Do not claim less GST input for the month of April 2022
- The GST taxpayer is advised to restrict their claim of input credit based on the entries available in GSTR 2B for the particular month.
- GSTR 2B is a register with a cut off date of 12th of every month and the same includes GST input of previous months and the current month.
- For April 22, we can see GSTR 2B which contains details of previous months and not current months.
- GSTR 2A for April 22 is available with input credit of the current month.
- The GSTN had issued an advisory for the present technical glitch and advised to claim input credit based on the credit available in GSTR-2A.
- by doing this, GST taxpayers can claim only input entries available for the current month and are not able to claim input credit of the previous month for which entries are available in GSTR 3B.
- it is advisable to add GSTR 2A & 2B and then claim the consolidated amount.
Wednesday 4 May 2022
CBDT notifies tax return form (Form ITR-U) and the manner to furnish updated return
This Tax Alert summarizes the key highlights of Notification No.48/2022 dated 30 April 2022 issued by the Central Board of Direct Taxes (CBDT) which amends the Income Tax Rules, 1962 by inserting Rule 12AC which provides for tax return form (Form ITR-U) and the manner for furnishing updated return.
Taxation of Intangible assets acquired through business restructuring.
1. Background 1.1 When a company aims to acquire another company's business through amalgamation or demerger, assets or ...
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A new website launched for TDS related matters www.tdscpc.gov.in TRACES – T DS R econciliation A nalysis and C orrection E nabling S yste...
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LEASE-DEED (A brief Introduction) Lease defined. A lease of immovable property is a transfer of a right to enjoy such property, mad...
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Particulars in Part 1 and Part 2 of Step-2 of registration form are required to be exactly the same as reported in the TDS statement. Plea...
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Introduction It's important for taxpayers to have a clear understanding of the available allowances and deductions, as they can grea...
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· Mumbai ITAT in the case of Mukesh Harilal Mehta held that Exemption U/S 54 cannot be denied merely due to mistake by the developer.
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Earlier this year, the Mauritius Government approved the amendment to the India – Mauritius tax treaty, aligning it with the proposal of th...
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Slump sale is transfer of one or more business undertakings for a lump sum consideration, without assigning individual values to the each...
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This Tax Alert summarizes a recent judgement of the Delhi High Court (HC) [1] dealing with the issue of denial of input tax credit (ITC) ...
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This Tax Alert summarizes a recent instruction issued by the SEZ Division, Department of Commerce, clarifying various concerns relating t...
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An eminent concern within the GST framework pertains to the entitlement of Input Tax Credit (ITC) concerning expenditures associated with In...