This Tax Alert summarizes a recent ruling of the Karnataka High Court (HC) [1] on the constitutional validity of Health Security se National Security Cess Act, 2025 (HSNS Cess Act), the Health Security se National Security Cess Rules, 2026 (HSNS Cess Rules) and the notifications issued thereunder.
The key observations of the HC are:
This Tax Alert summarizes the recent advisory1 issued by Goods and Services Tax Network (GSTN) keeping the proposed enhancements to the e-Way Bill system on hold until further notice.
The key observations of the HC are:
|
Sl. No |
Due
Date |
Related
to |
Compliance
to be made |
|
1 |
11.08.2026 |
GST |
Filing
of GSTR – 1 for the month of July 2026 |
|
2 |
31.08.2026 |
Income
Tax |
Filing
of Form 10 of Charitable Trust |
|
3 |
13.08.2026 |
ISD |
Filing
for the month of July 2026 |
|
4 |
20.08.2026 |
GST |
Payment
& filing of GST return for the Month of July 2026 - Form GSTR 3B |
|
5 |
07.08.2026 |
TDS/TCS (Income Tax) |
·
Deposit TDS for payments of Salary, Interest, Commission or Brokerage, Rent,
Professional fee, payment to Contractors, etc. during the month of July 2026. · Deposit TDS from Salaries deducted during the
month of July 2026 Deposit TCS for collections made under section 394 including sale of
scrap during the month of June 2026 if any Deliver a copy of Form 121(15G/15H), if any to
CCIT or CIT for declarations received in the month of June 2026, if any |
-Sakshi Agarwal
Let’s start with a small story in this regard. Client B runs a highly successful, medium-sized manufacturing firm that produces industrial packaging. Because he spent most of his time on the factory floor and pitching to new clients, he entrusted his entire back-office operations to Mr. A, a loyal senior accountant who had been with the company for over a decade. Mr. A was considered part of the family; he rarely took vacations, worked late on weekends, and single-handedly managed vendor payments, payroll, and bank reconciliations.
Kentucky has introduced several important sales and use tax developments that take effect August 1, 2026. If your business sells products or services into Kentucky—especially digital offerings or through remote sales channels—now is a good time to review your compliance obligations.
Here are the key updates:
Recent judicial pronouncements have provided significant clarity on the rights of taxpayers and the limitations of tax authorities under Indian tax law. Three important rulings—from the Supreme Court on GST input tax credit, the Chennai ITAT on income tax penalties, and the Mumbai ITAT on demergers—offer crucial guidance for businesses navigating complex tax disputes. Each decision reinforces the principle that tax authorities must act within statutory boundaries and cannot penalize taxpayers arbitrarily.
The India-Mauritius DTAA, which entered into force on 1 April 1983, was amended by way of Protocol signed on 10 May 2016 [1] (2016 Protocol), wherein largely the source country taxation rights were enhanced and Limitation of Benefits (LOB) clause was included apart from the Exchange of Information (EOI) and Assistance in Collection of Taxes related provisions. The 2016 Protocol did not contain the Base Erosion and Profit Sharing (BEPS) related changes.
The Delhi High Court (HC) [1] has recently ruled in favor of the Revenue on the issue of taxability of cost reimbursements received by a foreign Taxpayer from Indian entities in respect of secondment of employees. The HC held that such receipts are taxable as Fees for Included Services (FIS) under Article 12 of the India–USA Double Taxation Avoidance Agreement (‘the treaty’) as the secondment arrangement satisfied the “make available” test.
This Tax Alert summarizes a recent ruling of the Calcutta High Court (HC) [1] on whether an adjudication order under Section 73 of the Central Goods and Services Tax Act, 2017 (CGST Act), which was digitally signed within the prescribed limitation period but uploaded on the common portal thereafter, can be treated as validly issued order, enforceable in law.
1. The Core Solution: Coordinate with Your Customer and Re-Report
The GST law provides a very clear and straightforward remedy for this situation. The system is designed to capture the "delta" (the net change) rather than penalizing you for a one-off rejection. The golden rule here is reconciliation, not refund.
The most efficient and widely recommended solution involves a simple two-way coordination between you (the supplier) and your customer (the recipient).
This Tax Alert summarizes a recent ruling of the Delhi Income-tax Appellate Tribunal (Tribunal) in case of Seaview Developers Pvt. Ltd. (Taxpayer) v DCIT[1] on the issue of characterization of a court-approved reduction of share capital undertaken by an unlisted company. The key issue before the Tribunal was whether a reduction of share capital implemented pursuant to a scheme sanctioned by the Bombay High Court could be recharacterized as a buy-back of shares and subjected to the buy-back tax regime which trigger levy in the hands of the company while the income in the hands of shareholders is exempt.
Delhi ITAT held that commission paid by an exporter to an overseas sourcing agent for procurement of export orders and follow-up on realisation of proceeds is not Fee for Technical/Consultancy Services, and accordingly no tax was required to be withheld and therefore, the resultant disallowance for non-deduction was deleted.
Background
The Central Board of Direct Taxes, in exercise of the powers conferred by section 139 read with section 295 of the Income-tax Act, 1961 (‘the Act’) recently vide multiple notifications (Notification No. 57/2026 to Notification No. 60/2026 and Notification No. 62/2026) introduced various income-tax return forms (ITR-1 to ITR-5 and ITR-7) applicable for AY 2026-27.
