Tax Due Date - December 2025.

 

S No	Due Date	Related to	Compliance to be made
1	11.12.2025	GSTR – 1	Filing of GSTR – 1 for the month of November 2025
2	13.12.2025	GST ISD	Filing for the month of Nov 2025
3	20.12.2025	GST	Payment of GST for the month of November, 2025 Filing of GSTR 3B for the month of November, 2025
4	07.12.2025	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 November 2025. · Deposit TDS from Salaries deducted during the month of November 2025 • Deposit TCS for collections made under section 206C including sale of scrap during the month of November 2025, if any • Deliver a copy of Form 15G/15H, if any to CCIT or CIT for declarations received in the month of November 2025, if any
5	15.12.2025	Income tax	Payment of Advance tax for the Corporate and Non Corporate assesses –Amount not less than 75% and 60% of advance tax respectively.
6	31.12.2025	GST	Filing of Annual Return -  GSTR 9 & 9C.

HC holds two-year period of limitation for claiming refund of wrongly paid tax is not mandatory

 This Tax Alert summarizes a recent ruling^[1] of the Karnataka High Court (HC) on whether the two-year time limit prescribed under Section 54 of the Central Goods and Services Tax Act, 2017 (CGST Act) is mandatory or directory.

Tribunal rules that exemption on gifts from relatives does not require a gift deed

 In a recent decision, the Kolkata Tribunal held that where an individual receives cash from his brother-in-law (a specified relative under the tax laws) through banking channels, a gift deed is not required to establish its tax-exempt nature.

Nature of land determined as "agricultural land" at time of acquisition, the subsequent stamp duty reclassification as “non-agricultural” cannot warrant tax addition

 The Ahmedabad ITAT recently held that decision of Sub-Registrar to determine stamp duty value treating the land as “non-agricultural land” does not in itself alter the actual nature of the property. Since the land in question was demonstrably agricultural in nature, the ITAT held that the addition made under Section 56(2)(x) of the Income-tax Act, 1961 (“the Act’) being the difference of actual consideration and stamp duty value was unsustainable.

ITAT Mumbai rules redevelopment consideration in real estate projects taxable in hands of individual members, not the co-operative society

 The Income Tax Appellate Tribunal (ITAT), Mumbai Bench, has recently delivered an order in the matter of RBI Employees Bhagvati Co-operative Housing Society Ltd., deciding on taxability of consideration received on redevelopment projects and clarifying whether capital gains arising from transfer of development rights are taxable in the hands of the co-operative housing society or its individual members.

Bombay HC: Penalty Order on Tax Adjustment held unsustainable when Quantum Appeal (the Tax Adjustment itself) pending before ITAT

 In a significant ruling, the Hon’ble Bombay High Court held that a penalty order passed under section 271(1)(c) of the Income-tax Act, 1961 (‘the Act’) is invalid where the appeal relating to quantum matter is pending disposal by the Income Tax Appellate Tribunal (‘ITAT’). The Court clarified that section 275(1)(a) of the Act, contains a substantive statutory bar that prohibits the Assessing Officer (‘AO’) from imposing penalty until the quantum appeal has been disposed of, making any penalty order issued in the interim, legally unsustainable.

CESTAT holds royalty paid by OEM to overseas entities is includible in the assessable value of goods imported by contract manufacturer

 This Tax Alert summarizes the recent ruling ^[1] of the Customs, Excise and Service Tax Appellate Tribunal, Chennai (CESTAT) on whether the royalties paid by original equipment manufacturer (OEM) to overseas entities should be added to the assessable value of the goods imported by Contract Manufacturers (CMs).

The Human Toll of Tax Limbo: Navigating the Maze of Pending Litigations

 In the complex world of taxation, a dispute with the authorities is more than just a line item on a balance sheet. It represents a state of suspended animation for the individuals and businesses caught in its grip. The growing mountain of pending tax litigations is not merely a statistical concern for economists; it is a human drama of stress, financial strain, and an agonizing wait for clarity. For the people behind these cases, the process is a grueling marathon where the finish line is not only distant but also completely shrouded in fog, a situation exacerbated by systemic issues like legal complexity, officer discretion, and the new era of faceless assessments.

NCLT Mumbai permits amendment to approved Scheme of Amalgamation regarding change in accounting method

 The National Company Law Tribunal (NCLT), Mumbai Bench, has recently delivered an Order in the matter of Ecospace IT Park Pvt. Ltd. (“Applicant Company”), clarifying the scope of modifications to Schemes of amalgamation after its approval, especially with regard to amendments in accounting treatment under the Companies Act, 2013.

Voluntary Revision Made Possible: Section 18A of Customs Act

Madras High Court upholds validity of tax assessment made in deceased person’s name

 Recently, the Madras High Court has held that an income tax assessment made in the name of a deceased person remains valid and enforceable against his legal heirs.

Tribunal ruling holds tax rate of 25.17% applies even to long term capital gains

 In a recent significant ruling, the Tribunal has held that once a company opts for the Concessional corporate tax regime (Section 115BAA) the uniform rate of 22% applies to all types of income, including capital gains. As a result, the separate concessional tax rates (@12.5% effective 23^rd July 2024) for capital gains will not apply once the company opts for the new regime.

In the present case, the assessee, a domestic company, filed its return for A.Y. 2021-22 declaring Long-term Capital Gain (LTCG) arising from sale of land. For the year under consideration, the assessee had opted for the concessional corporate tax regime under Section 115BAA. While computing its tax liability, the assessee applied the rate of 20% on LTCG. The AO, however, recomputed the tax at 22% under Section 115BAA and raised an additional demand.

The assessee contended that LTCG should be taxed at 20% (now taxable @12.5% effective 23^rd July 2024) as per the specific provisions applicable to capital gains. The Tribunal, however, held that since the assessee had opted for the concessional tax regime under Section 115BAA, the applicable rate of tax on its total income, including LTCG, would be 22%. Accordingly, the order of the CIT(A) was upheld, and the appeal filed by the assessee was dismissed.

Delay in filing Form 10-IC held procedural and benefit of concessional tax @ 25.168% for a Company allowed

 Recently, the Hon’ble Mumbai Income-tax Appellate Tribunal (‘ITAT’) in the case of Staubli Tec Systems India Private Limited (‘the Company’) has allowed the company the benefit of the concessional rate under section 115BAA of the Income-tax act, 1961 (‘the Act’) despite delay in filing Form 10IC. The Tribunal held that delay in filing Form 10IC is a procedural issue and does not affect the substantive right of the assessee to claim the tax benefit.

GAAR Panel applies anti-avoidance provisions to NCLT approved demerger

 The Approving Panel under General Anti-Avoidance Rules (GAAR), in a landmark direction, has characterized the demerger of Digital, Media and Communication Business Undertaking of NXT Digital Limited into Hinduja Global Solutions Limited (HGSL) as an "impermissible avoidance arrangement". This marks a rare instance where a NCLT approved corporate restructuring has been subjected to anti-avoidance scrutiny, challenging the presumption that NCLT-sanctioned schemes are immune from GAAR provisions.

Singapore entity not conduit as satisfies PPT / LOB conditions : Grants LTCG exemption under treaty

 The Hon’ble Income-tax Appellate Tribunal, Mumbai Bench (‘Tribunal’) recently held that long-term capital gains (LTCG) arising to Fullerton Financial Holdings Pte. Ltd., Singapore (‘the taxpayer’) on the sale of shares of Fullerton India Credit Company Limited (FICCL, India) to Sumitomo Mitsui Financial Group (Japan) are exempt from tax in India, as the gains qualify for exemption under Article 13(4A) and also satisfies the conditions prescribed in Article 24A (Principal Purpose Test (PPT) and Limitation of Benefits (LOB) clause) of the India–Singapore Double Taxation Avoidance Agreement (‘India–Singapore DTAA’).

Telangana High Court upholds treatment of business transfer as slump sale – fragmentation of consideration not permissible

 The Hon’ble Telangana High Court, in a recent decision, upheld the finding of the Tribunal that the transfer of a business undertaking as a going concern for a lump-sum consideration constituted a slump sale, rejecting the Revenue’s approach of fragmenting the transaction and taxing parts of the consideration as business income.

International Tax: India's Share Buyback - Dividend or Capital Gain?

A recent discussion with a colleague highlighted a key international tax dilemma: when an Indian company buys back shares from a non-resident individual, is it taxed as a dividend or as a capital gain? The answer determines the applicable tax treaty article and the final tax burden.

The Indian Law Change

The 115BAA Conundrum: Does a Flat 22% Tax Obliterate Special Capital Gains Rates?

 A  significant legal fault line has emerged across India’s tax tribunals, creating uncertainty for corporations that opted for the concessional tax regime under Section 115BAA. The core question is deceptively simple: does choosing this flat 22% tax rate also apply this rate to capital gains income, or do the special rates under sections like 111A and 112 continue to apply? The recent Delhi ITAT ruling in Maharishi Education Corporation has thrown a wrench into what was becoming a settled interpretation, prompting a crucial discussion on legislative intent and statutory harmony.

Income tax valuation rules inapplicable to cash compensation under development agreement of real estate deals

 The ITAT Mumbai Bench, in a recent ruling in the case of Suvarna Chandrakant Bhojane v. ITO, has clarified that the deeming provisions of Section 50C of the Income-tax Act, 1961, cannot be invoked where the assessee merely receives cash compensation and no transfer of immovable property actually takes place.

A Blueprint for Better Tax Incentives: Principles for Policymakers

Tax incentives—preferential tax provisions meant to promote specific activities—are a powerful but double-edged sword for governments. While they can spur investment, innovation, and social good, they also carry significant risks: draining public revenue, distorting markets, and creating opportunities for abuse. In response, the Platform for Collaboration on Tax (PCT)—a joint initiative of the IMF, OECD, UN, and World Bank—has established a set of aspirational principles to guide policymakers through this complex terrain.

Navigating the Tariff Storm: A Guide to Transfer Pricing Adjustments

In the complex world of international business, multinational enterprises (MNEs) face a new and significant challenge: adapting their transfer pricing strategies to a landscape reshaped by tariffs. Transfer pricing—the rules for setting prices on transactions between related companies in different countries—is built on the "arm's length principle." This means the prices should be as if the companies were independent, unrelated parties.