S.80-IA: Industrial undertakings-Infrastructure development–Developer –Contractor:

 

 

Assessee-company was in business of construction and had carried out construction of bridges of

certain Government Organizations. As per assessee, income from eligible business was 100 percent

exempt in view of provisions of section 80-IA. AO held that assessee was not a "Developer" but

Financial Statements Disclosures Required Under IFRS

As it is required under the US-GAAP, a supplemental disclosure for financial statements is also required under the IFRS—generally shown as notes to the accounts.

To help users to understand the financial statements and to compare them with financial statements of other entities, an entity normally should present notes in the following order:
1. Statement of compliance with IFRS
2. Summary of significant accounting policies applied
3. Supporting information for items presented in the financial statements
4. Other disclosures
More detailed explanations are presented below. Read on…

Deduction u/s. 80TTA on Interest on Deposits in Saving Account for Asstt. Year 2014-15.

Interest on savings account has income tax exemption up to Rs. 10,000 from 01 April 2013. The new Section 80TTA has been introduced from the Financial Year 2012-13 and it allows to an employee from his gross total income if it includes any income by way of interest on deposits (not being time deposits) in a savings account.

Eligibility for 80TTA

Penalties and Furnishing of particulars pertaining to perquisites, etc Section 192 (2C).

As per section 192(2C), the responsibility of providing correct and complete particulars of perquisites or profits in lieu of salary given to an employee is placed on the person responsible for paying such income i.e., the person responsible for deducting tax at source. The form and manner of such particulars are prescribed in Rule 26A, Form 12BA (Annexure II) and Form 16 of the Rules. Information relating to the nature and value of perquisites is to be provided by the employer in Form 12BA in case salary paid or payable is above Rs.1,50,000/-. In other cases, the information would have to be provided by the employer in Form 16 itself.

Whether when assessee makes payments to builder for purchase of flat but builder fails to give delivery as per scheduled time, Sec 54F benefits are available even in such a case - YES: ITAT

THE issue before the Bench is - Whether when the assessee makes payments to a builder for purchase of flat but the builder fails to give delivery as per scheduled time, Sec 54F benefits are not available in such a case. And the verdict favours the assessee.

Facts of the case

CBDT Order U/s 119 Extending Due Date For Paying Advance-tax

 

The CBDT has issued an Order dated 13.12.2013 under section 119(2)(ia) of the Income-tax Act, 1961 extending the last date of payment of the December Quarter Instalment of Advance Tax for the financial year 2013-14 from 15th December 2013 to 17th December 2013 for all the assessees, Corporate and other than Corporates.

The Service Tax Voluntary Compliance Encouragem​ent Scheme – issues for clarificat​ion

F. No. B1/19/2013-TRU (Pt.)

New Delhi the 11^thDecember, 2013

To,

All Chief Commissioners of Central Excise/Service Tax

Director General Service Tax

All Commissioners of Central Excise/Service Tax

Madam/Sir,

Sub: The Service Tax Voluntary Compliance Encouragement Scheme – issues for clarification – reg

The undersigned is directed to state that the Boardhas issued clarifications on issues concerning various aspects of the VCES, vide circulars dated 13.05.2013, 8.08.2013 and

S. 41(1): Liability outstanding for long period of time is assessable as income (despite no write-back in A/cs) if assessee is unable to prove genuineness of liability

ITO vs. Shailesh D. Shah/ Yusuf R Tanwar vs. ITO (ITAT Mumbai)

The assessee, engaged in the business of civil construction and labour contractor, had an amount of Rs. 86.25 lakhs shown as outstanding labour charges in his balance sheet that had remained unpaid for more than three years. The AO held that the fact that the amount was outstanding for so many years was abnormal. As the assessee was unable to give the addresses and labour bills of the labourers, he held that the assessee had failed to prove the genuineness of the liability and that it had

What are Common Rejection Reasons after Correction TDS/TCS Return ?

The status of Original/Regular TDS Statement and "Y" Correction TDS Statements is available at www.tin-nsdl.com and Other Correction TDS Statement Rejection status is avialble at www.tdscpc.gov.in. Both the site are gives us rejection TDS Statement status. But, on the contrary many TDS Deductee, Deductor or Collector are far aware from the resons of TDS/TCS Statement rejection. Know the possible reasons of statement rejection along with the explanation and resolutions, which is as under:

Whether any disallowance of expenditure u/s 14A is warranted if dividend income is earned on shares held as stock in trade - YES: ITAT

THE issue before the Bench is - Whether any disallowance of expenditure u/s 14A is warranted if dividend income is earned on the shares held as stock in trade. And the verdict goes against the assessee.

Facts of the case

Worldwide R&D incentives

Do you know what all R&D incentives are available across the world that you can benefit from?  Governments across the world have a progressive outlook toward R&D activities and continues to promote such activities, focusing strongly on the science and technology fields.

 

Few Examples are

Expenditure on acquiring master copies of software used for duplication and licensing is revenue in nature

 

This Tax Alert summarizes a recent decision of the Delhi High Court (HC) in the case of Oracle India Private Limited (Taxpayer) v. CIT on the issue of characterisation of expenditure, as capital or revenue, incurred for import of master copy of software used for duplication and sub-licensing to customers in India.

Cochin ITAT rules export commission as technical service fee

 

This Tax Alert summarizes a recent ruling of the Cochin Income Tax Appellate Tribunal (ITAT) in the case of Device Driven (India) Pvt. Ltd. (Taxpayer) on the taxability of export commission earned by a nonresident (NR) Service Provider (SP) from outside India when such SP was also a director of the Taxpayer.

CIT-DR’s behaviour termed“totally irresponsible, contemptuous and malicious”. Costs imposed & action for contempt of court to be initiated

Lala Harbhagwan Das/ Laksons vs. CIT (ITAT Delhi)

In a rare and unfortunate incident of conflict between the Departmental Representatives and the Bench, the ITAT has passed severe strictures against the CIT-DR. Apparently he was not present in the court room when the matters were called out for hearing. Adjournment applications were also not filed. When he did appear, he was not prepared to argue the matter. When the Bench rejected his

S. 14A & Rule 8D: Expenditure on acquiring shares out of “commercial expediency”& to earn taxable income cannot be disallowed

CIT vs. Oriental Structural Engineers Pvt Ltd (Delhi High Court)

The assessee borrowed funds and invested Rs 6 crore in shares of subsidiary companies. It claimed that the said subsidiaries were Special Purpose Vehicles (SPVs) formed out of “commercial expediency” in order to obtain contracts from the NHAI and that the SPVs so formed engaged the assessee as contractor to execute the works awarded to them (i.e. SPVs) by the NHAI. It was pointed

GTA services - payment of service tax through CENVAT Credit

CCE, Indore vs. Spendex Industries Ltd - 2013 (31) STR 472 (Tri-Del.)

Facts:

The Respondents received GTA services and paid service tax under reverse charge mechanism by utilizing CENVAT credit which the department disallowed.

S. 14A & Rule 8D: Onus is on AO to show how assessee’s claim is incorrect. AO has to show direct nexus between expenditure & exempt income. Disallowance cannot be made on presumptions

DCIT vs. Allied Investments Housing P. Ltd (ITAT Chennai)

In AY 2009-10 the AO made a disallowance of Rs 58 lakhs u/s 14A read with Rule 8D. The assessee claimed that the disallowance was not permissible on the grounds that (i) the AO had not recorded any satisfaction as to the correctness of the assessee’s claim that it had not incurred expenditure of more than 2% of the dividend income earned, (ii) it had not made any fresh investment during the

All Salaried Employee must file Income Tax Return.

Unlike the past two years, salaried persons earning up to Rs 5 lakh annually will have to file income tax returns, CBDT said on Monday.

The Central Board of Direct Taxes (CBDT) had exempted salaried employees having total income of upto Rs 5 lakh including income from other sources upto Rs 10,000 from the requirement of filing income tax return for assessment year 2011-12 and 2012-13, respectively.

Upload Online e-TDS/e-TCS Return with service centre Links.

NSDL e-Governance Infrastructure Limited (NSDL) launched an online upload of e-TDS return facility enabling entities to directly furnish (upload) their e-TDS returns (Form 24, 26 and 27 only) to the TIN central system through the Internet on July 10, 2004.

Whether a scheduled bank is entitled to deduction under head provision for fraud in regular operations of the bank, irregularities and embezzlements - YES, it is a loss: ITAT

THE issues before the Bench are - Whether the assessee, a scheduled bank is entitled to deduction under the head provision for fraud in the regular operations of the bank, irregularities and embezzlements and Whether deduction u/s 36(1)(vii) is allowed to the assessee on provision for bad and doubtful debts not exceeding ten per cent of the aggregate average advances made by the rural branches as well as urban branches. And the verdict partly goes in favour of the assessee.

Facts of the case