Description : Assessee entered into an agreement for purchase of property for infrastructural facilities for business, assessee terminated the agreement and paid compensation, payment to be treated as capital in nature and not allowable as revenue expenditure. Source: 1. AIFTP TIMES, Volume.2. January, 2011.Page No.12. […]
Read MoreDescription: Where capital assets are acquired by obtaining a loan and subsequently, loan amount is waived by other party, principal amount of loan waived by other party cannot be brought to tax under section 28(iv) or under section 41(1). Dy CIT vs. Logitronics (p) Ltd.(2010) 127 ITD 16 (Delhi). Source: 1. AIFTP TIMES.Volume.2, January 2011, […]
Read MoreDescription: Non-filing of audit report with ROI not fatal to section 11 exemption. Report filed in the course of assessment proceedings should be considered. ITO vs. Sir Kikabhal Premchand Trust (ITAT, Mumbai). Source: 1. www.itatonline.org. 2. AIFTP TIMES. Volume No.11, Nov.2010, Page No.12. Our Comment : Filing of Returns is not mandatory for continuation of […]
Read MoreDescription: Section 234D applies from A.Y.2004-05 and is not retrospective. DIT vs. Jacabs Civil Incorporated. (Delhi High Court). Source: 1. www.itatonline.org. 2. AIFTP TIMES. Volume No.11 Nov.2010.Page No.12. Our Comment: Interest on Refund U/s 234d is not retrospective and not applicable for the Asst. Years earlier to Asst. Year: 2004-05
Read MoreDescription: “Discount” for supply of SIM Card is “Commission” for S.194H is applicable. Vodafone Essar Cellular vs. ACIT (Kerala High Court). Source: 1. www.itatonline.org. 2. AIFTP TIMES. Volume No.11 Nov.2010.Page No.12. Our Comment: Discount on SIM cards is Commission.
Read MoreDESCRIPTION: Mere lack of Inquiry by Assessing Officer is not sufficient for revision under section 263. CIT vs. Vikas polymers (Delhi High Court). SOURCE: 1. www.itatonline.org. 2. AIFTP TIMES. Volume No.11 Nov.2010.Page No.12. OUR COMMENT: Assessment Order passed after considering the issue cannot be revised on the same gound
Read More