Archive for 2012

It has been held that when any expenditure is incurred by an assessee on leasehold premises, even though it may give an enduring benefit, it would not amount to capital expenditure as no capital asset is being created in favour of the assessee. In some of the cases, the expenditure is on civil and electrical works also. Full Article

Unless the foreign remittances are credited in the account of assessee or at least credited in the account of the bank, it can not be said that the export proceeds have been received in or brought into India. The assessee has placed on record a certificate from State Bank of India which only states that the proceeds of the foreign remittances had been credited to the account of the assessee. Full Article

In the present case, though the cheque was received on 4.1.2007, the same was actually deposited in the bank on 5.2.2007 and must have been encashed on a date after that. As such, it is to be considered as if the consideration for the services was received by the appellant in the month of February itself, thus requiring them to deposit the tax with the department in March, 2007. Full Article

In view of the difficulties faced by exporters on account of the weakening of external demand, RBI has taken following measure; (i) Period of realization and repatriation to India of the amount representing the full export value of goods or software was enhanced from 6 months to 12 months. Full Article

Commissioners of Income-Tax (Appeals) were directed to bifurcate the appeals pending with them into four categories. High demand appeals brought forward as on the first day of the financial year involving disputed demand of Rs. 10 lakhs and above, have been identified as the first category for priority disposal. Full Article

The sanctioned and the working strength of the officers/staff in the Income Tax Department/Directorates as on 31.3.2012 are given as under:- Full Article

The Government is focusing on increasing use of Information Technology for detection of evasion of tax. The Government also receives information on tax evasion from public at large through letters, e-mails, reports in media etc. the Government grants rewards to persons who provide information useful for detection of tax evasion and realization of taxes subject to certain guidelines issued by Central Board of Excise and Customs (CBEC) and Central Board of Direct Taxes (.. Full Article

Reserve Bank of India had deregulated the interest rates on advances sanctioned by Scheduled Commercial Banks, with effect from October 18, 1994 and these interest rates were determined by bank themselves with the approval of their Boards, subject to Benchmark Prime Lending Rate (BPLR) and spread guidelines. Full Article

CIRCULAR No. MIRSD/13/2012, dated 7-12-2012 1. Please refer to SEBI Circular no. MIRSD/Master Cir-04/2010, dated March 17, 2010 on the captioned subject. 2. It has been decided, in consultation with Stock Exchanges and the associations of stock brokers, to modify the provisions of Para 2 & 3, Part I of the above mentioned Circular as [...] Full Article

If the business carried on by the trust is not in line with the object of the trust then whether the income from the business is liable to the exemption u/s 11. It was contended on behalf of the assessee that in case we hold that the assessee-trust is not eligible for exemption because the Katha business was itself not held under trust, it would produce an anomalous or discriminatory result inasmuch as all that is required is for the settler of the trust to declare that.. Full Article