• Oct
  • 24
  • 2014

Profits and Gains from Business and Profession – Brief Study

Added In Income Tax
In our series of Articles on Tax Treatment of Income from Different Sources we earlier explained Provisions of Income From Salary and Income from House Property, which can be accessed at the following links :- Tax Treatment of Income from Salary in Brief All about Income from House Properties In this Article we have discussed […]

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  • Oct
  • 24
  • 2014

Issues in ‘Re-issue’ of refund of Income Tax by CPC

Added In Income Tax
CA. M. Lakshmanan At present issue of cheque by State Bank of India for refund of Income Tax has been dispensed with and the refund due is transferred to the account of the assessee by ECS. But in certain cases the refund does not reach the account of the assessee due to various reasons viz. […]

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  • Oct
  • 23
  • 2014

Cash seized during search cannot be adjusted against advance-tax liability

As per provisions of section 132B of the Act the assets seized u/s 132 or requisitioned u/s 132A may be adjusted towards the amount of any “existing liability”. The Explanation 2 attach to section 132B of the Act clarifies that for removal of doubts it is hereby declared that the “existing liability” does not include […]

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  • Oct
  • 23
  • 2014

AO can issue notice u/s 148 despite non expiry of time limit for issuing notice u/s 143(2)

condition precedent for proceeding under section 147/148 of the Act was that the Assessing Officer should have reason to believe that income had escaped assessment. The Hon’ble jurisdictional High Court further held, The notice under section 147/148 issued to the petitioner was not vitiated merely for the reason that notice under section 143(2) had not been issued to it.

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  • Oct
  • 23
  • 2014

All about Income from House Properties

Added In Income Tax
1 Basis of Charge [Section 22]: Income from house property shall be taxable under this head if following conditions are satisfied: a) The house property should consist of any building or land appurtenant thereto; b) The taxpayer should be the owner of the property; c) The house property should not be used for the purpose […]

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  • Oct
  • 23
  • 2014

Deemed dividend applies only where there is ‘actual payment’ & not on transaction in kind

CA Pankaj G. Shah Deemed Dividend – For invoking provisions of Section 2(22)(e) there should be actual payment, existence of Reserves at the time of making payment – Credit sale is not ‘loan’ or ‘advance’ for purpose of S.2(22)(e) – ITAT Indore Bench Please find attached a recent decision of Parag Desai v. Addl. CIT […]

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  • Oct
  • 23
  • 2014

Gold & Silver rates for current & last ten assessment years & on April 1, 1981

Added In Income Tax
Value of gold contained in gold ornaments should be reduced by 14 to 20 per cent of ruling rates of standard gold, as per the practice prevalent in the bullion market and the amount of reduction has to be worked out in the following manner :

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  • Oct
  • 23
  • 2014

TDS Provisions – Section 194-IA – Payment on transfer of certain immovable property

Added In Income Tax
Deduction of tax at source from payment on transfer of certain immovable property [AY 2014-15 & AY 2015-16] 1 Provisions of Section 194-IA: (1) Any person, being a transferee, responsible for paying (other than the person referred to in section 194LA) to a resident transferor any sum by way of consideration for transfer of any […]

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  • Oct
  • 23
  • 2014

Refund cannot be denied for failure on the part of Income Tax Department

There is no dispute about the fact that the order of penalty at annexure A dated 12.3.2010 was made against the petitioner on the basis of the assessment of income of the petitioner done by the assessing officer under section 143(3) of the Act. While completing the assessment, the assessing officer formed an opinion that […]

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  • Oct
  • 22
  • 2014

Celebrating Diwali Differently

Added In Finance
Dr. Sanjiv Agarwal As we all celebrate the festival of Diwali next week, we see hectic business activities and preparations all around – host of business exhibitions; sale of what not; decked up markets, shops, showrooms, hotels etc; investments in durables, metal, stocks, vehicles, appliances and tons of shopping at personal level. Each one has […]

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