collections

NOTIFICATIONS NO. DPSS.CO. (CHD) NO. 873 / 03.09.01/ 2008-09, DATED 24-11-2008 As you may be aware, during August 2006, a case was filed before National Consumer Disputes Redressal Commission, New Delhi (the Commission) under the Consumer Protection Act, 1986, inviting attention to the delays in cheque clearing and, specifically, to the issue of float in [...] Full Article

In March 2008, Central Board of Direct Taxes (CBDT) inserted Rule 8D in the income tax rules laying down the formula for the disallowance of expenses incurred in relation to exempt income. With the recent pressures to boost tax collections, the rule has created an endless bout of litigation as authorities are taking aggressive tax positions resulting [...] Full Article

Accounting regulator, Institute of Chartered Accountants of India (ICAI) has asked the private and public-sector banks to hire the services of qualified auditors instead of chartered accountants who render ‘compilation engagement’ services.  In a compilation engagement, a chartered accountant uses his accounting expertise as opposed to the auditing expertise to collect, classify and summarize financial [...] Full Article

SUMMARY OF CASE LAW Where the assessee was prohibited by reasonable cause for not deducting the TDS, the penalty imposed under section 271C was liable to be quashed. CASE LAW DETAILS Decided by: ITAT, DELHI BENCH `H’ NEW DELHI, In The case of: Sahara India Fianncial Corpn. Ltd. v. Addl. CIT , Appeal No. : ITA [...] Full Article

SUMMARY OF CASE LAW Where the assessee was giving space with services and facilities, which were varied and wide, such activities together would definitely constitute an organized structure for making profits, and the same would necessarily constitute a business. CASE LAW DETAILS Decided by: ITAT, MUMBAI BENCH `A’: MUMBAI, In The case of: Gesco Corpn. [...] Full Article

SUMMARY OF CASE LAW The relationship between the assessee-airlines and the travel agent is one of principal and agent; the supplementary commission which is the amount retained by the travel agent is commission within the meaning of section 194H read with Explanation (i) to the said section; the difference between the full value of the [...] Full Article

Individual and small corporate taxpayers will get income or corporate tax refunds in four months, with the refund banker scheme spreading across the country soon. The refunds, arising out of tax payments and TDS collections, usually take more than a year to reach the average taxpayer. “Tax and TDS refunds will now reach the individual and [...] Full Article

TAN is a unique identification number, which is allotted to people who are deducting or collecting tax at source on behalf of the income tax department. It has to be quoted in all TDS/ TCS returns. As in the case of permanent account numbers (PAN) that helps to keep track of all assessees and their returns, TAN is used to keep a tab on all tax dedicators and deductions. If all these officers have a TAN, It would be easier to track collections by state governments throug.. Full Article