oil and gas

Companies into hydrocarbon exploration and production business have asked the Government to remove uncertainties over tax and marketing regime before the ninth round of bidding for oil and gas areas is launched later this year. Full Article

S. 44BB applies to an assessee engaged in the business of providing services or facilities in connection with ….. the prospecting … of mineral oils. On the other hand, Explanation 2 to s. 9 (1) (vii) defines “fees for technical services” to mean consideration for the rendering of technical services but not including consideration for mining or like project undertaken by the recipient. Full Article

The Institute of Chartered Accountants of India (ICAI) is planning to introduce sector-specific accounting standards to bring in more transparency in handling corporate accounts. ICAI Committee for Members in the Industry (CMII) has already formed three groups in sectors such as insurance, retail and hospitality  and is in the process of forming another 19 groups [...] Full Article

SUMMARY OF CASE LAW The mobilization/ demolization charges received by a non-resident foreign company in connection with supply of plant and machinery form part of gross receipts for the purpose of computing the income under section 44BB irrespective of whether the same was paid or payable in or outside India. Full Article