The Income Tax Department needs to immediately add 30,000 more employees to carry out its existing operations, a senior Finance Ministry official said.“To avoid affecting the overall revenue collection and delivery of tax payer services, the department immediately requires 22,000 additional employees apart from filling up the 8,000-odd vacant positions,” the official said.
Life insurance companies anticipate a fall in premium collected through unit-linked pension products. This is due to the Insurance Regulatory and Development Authority (IRDA) making life cover compulsory with pension plans.
The director of income tax has sought the interference of the Supreme Court in deciding whether the payments made by Indian hotels, including ITC, to hospitality major Sheraton International Inc would fall under business profits or royalties and fees under the double taxation avoidance agreement between India and the US.
Recently, the Delhi High Court in the case of Maharishi Housing Development Finance Corporation Ltd. v. ACIT (ITA no. 222 of 2009) (Delhi) after following its own decision in the case of Van Oord ACZ India (P) Ltd v. CIT [2010-TIOL-1 87-HC-DEL-IT] held that the question of tax withholding in case of payment made to non-resident would arise only if the said payment is chargeable to tax in India.
Recently, the Bombay High Court in the case of M/s. Essel Propack Limited [2010-TIOL-209-HC-MUM-IT] held that the technical know how fee paid by the taxpayer for acquiring non exclusive licence to manufacture some machines, which was confined to the territory of India for the term of five years during which the proprietary rights in the patents of the licence continued to vest in the licensor,
Recently, the Authority for Advance Rulings (AAR) in the case of Laird Technologies India Pvt. Ltd. [2010-TIOL-06-ARA-IT] has held that the fees received by the USA company for assigning contractual rights to the applicant for supply of products in India is taxable as business profits and in the absence of a Permanent Establishment (PE) such consideration is not taxable in India under the India-USA tax treaty (the tax treaty). Accordingly,
Recently, the Authority for Advance Ruling (AAR) in the case of M/s Amiantit International Holding Ltd. [2010-TIOL-07-ARA-IT] held that the capital gains is taxable only when the applicant derive any profit or gain in the form of money or money’s worth or which is capable of being turned into money has accrued or arisen to the applicant.
AAR held that income received by a foreign company for procurement support services rendered by its Indian office in connection with purchase operations undertaken by other foreign company in India, is taxable in India.
The Parliamentary Standing Committee on Finance, which is examining the Companies Bill, has had 16 meetings so far and understood to have reached an advance stage in finalising its report. Mr R. Bandhyopadhyay, Secretary, Ministry of Corporate Affairs, told reporters here on Saturday that the Ministry was awaiting Parliamentary debate after the committee placed it report to the Houses.
Delhi High Court has again granted stay to Home Solution Retail (I) Ltd. in W.P. (C) No. 3398 of 2010 on 18.05.2010 from payment of service tax on renting of immovable property. The stay is not on services in relation to renting but on renting per se.
