In order to give immediate relief,a bonus incentive (over and above the present benefits) of two per cent has been announced by Commerce and Industry Minister Anand Sharma to sectors like handicrafts, handloom, silk carpets, leather and leather manufacturers, sports goods, toys and select bicycle parts. The extra sops are two per cent of the export value.
As per information available with the Ministry of Textiles, a total of 334 textile mills were enlisted with the Textile Commissioner’s Office, Mumbai, during the Eleventh Plan. These included 177 non-SSI spinning units, 11 non-SSI composite mills, 138 SSI spinning units and 8 Exclusive Weaving Mills. Information relating to the units that came up in the decentralized segments such as knitting, processing, garmenting and made-ups is not available.
Paragraph 32 of the Employees’ Pension Scheme, 1995 provides for annual valuation of the Pension Fund by valuer appointed by the Central Government.
It has been suggested to the Board that in order to reduce transaction cost involved in factory stuffing inspection by Central Excise officers scheduling factory stuffing permission should be provided on line by the department. This suggestion has been accepted y the department.
Tamil Nadu Magnesite Ltd. Vs. CIT (Madras HC) – In view of the law laid down by the Hon ble Supreme Court in Commissioner of Income Tax v. Gujarat Electricity Board (cited supra), after passing of an order under Section 143(3) of the Act, intimation under Section 143(1)(a) of the Act gets merged with the said order under Section 143(3) of the Act and the intimation under Section 143(1)(a) of the Act does not any more independently survive for rectification by the Assessing Authority under Section 154 of the Act.
The Institute of Chartered Accountants of India (ICAI) is likely to ask for powers to penalise errant audit firms, but only with prior approval from the government. The ICAI Council, the apex decision-making body that met last week, was divided on the issue of the regulatory agency for auditors getting powers to penalise firms as well.Instead, it agreed that the powers be used only in special circumstances, said members present in the meeting.
Income tax – Sec 32(1) – Assessee-company claims depreciation on trucks registered in the name of Director – Revenue disallows – Tribunal allows the appeal – held, since the vehicles have been purchased in the name of the Director only for convenience sake and rents have been credited to the company’s account and even tax has been paid on the same, depreciation cannot be disallowed now as it is in effective possession of the company – Revenue’s appeal dismissed : ALLAHABAD HIGH COURT;
The Assessing Officer added the difference between purchase price disclosed in the sale deed and purchase price of the property adopted for the purpose of paying the stamp duty to the total income of the assessee as income from unexplained sources. The Commissioner of Income-tax (Appeals) deleted this addition by holding that section 50C is a deeming provision for the purpose of bringing to tax the difference as capital gain.
The assessee had received interest free deposit in respect of shops given on rent. The Assessing Officer added to the assessee’s income notional interest on the interest free deposit at the rate of 18 per cent simple interest per annum on the ground that by accepting the interest free deposit, a benefit had accrued to the assessee which was chargeable to tax under section 28(iv).
In a case where the partnership deed does not specify the remuneration payable to each individual working partner but lays down the manner of fixing the remuneration, would the assessee- firm be entitled to deduction in respect of remuneration paid to partners?
