Power of inspection, search, and seizure can be easily found to be in every taxation law. The purpose of these powers is always to detect any tax evasion on the part of dealers but these powers are always ancillary to the power of collection of tax of the State and are provided only for the proper collection of tax. While exercising these powers one must keep in mind the objects of such powers.
CIT Vs M/s Lakshmi Hospital (High Court Of Kerala At Ernakulum)- In this case also assessee conceded that the unaccounted receipts were collected for payment to doctors attending to patients in the hospital. What we notice is that the department has not made any effort to confront the doctors with the unaccounted payments stated to have been made to them by the hospital which engaged them.
CIT Vs Brahmaputra Consortium Ltd (Delhi High Court)- When the assessee accepts the excess depreciation claimed inadvertently and the same being disallowed by the AO, penalty u/s 271(1)(c) is not warranted in such a case.
Signature Hotels (P) Ltd. Vs ITO (Delhi High Court)- When the reason recorded for initiation of reassessment proceedings and the information received is extremely scanty and vague, and the material based on which the proceedings are initiated does not indicate escapement of income, the AO will have no jurisdiction to issue notice u/s 148.
Commissioner of Central Excise, Nagpur Vs Gurukripa Resins Private Limited (Supreme Court of India)- Central Excise- manufacture- Rosin and Turpentine- process of lifting water is incidental to manufacture; the operation of lifting of the water from the well to the higher levels, is so integrally connected with the manufacture of “Turpentine Oil” and “Rosin”, that without this activity it is impossible to manufacture the said goods and therefore, the processing of the said raw material in or in relation to manufacture of the said final goods is carried on with the aid of power.
The Institute of Chartered Accountants of India (ICAI) will submit a report to the Central Board of Direct Taxes (CBDT) next month with its recommendations on tackling issues related to black money. A nine-member committee is looking into India’s Double Taxation Avoidance Treaty Agreements (DTAAs) with various countries and a report is expected in September, ICAI president G Ramaswamy said today.
Only 6.74 lakh claims for refund of income-tax are pending with the I-T Department after it launched a special drive to clear the pendencies, Parliament was informed today. Responding to a query in the Lok Sabha, the Finance Minister, Mr Pranab Mukherjee, said while the department does not maintain records on the quantum of income-tax refunds claimed, as of March 31, 2011, approximately 38.26 lakh returns claiming refund were pending for processing.
Insurance regulator IRDA today made it mandatory for insurers to seek prior approval in case of stake transfer to domestic entities or financial institutions and set guidelines for seeking approval. As per a IRDA circular, the regulator will carry out the requisite due diligence of the proposed transferee or shareholder prior to grant of approval for registration of transfer of shares under the provisions of section 6A(4) of the Insurance Act, 1938 and for issue of shares to the proposed transferee or shareholder.
DCIT Vs Summit Securities Limited (ITAT Mumbai Special Bench)- Notwithstanding the fact that the substantial question of law raised in the order of the earlier Bench has been admitted by the Honourable High Court, there are no fetters on the Tribunal in hearing the case in Special Bench and rendering the decision which would prevail upon and become a binding precedent for the other Benches of the Tribunal. The learned Counsel for the assessee could not point out even a single judgment in which the Honourable High Court abstained the Tribunal from deciding the issue through Special bench during the pendency of appeal before it. With utmost humility there cannot be such a decision for the manifest reason that the justice delivery system has to take its own course and cannot wait in eternity for a higher judicial body to decide the issue first.
If some one has done mistake in early then it does not make sense that every time it will repeat the mistake. S&P has done the perfect thing that this time it has went ahead and declared the most vulnerable danger awaiting for the world market. In other words what the 12000 Dow Jones and Mr.Obama administration was trying to hide was reveled by S&P.
