"29 September 2011" Archive

Non Taxable Services – Proposed Negative List

With Government thinking on the lines of having a negative list of taxable services on which there may be no levy of service tax in future, we have now a list of services which may become a base for the next budget or the new proposed tax . Presently, in India, there is a selective approach to tax services through a selective approach in ...

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Posted Under: Service Tax |

ICAI accuses multinational CA Companies of violation of rules

Apex chartered accountants body ICAI has accused multinational accounting companies of violating the CA Act and asked for joint action by agencies, including the RBI and the Corporate Affairs Ministry, to enforce compliance....

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Posted Under: Service Tax |

Indo-Nepal Remittance System – Measures to enhance usage

RBI/2011-12/208 DPSS (CO) EPPD No. 590 / 04.09.003 / 2011-12 (29/09/2011)

Create awareness among the branch officials about the Scheme so as to enable them to guide the target customers, many of who may be illiterate. The branch officials should be able to explain the features of the Scheme and guide them in filling up the remittance form....

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Govt considering seven-eight new categories for AIRs

Secondary market transactions of Rs 10 lakh or more in a year, insurance premium of above Rs 1 lakh, debit card payments above Rs 2 lakh, fixed deposits and recurring deposits of over Rs 10 lakh each, and cash deposits of Rs 20 lakh in current accounts are likely to be added to the AIR list, which currently comprises eight items. High-val...

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Posted Under: Service Tax |

Whether the clients liable to tax in India on the capital gains and if yes, whether the bank is required to deduct tax at source on the remittance?

ADIT (International Taxation)-3(1) Vs. ICICI Bank Ltd. (ITAT Mumbai)

ADIT (International Taxation)-3(1) Vs. ICICI Bank Ltd. (ITAT Mumbai)- The issue in this appeals is with reference to the capital gains arising to various persons of Indian origin or non-resident Indians residing in UAE, who are clients of the Bank. These clients have invested in Government of India T-Bills, which has a tenure of 364 days....

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No penalty u/s 271B, If the audit report is obtained within the due date, but return is filed after the due date

Penalty u/s 271B is imposed on two grounds i.e for not getting the books of accounts audited within due date and for not furnishing the audit report within due date of filling of return of income. Now as per above circular furnishing of audit report has been done away with after the introduction of annexure less forms. The only thing that...

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Payment made under Franchise & Management Agreement for availing technical know-how, coupled with technical consultancy services, for setting-up new and distinct business could be considered as capital expenditure

Ansal Housing & Construction Ltd. Vs DCIT (ITAT Delhi)

Ansal Housing & Construction Ltd. Vs DCIT The Assessing Officer disallowed the expenses on the ground that the payment was made prior to commencement of the hospitality business and had resulted into acquisition of technical know-how and franchise from the professional consultants and hence was capital in nature....

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Inter-corporate deposits written off in the books allowable as business expenditure where the incomes from such deposits were taxed as business income in earlier years

The Commissioner of Income Tax Vs ABC Bearing Limited (Bombay High Court)

CIT Vs ABC Bearing Limited (Bombay High Court)- The taxpayer was engaged in the business of advancing loans. Interest received from inter-corporate deposits was offered to tax as business income and accepted by the Assessing Officer in earlier years....

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