"16 October 2012" Archive

IRDA (Registration of Indian Insurance Companies)(Third Amendment) Regulations, 2012 – Amendment in Regulation 2

Notification No. .IRDA/Reg/2/58/2012 (16/10/2012)

Gazette Notification Dt. 27th March, 2012 issued by Department of Economic Affairs (Infrastructure Section), Ministry of Finance on "Harmonised Master list of Infrastructure sub-sectors" and amended by Department of Economic Affairs from time to time by way of new notification....

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No specific provisions for giving any opportunity to the assessee before reference to TPO

I.J. Tools & Castings (P.) Ltd. Vs Assistant Commissioner of Income-tax, Range-II, Jalandhar (ITAT Amritsar)

It is for the AO when he considers it necessary or expedient so to do, he may refer the computation of arm's length price in relation to the said international transaction under section92C to the Transfer Pricing Officer. It was argued by Ld. DCIT (DR) Mr. Tarsem Lal that the Ld. counsel for the assessee, Mr. Surinder Mahajan, could not p...

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AO cannot reject stay application without apply his mind to facts & circumstances of case

Virgin Mobile India (P.) Ltd. Vs Assistant Commissioner of Income-tax (Delhi High Court)

It is a cardinal principle of construction that when a legislation confers power, its amplitude cannot be cut down by instructions or rules or regulations made by subordinate authorities. Instructions and Rules can only supplement but can never supplant or limit the width of the statutory powers. In this case, the AO - as is evident from ...

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In Computing ALP under CUP method , geographical market has to be kept in mind

Assistant Commissioner of Income-tax, 8(1), Mumbai Vs Genesys International Corpn. Ltd. (ITAT Mumbai)

Assessee in its transfer pricing study to TPO stated that it has selected CUP method as the primary method in AL analysis. It was also stated that the rate charged to its AEs are same to the rates charged to independent third party who operate in the same geographical region availing similar services. We observe that assessee furnished de...

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Exemption U/s. 11 cannot be denied for Acceptance of Shares as Corpus fund & Utilisation of its sale proceeds towards donation to Corpus of other trust

Sera Foundation Vs Income-tax Officer (Exemption), Trust Ward - I (ITAT Delhi)

Corpus donation could not be considered as general donation in AY 2006-07 and 2007-08, merely on the ground of its utilisation in AY 2008-09 for giving corpus donation to other charitable institutions. Further, as per instruction No. 1132/CBDT dated 05.01.1978, it has been clarified that the payment of a sum by one charitable trust to ano...

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Framing of additional question of law by HC not tantamount to review of order

Commissioner of Income-tax-I, Vs Indo Gulf Fertilizers Ltd. (Allahabad High Court)

Proviso of sub-section 4 to section 260 is an exception giving High Court a judicial discretion to frame additional substantial question of law during the course of hearing. The language used by the legislature in the proviso is quite clear and does not suffer from any ambiguity. ...

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Nominee Director too liable to file statement of Affairs in case Company is in Liquidation

Daewoo Motors India Ltd. Vs H.D. Talwani (Delhi High Court)

The ratio of the judgment in Beejay Engg. (P.) Ltd., In re [1983] 53 Comp. Cas. 918 (Delhi) as also as is evident from the definition of a director under section 2(13) no distinction has been made between a nominated director or any other director. Thus, the first argument propounded by the petitioner that the applicant was only a nominee...

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Principal-agent relationship to be examined, before taxing global shipping income in agent’s hand

Assistant Commissioner of Income-tax Vs I.A.L. Shipping Agencies (Kochi) Ltd. (ITAT Cochin)

In the instant case, the assessee is a resident assessee. It is not borne out of record as to whether the 'UK company' is a resident assessee or non-resident assessee. Though the assessee claims that it is acting only as an agent of the 'UK company', yet the said claim has not been verified and accepted by the Assessing Officer. Even, if ...

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General XBRL Filing Errors & quality of XBRL filing

General Circular No. 33/2012 (16/10/2012)

MCA asks institutes to impart training to its professionals to improve quality of XBRL filings. You are aware that XBRL filing of financial statements by a select class of companies for FY 2010-11 was mandated vide Ministry of Corporate Affairs Notification GSR No. 748(E), dated 5-10-2011. T ...

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Service tax applicable on cards sold in J&K but used outside J&K

Bharat Sanchar Nigam Ltd. Vs Commissioner of Central Excise, Jammu (CEATAT Delhi)

Prima facie, liability to pay service tax arises with reference to the place where service was provided rather than the place where consideration was collected...

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