"07 December 2015" Archive

Funding Compliance for Start ups in India

Raising Capital is the key to scale up the operations of the business & for expansion. Here is the solution, how start up has to do compliance procedures while raising funds for the business. Below is the detailed procedure with regard to Fund raising compliance once we have finalized the funds need to be raised […]...

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Posted Under: Finance |

Value of property under deeming provision u/s 50C need to be considered as on the date of agreement of sale

Shri Mohd. Imran Baig & others Vs ITO (ITAT Hyderabad)

ITAT Hyderabad held In the case of Shri Mohd. Imran Baig & others vs. ITO that it is now settled in favour of the assessee by the decisions of the Hon'ble Supreme Court in the case of Sanjeev Lal and Smt. Shantilal Motilal V/s. CIT (365 ITR 389)...

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Addition u/s 68 on account of share application money not justified where validity of transaction beyond doubt

ITO Vs M/s. Superline Construction P. Ltd. (ITAT Mumbai)

ITAT Mumbai held In the case of ITO vs. M/s. Superline Construction P. Ltd. that the assessee had duly discharged the burden of proof, onus of proof and explained the source of share capital and advances received by established the identity...

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No deviation in Book profit u/s 115JB permitted from profit & loss A/c except permissible adjustments

M/s. B & B Infotech Ltd. Vs ITO (ITAT Bangalore)

ITAT Bangalore held In the case of M/s B & B Infotech Ltd. vs. ITO that once P&L A/c is admittedly prepared as per Schedule VI of the Companies Act, then neither the AO has any power to tinker with it nor the assessee is permitted to claim exclusion or inclusion of any item of income...

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Proceedings u/s 153C not valid in absence of any relevant seized material

CIT Vs M/s Refam Management Services (P) Ltd. (Delhi High Court)

Delhi High Court held In the case of CIT vs. M/s Refam Management Services (P) Ltd. that under Section 153C the assessment or reassessment of income of a person other than a searched person would proceed in accordance with the provisions of Section 153A....

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Claim for Set off of unabsorbed business loss b/f against profit of section 10A after AY 2001-02 is allowable

CIT Vs M/s Shantivijay Jewels Ltd. (Bombay High Court)

CIT Vs. M/s Shantivijay Jewels Ltd. (Bombay High Court) In this case Hon’ble Court considered question of law that whether claim for set off of unabsorbed business loss which was brought forward in subsequent AY against the profit of section 10 A is allowable or not....

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Income which an assessee could have, but has not earned cannot be made taxable as income accrued

DCIT Vs Maharashtra State Electricity Board (ITAT Mumbai)

DCIT VS. Maharashtra State Electricity Board (ITAT MUMBAI) The assessee was entitled to get subsidy @3% from the state government. As per the agreement with WB it was decided that it would get higher subsidy i.e. 4.5 %....

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Presumption u/s 292 is discretionary in nature; authorities can reject books of account founding them inchoate

M/s Harish Textile Engrs. Ltd Vs DCIT (Bombay High Court)

Bombay High Court held In the case of M/s Harish Textile Engrs. Ltd. vs. DCIT that Section 292 uses the word 'may presume' and not 'shall presume' or 'conclusively presume'. The words 'may presume' are in the nature of discretionary presumption different from a compulsory presumption....

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Expenses on eye treatment abroad not allowable u/s 37 being not exclusively incurred for profession

Dhimant Hiralal Thakar Vs CIT (Bombay High Court)

Bombay High Court held In the case of Dhimant Hiralal Thakar vs.CIT that eyes are an important organ of the human body and is essential for the efficient survival of a human being. Eyes are thus essential not only for the purpose of business or profession but for purposes other than these which are so many....

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Bills discounted cannot be equated with loan & advances, interest received on default not taxable under Interest Tax Act, 1974: SC

State Bank of Patiala Vs CIT (Supreme Court of India)

Supreme Court held In the case of State Bank of Patiala vs. CIT that it is well settled that a subject can be brought to tax only by a clear statutory provision in that behalf. Interest is chargeable to tax under the Interest Tax Act...

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