"26 September 2018" Archive

Implementation of Tax Deduction at Source (TDS) under GST- Reg.

F.No, 8/11/100 11RD/EMC/2017/ (26/09/2018)

Circular No. 65/39/2018-DOR, dated 14.09.2018 lays down guidelines for deductions and deposits of TDS by the DDO under GST. Detailed forms have already been prescribed vide FORM GST REG- 07, FORM GSTR- 7....

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GST on Residential programmes or camps meant for advancement of religion, spirituality or yoga by trusts

Circular No. 66/40/2018-GST (26/09/2018)

Circular No. 66/40/2018-GST F. No. 354/314/2017-TRU Government of India Ministry of Finance Department of Revenue Tax research Unit **** Room No. 156, North Block, New Delhi, 26th September 2018 To, The Principal Chief Commissioners/ Chief Commissioners/ Principal Commissioners/ Commissioner of Central Tax (All) / The Principal Director G...

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Reassessment on mere audit objections without any tangible material is invalid

Siddhi Vinayak Aeromatics (P) Ltd. Vs ACIT (ITAT Delhi)

Siddhi Vinayak Aeromatics (P) Ltd. Vs ACIT (ITAT Delhi) In this case Assessee had filed complete details as required during assessment proceedings and after complete verification of the details assessment was framed by AO under section 153/143(3) of Income Tax Act, 1961. AO had not produced any tangible material that there was failure on ...

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Tax Audit under Section 44AB – Compilation

This document is the compilation of all series on Tax Audit. Total 21 issues of this series were published which started since 31st July 2018. I thank everyone for the overwhelming response given to this series and I am sure that this would have helped many professionals in their tax audit reporting. I have received […]...

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ITAT cannot enhance assessment in appeal under IT Act, 1961

Sanmar Speciality Chemicals Ltd. Vs ITO (Madras High Court)

Sanmar Speciality Chemicals Ltd. Vs ITO (Madras High Court) Tribunal has no power under the Income Tax Act to enhance the assessment in an appeal. Equally, it cannot be done on an order of remand being passed by the Tribunal to the Assessing Officer. Therefore, we opine that it is sufficient to clarify the legal position as held b...

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AO cannot set-off of brought forward loss before allowing remuneration to partner

Rajmal Lakhichand Vs JCIT (ITAT Pune)

Computation of book profit is as per section 40(b) and remuneration to partner is based on current year’s "Book Profits", while set-off of brought forward losses is to be granted in terms of section 72. Therefore, while arriving at business income, deduction of section 40(b) is to be given first and then if at all there remains positive...

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Contribution to Fishermen’s Welfare Fund allowable despite the fact that fund been held Unconstitutional by SC: HC

The Commissioner of income tax Vs Abad Exim (p) ltd (Kerala High Court)

CIT Vs Abad Exim (P) Ltd. (Kerala High Court) The question remaining is with respect to the deduction, insofar as the contribution made to the Fishermen’s Welfare Fund. The Fund itself was declared unconstitutional by a decision of the Honourable Supreme Court  in AIR 2002 SC 973 [Koluthara Exports Ltd. v. State of Kerala and Othe...

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Mere Confirmation Letter not sufficient to prove Cash Credits Genuineness

M/s. Janatha Trading Corporation Vs The Deputy Commissioner of Income-tax (ITAT Cochin)

M/s. Janatha Trading Corporation Vs DCIT (ITAT Cochin) The contention of the AR is that the assessee has produced the confirmations from the partners and that being found insufficient by the AO, the AO ought to have called for more details. In other words, it was the contention of the Ld. AR that on production of […]...

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Section 263 Inadequate inquiry by AO, cannot be considered as lack of inquiry

Fusion Voice Solutions India (P) Ltd. Vs ITO (ITAT Visakhapatnam)

Inadequate inquiry by AO with respect to compliance of TDS under section 194H could not be equated with lack of inquiry, so as take the case for revision under section 263....

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Reassessment for non-disclosure of bank a/c which was disclosed during Original Assessment is Invalid

Akshar Developers Vs Assistant Commissioner of Income-tax (Bombay High Court)

Akshar Developers Vs ACIT (Bombay High Court) It is alleged in the reasons that the petitioner had failed to disclose the aforesaid bank account during the assessment proceedings. The petitioner had filed its objections by letter dated 23rd May, 2017 to the reasons inter-alia pointing out that during the course of assessment proceeding, t...

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