"03 February 2019" Archive

Mandatory reporting of outstanding receipt of money or loan to ROC

MCA has issued a new notification dated 22nd January, 2019, which requiring mandatory reporting of details of the outstanding receipt of money or loan which have not been considered as deposits as per Companies Act. The period of such receipt of money or loan has to be considered from 1st April, 2014 till the date […]...

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Posted Under: Company Law |

No Deemed dividend on Transactions of receipt & payment on same date

ACIT Vs Seema Devi Bansal (ITAT Delhi)

ACIT Vs Seema Devi Bansal (ITAT Delhi) Trade and commercial transactions are not covered in the definition of ‘loans and advances’ on which section 2(22)(e)  can be applied. When the company got back its funds on the same day, it could not fall into the definition of the deemed dividend. FULL TEXT OF THE ITAT […]...

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Disallowance U/s. 40(a)(i) cannot be made for non claimed expenses

Delhi Tourism and Transport Development Corporation Ltd. Vs DCIT (ITAT Delhi)

Delhi Tourism and Transport Development Corporation Ltd. Vs DCIT (ITAT Delhi) It was obvious that if no deduction was claimed, there can be no question of disallowance under section 40(a)(i), therefore, matter was remitted to file of the AO for considering assessee’s claim about not having claimed any deduction for this sum in  computa...

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No liability to deduct TDS if income not chargeable to tax in the hands of recipient

Zee Entertainment Enterprises Ltd. Vs ITO (ITAT Mumbai)

Zee Entertainment Enterprises Ltd. Vs ITO (ITAT Mumbai) It is undisputed that the Hon’ble Delhi High Court has held that the payment is not taxable in the hands of the recipient. Respectfully following the precedent of the Hon’ble Apex Court in the case of E. Technology Centre Pvt. Ltd. (supra), we are of the considered […]...

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Running hospital with nursing school eligible for exemption U/s. 11

M/s.MAJ Hospital Edappally Vs The Dy.Commissioner of Income-tax (ITAT Cochin)

M/s. MAJ Hospital Edappally Vs DCIT (ITAT Cochin) Assessee is entitled to the exemption u/s 11 of the income derived from an activity incidental to the achievement of the objects of the trust. For these reasons, we hold that the assessee’s activities of running the hospital and the nursing school are intricately connected and dependent ...

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ITAT Condones Delay in filing appeal caused by fault of CA/ Counsel

M/s. Midas Polymer Compounds Pvt. Ltd. Vs The Assistant Commissioner of Income-tax (ITAT Cochin)

M/s. Midas Polymer Compounds Pvt. Ltd. Vs ACIT (ITAT Cochin) There was a delay of 2819 days in filing the appeal before the Tribunal. The assessee has stated the reasons in the condonation petition accompanied by an affidavit which has been cited in the earlier para. The assessee filed an affidavit explaining the reasons and […]...

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Delay in filing appeal can be condoned only based on explanation for delay

Catholic Syrian Bank Ltd. Vs DCIT (TDS) (ITAT Cochin)

Catholic Syrian Bank Ltd Vs DCIT (ITAT Cochin) In the present case, there were no affidavits from the concerned persons who are handling the impugned issues and who are required to take proper steps in filing the appeals before the CIT(A). In our opinion, the decision of the co-ordinate Bench is without doubt binding upon […]...

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No Disallowance U/s.14A for mere decrease in shareholders funds

CIT Vs M/s Max India Limited (Punjab and Haryana HC)

CIT Vs M/s Max India Limited (Punjab and Haryana HC) Where assessee’s borrowings of interest bearing funds got increased during the year, it could not be presumed that such borrowed funds were utilized for the purpose of investing in assets yielding exempt income and disallowance under section 14A made on the basis of such unfounded [&h...

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Reopening based on accommodation entry info from Income Tax Investigation Wing is Valid

DCIT Vs. M/s. Erawat Infotech Pvt.Ltd. (ITAT Delhi)

DCIT Vs. M/s. Erawat Infotech Pvt.Ltd. (ITAT Delhi) In the instant case, the information is specific having detail of value of the amount of accommodation entry taken, the instrument and date through which entry was taken, name and account number of the entry provider were available before the Assessing Officer and thus we cannot hold t...

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Expense can’t be disallowed for Wrong Statement given by truck owner

Shri Anil Khandelwal Vs ITO (ITAT Indor)

Shri Anil Khandelwal Vs ITO (ITAT Indor) Once the condition of further proviso of Section 194C(3) of the Act are satisfied, the liability of the payee to deduct tax at source would cease. Examining the facts of the instant appeal we find that the assessee received Form 15I from the truck owner namely Shri Kishorilal Birla […]...

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