"05 June 2023" Archive

Foreign Liabilities and Assets Annual Return (FLA)

With the increasing involvement of companies in foreign investments, adherence to the regulations of the Foreign Exchange Management Act (FEMA) and ensuring compliance has become a crucial aspect of their operations. One of the compliance requirements that companies engaged in Foreign Direct Investments (FDI) or investing in foreign compa...

Posted Under: Fema / RBI |

Limitation period for appeal to NCLAT excludes date on which order pronounced & time taken to provide certified copy

Sanket Kumar Agarwal & Anr Vs APG Logistics Private Limited (Supreme Court of India)

Supreme Court held that for calculating limitation period for filing an appeal to NCLAT, the date on which order was pronounced and the time taken to provide certified copy is to be excluded....

IRDAI: Investments in National Bank for Financing Infrastructure & Development

REF: IRDAI/F&I/CIR/INV/121/6/2023 05/06/2023

NaBFID is regulated by RBI as an All India Financial Institution and its role in developing bonds and derivatives markets for infrastructure financing....

Depreciation allowed on payment of non-compete fee for business purpose

Mahindra Holidays & Resorts Ltd Vs DCIT (LTU) (ITAT Chennai)

ITAT Chennai held that depreciation towards payment as non-compete fee for purpose of business of assessee is duly allowable....

Rejection of SVLDR Scheme because of unreasonable errors is unsustainable

Carpet Export Promotion Council Vs Union of India & Anr. (Delhi High Court)

Delhi High Court held that rejection of application under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (the SVLDR Scheme) merely because of some non-material errors in quantum of duty is unsustainable....

Disallowance u/s 14A untenable on mechanical application of rule 8D

Unilever India Exports Limited Vs ACIT (ITAT Mumbai)

ITAT Mumbai held that disallowance u/s 14A untenable as AO has mechanically applied rule 8D without having recorded his satisfaction or examining the nature of investments whether they have yielded any exempt income or not....

Depreciation u/s 32 allowable only when asset is put to use for business purpose

LTIMindtree Limited Vs DCIT (ITAT Bangalore)

ITAT Bangalore held that depreciation under section 32 of the Income Tax Act is allowable only when the asset is put to use for the business purpose. Notably, the onus is on the assessee to prove that the assets are put to use for the business purposes only....

Rejection of patent application on sole base of non-patentability u/s 3(k) is unjustified

Microsoft Technology Licensing Vs Assistant Controller of Patents And Designs (Delhi High Court)

Delhi High Court held that rejection of Microsoft patent application for invention relating to ‘Methods and Systems for authentication of a user for sub-locations of a network location’ solely on the basis of non-patentability under Section 3(k) of the Patent Act, 1970 is unjustified and needs re-examination....

Profit eligible to deduction u/s 80IA(4)(ii) reducible due to revenue sharing

Gujarat Info Petro Ltd Vs DCIT (ITAT Ahmedabad)

ITAT Ahmedabad held that as the revenue from selling of bandwidth business of the assessee is shared between the assessee and its parent company, profits eligible to deduction under section 80IA(4)(ii) of the Income Tax Act is reducible....

Addition towards SBN deposits sustained as source not established

Pankaj Gupta Vs ITO (ITAT Cuttack)

ITAT Cuttack held that addition towards the unexplained investment for SBN deposits during demonetization period sustained in absence to establish source of the same without documentary evidences....

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