Rule 81 prescribes dataset construction, weighted averages, and a 35th–65th percentile arm’s length range when multiple comparable prices arise, with the median applied if the transaction falls outside the range.
The AAR held that although security services to FCI qualify as pure services related to Public Distribution System functions, exemption under Notification 12/2017 is unavailable as FCI is not Central/State Government or local authority.
The CCPA held that failure to disclose the specific courses undertaken by successful UPSC candidates amounted to misleading advertisement and a violation of consumer rights, warranting a higher penalty as a repeat offence.
Draft Rule 53 mandates that fair market value (FMV) for slump sale under Section 77 be the higher of asset-based FMV or consideration-based FMV. The rule introduces detailed formulas to prevent undervaluation and ensure accurate capital gains taxation.
Rule 51 limits Indian resident participation in original funds to 5% for specific AIF transfers, while Rule 52 standardises exchange rates for non-residents computing capital gains under Section 72.
Draft Rule 50 provides a formula-based mechanism to attribute income taxed under Section 67(10) to capital assets retained by a specified entity under Section 72(5). It also restricts depreciation on revalued or self-generated assets and mandates Form 27 compliance.
Draft Rule 49 prescribes a formula-based method to compute capital gains on amounts received from specified ULIPs under Section 67(5), treating them as equity-oriented fund units. The rule ensures proportionate taxation of withdrawals and bonuses after adjusting premiums already considered.
Rule 47 mandates Form 26 for audit reports under Section 63 with provision for revision in specified cases, while Rule 48 specifies approved electronic payment modes including UPI, NEFT, RTGS and CBDC wallets.
Draft Income-tax Rules 2026 Rule 46 mandates detailed books, Form 25 for doctors, ₹1.5 lakh threshold relief, 7-year retention, and India-based electronic storage compliance.
Rule 35 prescribes the authority, procedure, timelines, and compliance conditions for company approval under Section 45(3)(b). It mandates strict audit, reporting, and research-use requirements to prevent misuse of tax benefits.
