On issue of Service Tax applicability on free of cost (FOC) supplies by the service recipient of construction service to the service provider (assessee), we are sharing with you a landmark judgement of the Hon’ble Supreme Court, decided in favour of the assessee, in the case of Commissioner of Service Tax Vs. M/s Bhayana Builders (P) Ltd.
The core issue involved in the present case is with regard to the admissibility or otherwise of the Cenvat Credit on Goods Transport Agency service availed for transport of goods from the place of removal to buyer’s premises.
Since a common question of law arises in these appeals, they are being disposed of by this common judgment. Briefly stated the facts are that the appellant assessee manufactures cylinders for storage of Liquefied Petroleum Gas (LPG). At the relevant time
Supreme Court (SC) Ruling – Whether the expenditure incurred (including interest paid on funds borrowed), while purchasing the shares/ stocks of a company for the purpose of gaining control over the investee company or as ‘stock-in-trade’ (i.e. as a business activity) and not as investment to earn dividends, can be treated as expenditure ‘in relation to income i.e. dividend income, which does not form part of the total income?
Lawyers of foreign countries or their law firms cannot practice profession of law in India, Bar Council of India or Union of India are at liberty to make appropriate rules in this regard.
In case of group of companies, normally a company hold shares in various subsidiaries / group companies. The dividend paid by these group companies is exempt in the hands of the parent company under section 10(34) of the Income-tax Act, 1961 (Act).
The Supreme Court on 13th March 2018 has extended the last date for linking of Aadhaar in bank accounts, PAN cards, SIM cards, etc from 31st march 2018 till the date of the final judgement. As per the Supreme Court’s order dated 13th March 2018, the requirement of Aadhaar for opening new bank accounts and applying for Tatkal passports under the relevant laws continues.
(i) Whether the expression ‘practise the profession of law’ includes only litigation practice or non-litigation practice also; (ii) Whether such practice by foreign law firms or foreign lawyers is permissible without fulfilling the requirements of Advocates Act and the Bar Council of India Rules;
The issue of taxability of out-of-pocket expenses has always been a matter of litigation. Before April, 2006 there was no specific provision to this effect. However, from April 19, 2006 onwards, with the introduction of the Service Tax (Determination of Value) Rules, 2006, Service tax is applicable on gross consideration including all expenses barring the expenses incurred as pure agent.
Hon’ble Supreme Court dismisses a departmental appeal in CIT v. Vasisth Chay Vyapar Ltd and held that the interest income earned by Non-Banking Financial Companies (NBFCs) on non-performing assets (NPAs) should not be taxed on the accrual basis.
