Circular No : 497 -Income Tax The provision of section 203A introduced through the Finance Act, 1987, with effect from 1-6-1987, makes it obligatory for all persons responsible for deducting tax at source to apply for allotment of Tax-deduction Account Number (TAN) and, after obtaining it, quote the same in the challans, TDS certificates, periodical returns, etc. The form of application for allotment of TAN [Form No. 49B
Circular : No. 496-Income Tax Several State Governments have introduced sales tax deferred schemes as a part of the incentives offered to entrepreneurs setting up industries in backward areas. Under these schemes, eligible units are permitted to collect sales tax and retain such tax for a prescribed period. After this period, the sales tax is to be paid to the Government either in lump sum or in instalments.
Circular No. 494-Income Tax FINANCE (AMDT.)ORDINANCE ACT, 1987 1. The Central Government has promulgated an Ordinance (No. 6 of 1987) on 19th September, 1987. The Ordinance is named as the Finance (Amendment) Ordinance, 1987. By this Ordinance, Part III of the First Schedule to the Finance Act, 1987 has been amended.
CIRCULAR NO. 495-Income Tax In respect of incomes of all categories of taxpayers (corporate as well as non-corporate) liable to tax for the assessment year 1987-88, the rates of income-tax have been specified in Part I of the First Schedule to the Finance Act. These rates are the same as those laid down in Part III of the First Schedule to the Finance Act, 1986, for the purposes of computation of
Circular : No. 493 -Income Tax Attention is invited to Instruction Nos. 1744 dated 21-1-1987 and 1765 dated 25-6-1987 in which Board have clarified that returns of income for the assessment year 1986-87 and subsequent years which are below taxable limit, should not be acted upon unless covered under the exceptions contained in the proviso to sub-section (10) of section 139. The Board, vide para 2(i) of Instruction No
Circular : No. 492 -Income Tax Attention is invited to Board’s Circular No. 12/66-IT(B), dated 9-6-1965 copy attached for ready reference. It has been brought to the notice of the Board that relying upon the example in the above circular, even in cases where there is no delay attributable to the assessee for completion of the assessment, waiver is limited only up to the date of taking up of the case for assessment beyond the
Circular : No. 491-Income Tax The Supreme Court has in its judgment in the case of State Bank of Travancore v. CIT [1986] 158 ITR 102 held that the interest accruing on sticky loans is taxable to income-tax on accrual basis where the assessee follows the mercantile system of accounting.
Circular : No. 489-Income Tax I am directed to invite a reference to this Ministry’s Circular No. 459 [F. No. 275/64/86-IT(B)], dated 16-6-1986; Circular No. 476 [F. No. 275/64/86-IT(B)], dated 11-12-1986; Circular No. 465 [F. No. 275/64/86-IT(B), dated 4-8-1986 and Circular No. 483, dated 4/31-3-1987 wherein the rates of income-tax deduction during the year 1986-87 from the payment of income chargeable under the
Circular: No. 488 -Income Tax I am directed to invite a reference to this Department’s Circular No. 462 [F.No. 275/67/86-IT(B)], dated 10-7-1986 wherein the rates at which the deduction of income-tax was to be made during the financial year 1986-87 from payment of income by way of insurance commission under section 194D were intimated. There is no change in the rate of tax for the financial year 1987-88. For
Circular : No. 487-Income Tax Under File No. 275/30/82-IT(B), dated 25-9-1985, a Circular No. 433 [Clarification 1] was issued clarifying that the provisions of section 194C would apply in respect of payments made to munshis and that would apply to payments under oral contracts also. The payments to munshis which would be hit by the provisions of section 194C covered not only the payments
