Circular No.177 – Income Tax The Finance (Amendment) Bill, 1975, as passed by Parliament, received the assent of the President on 31-7-1975 and has been enacted as Act 34 of 1975. This circular explains the substance of the provisions contained in this Act
Circular : No. 176-Income Tax Attention is invited to paragraph 1 of Circular No. 161, dated 22-3-1975 [Clarification 1] enclosing an extract of Sub-Paragraph I of Paragraph A of Part III of the First Schedule to the Finance Bill, 1975 giving the rates for deduction of income-tax from salaries during the financial year 1975-76.
Circular : No. 174-Income Tax In this connection the decision of the Income-tax Appellate Tribunal, Chandigarh Bench in the case of Lalchand Bhalla v. ITO [IT Appeal No. 400 of 1973-74, dated 30-11-1974] may be referred to where the Appellate Tribunal has discussed the applicability and scope of sub-section (1) of section 64. An extract of the said decision of the Appellate Tribunal is enclosed [printed here as Annex].
Circular: No. 171-Income Tax In exercise of the powers available under section 49A of the 1922 Act, the Government of India had issued a Notification dated 24-3-1953 called the Income-tax (Double Taxation Relief) (Aden) Rules, 1953 providing for grant of relief in respect of income on which tax has been paid both in India and in Aden.
Circular: No. 172-Income Tax The position in respect of Ghana (formerly Gold Coast), Nigeria and Mauritius has since been ascertained. The Governments of these three countries have stated that after the date of attainment of independence by them, they do not consider that any agreement on the question of avoidance of double taxation of income subsists between them and the Government of India.
Circular : No. 170-Income Tax Reference is invited to Notification No. SO 2167, dated 28-5-1971 [printed above], of the Government of India, Ministry of Finance (Department of Revenue & Insurance), under which the deduction in respect of development rebate under section 33 was not to be allowed in respect of a ship acquired or machinery or plant installed after May 31, 1974.
Circular : No. 169-Income Tax In the Board’s Circular No. 47, dated 21-9-1970 [Clarification 2]. It was stated that provisions made by an assessee in his accounts on a scientific basis in respect of estimated service gratuity payable to employees would be admissible as deduction under section 37(1). The matter was re-examined by the Board in 1974 and the earlier instructions were withdrawn
Circular : No. 167-Income Tax Section 194D provides for deduction of income-tax at source, at such rates as may be prescribed by Finance Act of the relevant year, from payments of income by way of insurance commission, to a resident, whether an individual, a company or any other category of person.
Circular: No. 168-Income Tax Under section 194A any person not being an individual or a Hindu undivided family, paying to a resident, any income by way of interest (other than interest on securities) is required, at the time of credit of such income to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or a draft, to deduct income-tax thereon at the rates in force.
Circular : No. 166-Income Tax Attention is invited to para 2(7) of this Ministry’s Circular No. 161, dated 22-3-1975 [Clarification 1] relating to tax relief in regard to expenditure incurred on higher education of dependent children. The Finance Act, 1975 (as finally enacted) has extended the scope of this benefit.
