US DTAA/MAP : Bombay HC rejects Revenue's interpretation of 'admitted' in CBDT's Instruction No. 2/2

IT/ILT : MAP invocation application under DTAA before US Competent Authority and furnishing Bank Guarantee to Revenue in India suspends assessment & collection of taxes in India. The word "admitted" by Indian Competent Authority in CBDT's Instruction No. 2 of 2003 only means that the Competent Authority in India has to admit i.e. acknowledge that the MAP proceedings have been invoked by tax payers through the Competent Authority in USA. It does not mean that the invocation of the MAP proceedings

Reimbursement to Foreign AE towards salary of employees on secondment with assessee in India wasn’t

IT/ILT: Where assessee rendered investment advisory services to its foreign AE, reimbursement of salary that was paid by foreign AE to seconded employees would not be FTS

Renting of buses to State Road Transport Corporation is rent-a-cab-service; liable to ST

ST : Renting of buses to State Road Transport Corporation (SRTC) on per day rent basis amounts to renting of 'cab' and is liable to service tax under rent-a-cab services

Tribunal's subsequent recall order quashed as appeal was pending before HC against Tribunal's earlie

IT: In view of appeal admitted by High Court against order of Tribunal, Tribunal's subsequent order recalling said order was to be quashed

No concealment penalty if CIT(A) couldn't doubt assessee's explanation as to claim for a deduction

IT: Where Commissioner (Appeals) had disallowed assessee's claim for deduction of expenditure and also imposed penalty under section 271(1)(c) upon it, since there was no finding by Commissioner (Appeals) that explanation offered by assessee was not a bona fide one, imposition of penalty was illegal

HC could hear all questions of law even if assessee preferred separate appeals on similar issues for

IT: Where separate appeals were filed against common judgment of Tribunal pertaining to assessment of two different years having similar question of law in respect of same assessee, it would be appropriate to hear appeals on all substantial question of law as framed thereunder

Petitioner can implead a Co. in petition complaining of oppression in affairs of another respondent

CL : If an independent entity, even if it is a company in which petitioners are not members, has colluded with members/directors of respondent company resulting in prejudice to interest of respondent company and its stake holders, petitioners can seek to implead that entity as respondent in petition under section 397 complaining oppression and mismanagement in affairs of respondent company

No sec. 68 addition on mere suspicion of bogus entry; IT Act doesn’t bar an assessee from disclosing

IT : Where entries in books of account were not proved to be bogus, addition can't be made on credit of cash received by selling agriculture produce

AO couldn’t apply Rule 8D blindly despite assessee’s contentions that no exp. was incurred to earn e

IT: AO couldn’t apply Rule 8D blindly despite assessee’s contentions that no expenditure was incurred to earn exempt income