No prescribed format to defer application of trust's income to later years if less than 85% of incom

IT: Where assessee-trust, failing to use 85 per cent of income from property, wrote letter conveying department for option available under clause (2) of Explanation to section 11(1) to allow it to spend surplus amount to next year, no disallowance was to be made merely on ground that declaration was not made in a prescribed manner

Rejection of Form F is an order under sec. 6A of CST Act; appeal against such an order would lie wit

CST & VAT : An order rejecting Form F furnished by assessee is to be regarded as one passed under section 6A of Central Sales Tax Act and, therefore, in terms of section 18A ibid, appeal thereagainst would lie directly to Appellate Tribunal

Interest on non-operational sticky loans to be recognized by bank on receipt basis and not on accrua

IT: Interest on non-operational sticky loans shown in suspense account is not taxable on accrual basis, rather such an interest would be accounted for as and when it is realized

HC allows depreciation on assets as assessee was found to be owner of assets leased out on hire basi

IT : Where assessee claimed depreciation in respect of two trucks stating that trucks had been purchased by him and they had been given on hire to two transport companies and Tribunal on basis of material on record held that assessee was owner of trucks and he had let out same on hire and he did receive hire charges and accordingly accepted assessee's claim for depreciation, in peculiar facts of case Tribunal was justified in allowing depreciation

HC nods to invocation of extended period as false declarations were filed by assessee to claim exemp

Excise & Customs : Where an assessee has found false declarations to claim exemption and basic documents evidencing entries are not filed with excise returns, department can invoke extended period of limitation.

HC rejected winding-up plea and directed parties to approach civil court to adjudicate pecuniary dis

CL: Where there were vehement and serious disputes between parties as regards claim of petitioner for payment of commission in respect of a property, petitioner was directed to approach civil Court for adjudication of matter

Sum paid to foreign co. for transmitting bulk SMS wasn't a 'fee for technical service'; no withholdi

IT/ILT : Where assessee-company made carrier payments to a non-resident company in order to transmit bulk SMS data, since nature of services rendered by foreign company required no technical knowledge, payments in question could not be regarded as 'fee for technical services' and, thus, assessee was not required to deduct tax at source while making said payments

RBI further extends existing all-in-cost ceiling of ECBs by 3 months

FEMA/ILT : External Commercial Borrowing (ECB) Policy – Review of all-in-cost ceiling

Reassessment on basis of docs duly explained by assessee during original assessment would be erroneo

IT : Where Assessing Officer passed assessment order under section 143(3) after considering assessee's explanation in respect of documents seized in course of search proceedings, initiation of reassessment proceedings on basis of same material already available on record could not be upheld

Service of transporting employees of corporate on hire basis was liable to ST under Tour Operator Se

Service Tax: Service of transporting employees of corporates under an agreement with corporates on charter/hire basis amounts to 'tour operator services' liable to service tax and not eligible for exemption in respect of contract carriage.

Existing all-in-cost ceiling related to trade credit for imports further extended by 3 months

FEMA/ILT : Trade credits for imports into India - Review of all-in-cost ceiling

RBI calls for robust FEMA compliant policies for purchase/sale of properties by banks at their overs

BANKING : Policy for sale and purchase of property and acquiring/letting out property on lease/rental basis by banks at their overseas centres

RBI allows e-transfer of inward foreign remittances into beneficiaries account under Rupee Drawing A

FEMA/ILT : Rupee Drawing Arrangement - 'Direct to Account' Facility

No Sec. 68 additions as advance money is taxable in year of actual distribution of film and not in y

IT : Where assessee, engaged in business of production and distribution of films, received certain amount as advance for distribution of film which was shown as liability in balance sheet, in view of fact that said amount was offered as taxable income in subsequent year when film was actually distributed, Assessing Officer was not justified in bringing same to tax during relevant year by invoking provisions of section 68

No penalty under FEMA without service of show cause notice; HC sets aside penalty order of Special D

FEMA: Where petitioners were not served with show cause notice even though respondents were aware of their new address, impugned order imposing penalty upon petitioners was passed in violation of principles of natural justice

HC upholds authenticity of purchases as assessee was keeping stock registers in which purchases were

IT: Where Tribunal noted that GP rate and net profit rate of year under consideration were better than previous year, stock register was properly maintained and purchases in question were reflected in such stock register, purchases so made could not be held to be bogus

Aid and counseling to earthquake victims is 'relief and rehabilitation'; goods used therein are exci

Excise & Customs : Activity of free legal aid and counselling to various victims of earthquake and making them aware of various packages made available by Government and guiding them aptly so also advising them suitably on legal issues amounts to 'relief and rehabilitation' for purpose of Central Excise Exemption

Assessee-co. could claim depreciation on construction of highways on BOT basis even if it was legall

IT: Road constructed by assessee on BOT basis is eligible for depreciation even though he is not legal owner of the road

Prior to 1-4-2005, no need to obtain completion certificate of housing project to avail of sec. 80-I

IT : Where assessee, a real estate developer, launched a project in Vrindavan and obtained approval of project from Development Authority on 16-3-2005 and for assessment year 2007-08 it claimed deduction under section 80-IB, provisions of sub-section (10) of section 80-IB existing prior to its substitution by Finance (No. 2) Act, 2004, with effect from 1-4-2005 were applicable to instant case and in view of said provisions, assessee was not required to produce completion certificate to avail ded

Rule 8D didn't have retro effect, it would apply prospectively only from Assessment Year 2008-09: HC

IT : Rule 8D is prospective in nature and would apply from assessment year 2008-09

HC permits transfer of unutilized Cenvat credit from one division to another division of same assess

Cenvat Credit: Where assessee is granted single registration in place of two separate registrations of two divisions in same premises, credit pertaining to one division can be transferred to Cenvat credit register of another division, as Cenvat credit can be used for payment of duty on any product