Extended period invocable for period prior to investigation by Dept. unravelling suppression and not

Excise & Customs : Where all facts came to knowledge of department only on investigation and recording of statements of assessee's official in August, 1996, department could invoke extended period for period upto August 1996; however, no extended period can be invoked for period post August, 1996

Interest paid on loan taken for higher studies abroad is allowable u/s 80E

IT : For claiming deduction under section 80E, there is no condition that higher education should be in India only

Women leggings are tight fittings clinging to body; they are more akin to tights and not trousers

Excise & Customs : 'Ladies/Women Leggings' look more similar to 'tights' as they are 'tight fitting clinging to body'; hence, they are classifiable as 'tights' (Heading 6115.21) and not as 'trousers' (which are loose-fitting dress) under Heading 6104

In second round of appeal assessee can't raise issues other than those directed to be examined by ap

IT : In second round of appeal, where Assessing Officer and first appellate authorities had limited jurisdiction to adjudicate only those issues which were directed to be examined by appellate authorities, additional ground other than grounds, on which directions were issued, cannot be raised and adjudicated by appellate authorities

Proviso to sec. 68 requiring closely held co. to explain source of share capital is retrospective

IT : Proviso to Section 68 casting onus on closely held company to explain source of share capital is applicable with retrospective effect.

Income mistakenly declared in return can't be taxed

IT : Where a person died intestate and dispute cropped amongst family members income of deceased for year of his death is to be bifurcated into two parts, viz., up to date of his death which is to be taxed in hands of legal representatives and from date of his death till year ending or up to date of complete distribution to beneficiaries, whichever is earlier, in hands of executors

ITAT allows full deduction of sec. 10B as AO had reduced profits by allocating expenses not connecte

IT : Expenses of units other than export oriented units cannot be allocated to export oriented units to reduce profit eligible for section10B deduction

Custom dept. couldn't confiscate cash since it was treated as 'loan' by ITAT

Excise & Customs : Where amounts confiscated by customs department alleging same to be sale proceeds of smuggling were actually found to be 'loan' by Income-tax Appellate Tribunal (ITAT), said confiscation was invalid in light of findings of ITAT; however, customs department is always at liberty to verify authenticity of ITAT orders

Disallowance for TDS default shall be attracted even if income is estimated by AO after rejecting bo

IT : The estimation of income upon rejection of the assessee's accounts as not reliable for assessment of income u/s.145(3) is to be made transparently, in two steps. The first being toward assessment of commercial profits, and then again the specific allowances or disallowances that stand to be effected, as u/s.40(a)(ia), an artificial, statutory disallowance.

DRP can examine issues arising out of assessment proceedings even if issues aren't part of variation

IT/ILT : In terms of Explanation to section 144C(8), Dispute Resolution Panel can examine issues arising out of assessment proceedings even though such issues are not part of subject matter of variations suggested by Assessing Officer

Kingfisher Airlines allowed to be represented by a lawyer before Grievance Redressal Committee

BL : Bombay High Court allows 'Kingfisher Airlines Ltd.' to be represented by advocate before Redressal Grievance Committee with a rider to conclude hearing in one day.

Foreign travel exp. of wife was allowable as she travelled in capacity of partner of firm for busine

IT : Where wife of assessee travelled in capacity of partner of assessee-firm, expenses incurred by her on foreign travel were wholly and exclusively for purpose of business

Transporter inducing dealer to evade taxes can’t save himself from clutches of penalty

CST & VAT : Tripura VAT - Where a transporter had helped or actively connived with dealer in facilitating evasion of taxes, penalty could be imposed upon it in terms of section 13A of Tripura Sales Tax Act and section 77 of Tripura Value Added Tax Act

Trust maintaining gaushalas and taking care of animals is charitable and religious trust

IT : Trust engaged in maintaining gaushalas and tending services to other animals and birds, is to be considered as charitable

Now TDS on works contract shall be at 3% for all contractors under Himachal VAT Act

VAT/INDIAN ACTS & RULES : Himachal Pradesh Value Added Tax (Third Amendment) Rules, 2015 – Amendment in Rules 2, 36, 38, 41, 45, 50, 64, 65 & 66; Insertion of Rule 73A & Substitution of Forms VAT-II, VAT-II-A AND VAT-XV-H

Goods imported for trading couldn't be treated as exempted goods for reversal of credit under rule 6

Cenvat Credit : Exempted goods have to be excisable goods; hence, imported goods, which are traded, cannot be considered as exempted goods and rule 6 of CENVAT Credit rules, 2004 would not apply thereto

Distilleries shall collect TCS on old empty bottles w.e.f. May 1, 2015 under Telangana VAT Act

VAT/INDIAN ACTS & RULES : Section 1 of the Telangana Value Added Tax (Amendment) Act, 2015 – Act – Enforcement of – Notified Date on Which Section 22 of Said Act Shall Come into Force

Now TDS deduction on works contract shall be at 3% for all contractors under Himachal VAT Act

VAT/INDIAN ACTS & RULES : Himachal Pradesh Value Added Tax (Third Amendment) Rules, 2015 – Amendment in Rules 2, 36, 38, 41, 45, 50, 64, 65 & 66; Insertion of Rule 73A & Substitution of Forms VAT-II, VAT-II-A AND VAT-XV-H

Now dealers can eliminate deficiencies in returns within 30 days of service of notice under Himachal

VAT/INDIAN ACTS & RULES : Himachal Pradesh Value Added Tax (Amendment) Act, 2015 – Amendment in Sections 4, 7, 21& 34 And Insertion of Section 50A

TP addition deleted as one comparable selected by TPO had related party transaction above 25% of tur

IT/ILT: Where TPO made addition to assessee's ALP in respect of rendering software development services to its AE, in view of fact that one comparable selected by him had related party transactions in excess of 25 per cent, impugned addition deserved to be set aside

Now TDS deduction on works contract shall be 3% for all contractors under Himachal VAT Act

VAT/INDIAN ACTS & RULES : Himachal Pradesh Value Added Tax (Third Amendment) Rules, 2015 – Amendment in Rules 2, 36, 38, 41, 45, 50, 64, 65 & 66; Insertion of Rule 73A & Substitution of Forms VAT-II, VAT-II-A AND VAT-XV-H