Contract to build body of buses on chassis held as sale and not works contract

IT: Where assessee handed over chassises to fabricating agency on account of its expertise with an understanding that bus as a finished product would be delivered to assessee, said activity was a sale not works contract and assessee was not liable to TDS on payment to said agency

High Court rejects sec. 292C presumption for treating seized docs as true/correct; disallows exp.

IT : Section 292C provides that where any document is found in possession or control of any person in the course of search, then it may be presumed that the contents of such documents are true and correct. However, in the instant case, the documents (in respect of alleged expenditure) found during the course of the search did not indicate the name of payee and payer. Therefore, even if the presumption of Section 292C is to be applied and the documents are accepted as true, it would not lead to t

IRDA advices insurers to issue electric-motor insurance policies in e-form in State of Telangana

INSURANCE : Issues pertaining to issuance of Electronic Motor Policies

ROC to consider fast track exit of defunct-co. which doesn't have any outstanding dues: Kerala HC

CL: Where there was no amount outstanding in name of petitioner-company and there was no recovery proceedings were pending, it was proper for Registrar to consider application under scheme formulated by Central Government for fast track exit of defunct companies and till then prosecution was to be stayed

Now Govt. or RBI can permit Cos to issue debentures of 10 years or more term

COMPANIES ACT, 2013/INDIAN ACTS & RULES : Companies (Share Capital and Debentures) Third Amendment Rules, 2015 – Amendment in rule 18

Govt. hikes excise duty on petrol and diesel by Rs 1.60 and Rs 0.40 per litre, respectively

EXCISE/NT : Omnibus general exemption to goods specified in chapters 1 to 98 of tariff – Amendment in Notification No. 12/2012-C.E., dated 17-3-2012

CIT could make revision when AO failed to follow directions of ITAT to verify docs for sec. 11 relie

IT : Where Assessing Officer failed to discharge his legal obligation under remand order passed by Tribunal to ascertain truth of statement furnished by assessee regarding its claim under section 11 by means of verification with account books, Commissioner rightly invoked section 263 and remanded case to Assessing Officer to pass a fresh order in accordance with said remand order

CIT(Exemptions) directed to strictly adhere to 6 months deadline while passing orders under Sec. 12A

IT : Section 12AA of the Income-tax Act, 1961 – Charitable or religious trust – Registration procedure – Strict adherence of prescribed time limit in passing order under section 12AA

Swachh Bharat Cess of 0.5% leviable from Nov. 15, 2015; Service tax rate raised to 14.5%

ST/N : Section 119 of the finance act, 2015 – Swachh Bharat Cess – Exemption to all taxable services from payment of such amount of Swachh Bharat Cess leviable under section 119(2) of said act, which is in excess of Swachh Bharat Cess calculated at rate of 0.5 per cent of value of taxable services

Maintenance charges collected by builders from prospective buyers aren't liable to service-tax

Service Tax : 'One-time maintenance charges' collected by builders from prospective purchasers of flats for interim period till housing society is formed are not liable to service tax under Management, Maintenance or Repair Services

Forex gain on receipt of consideration against services rendered to AE is part of operating revenue

IT/ILT: A company engaged in business of software products, software consultancy and design and development of software using latest technology, cannot be considered as comparable to a software development service provider

Repayment of interest by issuing equity shares amounts to actual payment under sec. 43B

IT: Where assessee-company reporting loss in earlier years and current year, unclaimed expenses of earlier years could not be allowed in current year

Madras HC upholds amendments in Excise Notifications to deny conditional exemptions on CVD payable b

Madras High Court upholds validity of amendments in 'No cenvat' condition in excise exemption notifications, which had

Receipt on compulsory acquisition of land isn't exempt as no agricultural activity carried out in pr

IT: Where assessee was not carrying on any agricultural activity in land in question in preceding two years prior to its compulsory acquisition, appellant would not be entitled to benefit of section 10(37)

Art work cost recovered on cancelled orders isn't includible in excisable value

Excise & Customs : Where artwork/plates were rendered unusable in case of cancelled orders, cost thereof recovered from customers cannot be included in excisable value

All existing STP units enjoying special economic benefits qualify to be existing SEZ units for Sec.

IT : "Existing SEZ unit" means every SEZ which was in existence on or before the commencement of the SEZ Act. As there was no definition of existing unit. Therefore, it could be concluded that all STP units enjoying special economic benefits would qualify to be "Existing Special Economic Units"

Payment made by United Breweries for using brand name on its beer held as 'royalty'

IT : Where assessee, a manufacturer of beer, paid trade discount to retail dealers through its del-credere agents depending upon quantity of beer lifted by each retailer, amount so paid did not fall in category of commission requiring deduction of tax at source under section 194H

Non-supply of import agreement suo moto by assessee can’t be regarded as suppression

Customs : Requirement of supply of contract/agreement would apply under section 17(3), read with rule 10(1)(b) of Import Valuation Rules, 1988, only on demand made by proper officer; therefore, non-supply of contract/agreement suo motu by assessee cannot be regarded as "suppression".

Royalty paid by ONGC above limit of Oilfield Act as per Govt's directive isn't infraction of law

IT: Where assessee paid royalty at rate 29 per cent to State Government which exceeded prescribed statutory limit of 20 per cent as per instructions and guidelines of Central Government, it could not be said to be a payment hit by Explanation to section 37

RBI permits FCR-INR swaps with International financial institutions to facilitate long-term forex bo

FEMA/ILT : Risk Management & Inter-Bank Dealings : Relaxation of Facilities for Residents for Hedging of Foreign Currency Borrowings

RBI decides to switch over from barter trade to normal trade at Indo-Myanmar border wef. Dec 1, 2015

FEMA/ILT : Switching from Barter Trade to Normal Trade at Indo-Myanmar Border

Tax to be levied without scrutinizing docs when clear admission, voluntarily made, by assessee durin

IT : SLP dismissed against High Court's order where it was held that since assessee himself had stated in sworn statement during search and seizure about his undisclosed income, tax was to be levied on basis of admission without scrutinizing documents

Commission on corporate guarantee given to AE benchmarked at 0.5% by Mumbai ITAT

IT/ILT: Arms length Interest rate charged by assessee-company on loan given to its AE should be LIBOR + 2 per cent

PM nods to protocol amending India-Turkmenistan DTAA

IT/ILT/INDIAN ACTS & RULES : Section 90 of the Income-Tax Act, 1961 – Double Taxation Agreement – Agreement fsor Avoidance of Double Taxation and Prevention of Fiscal Evasion with Foreign Countries – Protocol Amending Convention Between India and Turkmenistan

Now facility of bulk filing of declaration of off-site software exports extended to all software exp

FEMA/ILT : Further Liberalisation of Software Export – Filing of Bulk Softex