No disallowance of sec. 80-IA relief without any proof that excess profits were shown due to arrange

IT/ILT: Where since Assessing Officer had not conclusively proved fact that there was an arrangement between assessee and its AE by which transactions were so arranged as to produce more than ordinary profits in hands of assessee, disallowance of part deduction under section 10A by applying provisions of section 80-IA(10), was not justified

Conveyance allowance paid to officers of LIC isn't exempt if it isn't reimbursement of exp.

IT: Where there was no evidence that amount of additional conveyance allowance paid to assessee, an officer of LIC, was reimbursement of expenditure, it was not eligible for deduction under section 10(14)(i)

Investment shown in dairy of assessee wasn't unexplained as AO failed to bring any other evidence

IT: Where no specific evidence had been brought on record by Assessing Officer to effect that impugned investment related to assessee, addition was to be deleted

No denial of reasons for reassessment just because assessee has asked for it only once: Bombay HC

IT : Revenue could not justify non-furnishing of reasons for reassessment on the ground that the assessee had asked for reasons recorded only once

Official liquidator doesn't have authority to ascertain claims filed by State Financial Corp. as sec

CL: State financial corporations as secured creditors are not required to prove their debt declared under State Financial Corporation Act before Official Liquidator or company court

Circulars contrary to Supreme Court's judgment need not be followed: CBEC

Clarification Regarding Binding Nature of Circular and Instructions

CBEC assigns additional powers to its Principal Commissioners

SERVICE TAX : Rule 3 of the Service Tax Rules, 1994 - Service Tax Authorities

Circulars contrary to Supreme Court's judgment need not be followed

Clarification Regarding Binding Nature of Circular and Instructions

Demand notice is valid as assessee hasn't obtained discharge certificate under VCES

Service Tax : Where assessee had made declaration/payments under Service Tax Voluntary Compliance Encouragement Scheme but discharge certificate had not been issued thereunder, notice demanding tax cannot be treated as invalid even if same would be adjudicated by distinct authority

Gold jewellery below 500 grams to be deemed as 'streedhan' of wife; couldn't be seized

IT : In view of CBDT Instruction No. 1916 of 11-05-1994, gold jewellery of 471 grams found during course of search could reasonably be treated as streedhan of assessee's wife and would not be treated as undisclosed money

HC disallowed depreciation as assessee failed to prove that windmill was actually installed at proje

IT: Where Tribunal disallowed depreciation on windmill by holding that certificates which were relied upon by Commissioner (Appeals) and site inspection did not remove essential discrepancy, since it was physically impossible for consignment to cover a distance of 800 kilometers to reach proposed site and project of this magnitude was unable to commission within a short span, order passed was justified

Madras HC counts limitation period of reassessment from the date of rectification order

IT: Section 149 does not relax restriction of four years prescribed in proviso to section 147 for issuance of a notice under section 147; rather it puts an additional time restriction even where there is no restriction of time for reopening of assessment on account of failure of assessee to disclose fully and truly all material facts

No question of law arises when Concurrent findings are recorded by appellate authorities on unaccoun

IT: Concurrent findings of three authorities in respect of addition on account of undisclosed income from sale of flat, would not give rise to any question of law

ITAT unhappy with AO for completing assessment against assessee after issuing notice to incorrect ad

IT : Where notice under section 143(2) was not served upon assessee within 6 months from end of financial year in which return was furnished and Assessing Officer had completed assessment without serving statutory notice which was mandatory for completing assessment, assessment was null and void

IRDA specifies percentage and terms and conditions for reinsurance cessions

INSURANCE : Section 101A Of The Insurance Act, 1938 - Re-Insurance With Indian Re-Insurers – Specified Percentage And Terms And Conditions For Reinsurance Cessions To Indian Reinsurer In Compliance With Said Section

AO directed to readjudicate whether sum paid by Dhampur Sugar Mills on failure to export sugar was p

IT : Where assessee changed its method of accounting for valuation of closing stock, since changed method of accounting was more scientific and did not result in any evasion of tax, addition made on account of closing stock was unjustified

Alternate remedy of appeal wasn't appropriate as writ against Tribunal's order was pending for long

FEMA: Where writ petition against order of Appellate Tribunal had been admitted and was pending for several years, petitioner could not be directed to avail alternate remedy provided under section 35

ICAI's opinion in guidance note can be used to compute taxable income even if it has persuasive valu

IT : Where assessee had maintained accounts as per guidance note on accounting for leases issued by ICAI and during year it claimed deduction of lease equalisation charges from lease rental income, method of accounting following by assessee could not be discarded and it was entitled for deduction

Sale of CNG from retail outlets isn't prima facie marketing services of CNG

Service Tax : Purchase of CNG and sale thereof from retail outlets would not, prima facie, amount to 'marketing services of CNG' and therefore, same is not liable to service tax under Business Auxiliary Services

No reassessment to disallow MODVAT credit if its computation was available with AO during assessment

IT: Where working pertaining to MODVAT credit was available with Assessing Officer at time of passing order under section 143(3), reassessment initiated to disallow excess claim made by assessee in respect of MODVAT credit was not justified

Sum paid for software development wasn't FTS as no technical services were made available to assesse

IT/ILT : Where assessee having secured an order from foreign company, parceled out a portion of work to its subsidiary located in USA, since subsidiary performed its operations outside India and no technical knowledge was made available to assessee, amount paid to subsidiary company was not taxable in India

Gift of shares to shareholders to be deemed as payment of dividend in kind which is prohibited

CL : Court cannot sanction a compromise or arrangement which involves declaration of dividend in violation of section 123 of the Companies Act, 2013. Where a company gifts to its shareholders shares held by it in another company, it is in substance distributing a "dividend" within the meaning of section 2(35) of the Companies Act, 2013 as also section 2(22A) of the Income-tax Act, 1961 since company could have sold those shares and distributed the proceeds. Allowing distribution of these shares

Usage of registered artistic work of other person doesn't lead to denial of SSI exemption

Central Excise : Mere registration of artistic work 'Sundar' under Copyright Act in name of another person does not prove that it was 'brand name' registered in name of such another person under Trade Marks Act; hence, SSI-exemption cannot be denied

Revenue could impose penalty without evidence if undisclosed income admitted again in post-search pr

IT : Where assessee himself admitted in presence of his Chartered Accountant that he had undisclosed income which was utilized for renovation of his bunglow, revenue authorities were not required to prove by bringing any positive evidence of existence of undisclosed income with assessee so as to levy penalty under section 271(1)(c)

Govt. urges black money hoarders to file declaration in time under compliance window

IT/ILT : Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 – Persons Holding Undisclosed Foreign Assets are Advised to File their Declaration well in Time Under Compliance Window of Said Act

Where NP rate determined by Tribunal was based on comparables, order of tribunal was to be upheld

IT : Where Tribunal after referring to comparable cases applied net profit at 8 per cent, since estimation of net profit by Assessing Officer was on higher side, order passed by Tribunal was justified

Dept. can't insist assessee to file forms online for inter-state sales under Puducherry VAT Act

CST & VAT: Central Sales Tax - Where assessee claimed concessional rate of tax/exemption from tax on inter-State sales/consignment sales effected during year, department's insistence that declaration in forms 'C' and 'F' should be uploaded through online in website is not in consonance with any of rules either under Central Sales Tax Rules or Puducherry Value Added Tax Rules

Govt. urges black hoarders to file declaration in time under compliance window

IT/ILT : Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 – Persons Holding Undisclosed Foreign Assets are Advised to File their Declaration well in Time Under Compliance Window of Said Act

Transfer of statutory liability in Slump Sale can't be deemed as actual payment under sec. 43B

IT: Statutory liability on account of bonus, gratuity and leave encashment does not stand discharged by assessee upon sale of its undertaking on 'as is where is' basis, so as to allow deduction under section 43B

Court can’t sanction a compromise or arrangement scheme which involves gift of shares to shareholder

CL : Court cannot sanction a compromise or arrangement which involves declaration of dividend in violation of section 123 of the Companies Act, 2013. Where a company gifts to its shareholders shares held by it in another company, it is in substance distributing a "dividend" within the meaning of section 2(35) of the Companies Act, 2013 as also section 2(22A) of the Income-tax Act, 1961 since company could have sold those shares and distributed the proceeds. Allowing distribution of these shares

Once accused admits issuance of cheque onus is on him to prove that cheque hasn't been issued for di

Negotiable Instruments Act: Once issuance of cheque has been admitted, complainant is entitled to invoke presumption under sections 118 and 139 that cheque has been issued for discharging legally subsisting liability, which is a rebuttable presumption and where accused has failed to rebut such presumption he is guilty of offence under section 138

No reassessment to disallow additional depreciation if full disclosure was made by assessee in origi

IT : Where while submitting original return of income, assessee claimed depreciation at 20 per cent/10 per cent in respect of lesser machine, leth, ghanti and plant and machinery which came to be considered and granted by Assessing Officer, reassessment proceedings initiated for disallowing same was to be quashed

Tribunal can extend stay on recovery order beyond 365 days if delay in disposal of appeal not attrib

Excise & Customs : CESTAT has power to grant or extend stay of recovery of demand beyond 365 days from date when stay order was initially passed, if delay in disposal of appeal was not attributable to assessee

No penalty on 'Dimpal Yadav' for accepting cash loan from Samajwadi Party as it was routed via bank

IT : Where even though assessee had taken a loan in cash, since loan was routed through bank account of assessee for payment to Government for converting land into free hold property, no penalty could be imposed under section 271D

No penalty on 'Dimpal Yadav' for accepting cash loan from Samajwadi Party if it was routed via bank

IT : Where even though assessee had taken a loan in cash, since loan was routed through bank account of assessee for payment to Government for converting land into free hold property, no penalty could be imposed under section 271D

Provisions of deemed dividend aren't applicable if assessee isn't a shareholder of lender co.

IT : Where assessee was not a shareholders of lender company, provisions of section 2(22)(e) would not apply

Participatory note isn't an illegal instrument; SEBI can asks FPI to specify its terms and parties

SEBI : A participatory note i.e., 'Offshore Derivative Instruments' (ODIs) is not an illegal instrument , nor is it prohibited under Prevention of Money Laundering Act, 2002, Foreign Exchange Management Act, 1999 and the SEBI Rules and Regulations

Insurance Marketing Firms need not use the word 'firm' while registering with ROC: IRDA

INSURANCE : IRDA (REGISTRATION OF INSURANCE MARKETING FIRM) REGULATIONS, 2015 – CLARIFICATION ON NAME OF INSURANCE MARKETING FIRM

Assessee couldn't challenge reassessment just because impugned deduction was allowed in sec. 143(1)

IT : Where assessee's claim for exemption under section 10A was allowed by mere issuing intimation under section 143(1), Assessing Officer could reopen assessment subsequently taking a view that assessee had failed to fulfil conditions laid down in clauses (ii) and (iii) of section 10A(2) and, thus, exemption was wrogly allowed

Manner of distribution of profit among members of AOP, being developer isn't relevant for allowing s

IT : Allowability or otherwise of deduction under section 80-IB(10) is not dependent upon manner in which profit had been distributed among members of assessee-AOP but it depends upon income earned from eligible project and fulfilment of conditions laid down in said section

Genuineness of loan received through cheque from NRE account couldn't be doubted

IT : Where assessee received certain unsecured loan from a non-resident, in view of fact that said amount was advanced through an account payee cheque from NRE account of lender, impugned addition made under section 68 in respect of said loan was to be deleted

SC refers matter to larger bench on issue of inclusion of cost of gunny bags in value of soda ash

Excise & Customs : Supreme Court renders conflicting view on issue of includibility of cost of 'gunny bags' in value of soda ash; matter would be referred to larger bench

TPO gets flak from ITAT for applying bright line test for AMP exp. without performing FAR analysis

IT/ILT : International transaction of AMP expenses can be clubbed with other international transactions carried out by assessee as distributor only when AMP functions performed by tested party and comparables are same

Subsequent sale of acquired shares doesn't exempt acquirer from making public announcement

CL : Obligation for making PA for creeping acquisition above 5% does not cease even if shares sold later in same FY

Limitation period to register Court's order has to be determined from date of receipt of certified c

CL : Where scheme of demerger as approved by Company Court was subject matter of issue before Division Bench in appeal, limitation was to be determined from date on which petitioner was furnished with certified copy of judgment of Division Bench; hence petitioner was entitled to seek registration of order

No writ lies against pre-deposit orders passed by Tribunal as it can be challenged in appeal before

Service Tax/Excise/Customs : Pre-deposit orders passed by Tribunal can be challenged in appeal before High Court; hence, in view of effective alternate appeal remedy, writ petitions cannot be maintained thereagainst

CIT rightly made revision as AO failed to examine TDS default on discount paid against recharge coup

IT : Where Assessing Officer while completing assessment did not make any enquiry relating to non-deduction of tax at source in respect of discount/commission paid to vendors against pre-paid recharge vouchers, Commissioner was justified in setting aside said assessment in exercise of his revisional power

No penalty if income offered for taxation is equivalent to income returned pursuant to sec. 153A not

IT : Where difference between income declared under section 139(1), additional income offered under section 132(4) and assessed income under section 153A being identical with income returned under section 153A, no penalty under section 271(1)(c) is leviable

No disallowance of depreciation just because it was termed as terminal depreciation

IT: Merely because depreciation claimed under section 32 is termed as 'Terminal depreciation' could not be a reason to disallow claim

Dept. must prove flow of additional consideration from buyer to manufacturer to establish undervalua

Excise & Customs : Merely because stock statements given by assessee to banks for purposes of getting credit facilities, show 'higher values' of stock/goods, same does not prove undervaluation; there must be evidence of flowback of additional consideration from buyer to manufacturer

No vicarious liability of College Chairman for cheque bouncing if college wasn't arrayed as an accus

Negotiable Instruments Act : Where borrowings were effected for development of college, Chairman of college could not be proceeded against under section 138 on dishonour of cheque issued towards repayment of loan, if college was not arrayed as an accused

Assessee could claim balance sec. 10A relief directly before CIT(A) if it had wrongly claimed lesser

IT : Even if a claim for 100 per cent deduction under section 10A was not made by assessee before Assessing Officer, it could be made before Commssioner (Appeals)

Co. providing complex product development services can't be compared with Co. rendering only develop

IT/ILT : A captive unit of a comparable company which assumes only a limited risk, cannot be compared with a giant company in area of development of software who assumes all types of risks leading to higher profits

No vicarious liability of College Chairman for cheque bouncing if college wasn't arrayed as on accus

Negotiable Instruments Act : Where borrowings were effected for development of college, Chairman of college could not be proceeded against under section 138 on dishonour of cheque issued towards repayment of loan, if college was not arrayed as an accused

Sale at factory-gate wasn't undervalued merely because stock statements showed higher value of goods

Central Excise : Merely because price at godown (or in stock statements) was here, department cannot allege undervaluation in case of factory-gate sales

Sum paid to foreign consultant for interior designing of hotel isn't FTS

IT/ILT: Where there is no transfer of technology, technical know-how or any technical knowledge or skill that assessee can apply in furtherance of his business objects, payments for same to a Singaporean company does not fall within scope of 'fees for technical services' as per India-Singapore DTAA

ITAT could review its own order when it noticed that assessee wasn't duly served with hearing notice

IT : Appeal against Tribunal's order was rejected where Tribunal merely remanded issue of computation of deduction under section 80HHC to Assessing Officer for fresh consideration

AO who is engaged in election duty can demand extra time for verification of additional evidence, sa

IT : Where Assessing Officer sought one month time for due verification of additional evidence produced by assessee by stating that he was on election duty and number of cases of assessment in which time limitation was going to expire was pending, Commissioner (Appeals) should accept his demand

No violation of sec. 13 when exp. wasn't incurred on property of trustee as property was gifted to t

IT: Where assessee-trust incurred expenditure towards development expenses on leasehold land gifted by trustees to assessee by HIBA(oral gift), since subsequently said land was transferred to assessee by way of gift deed, trustees were not benefitted in any way, and, thus, there was no violation of provisions of section 13(1)(c)

No illegality was found in proposal to issue and allot shares as resolutions were passed in a duly c

CL: Where company had complied with all formalities in convening and holding AGM, requisite quorum was present and resolutions were passed in a democratic manner and decisions taken in AGM were legal and valid, no case of interference was called for

Interest earned on fixed deposits made by society out of its income is also eligible for sec. 80P re

IT: Where interest income earned by assessee society by providing credit facilities to its members was deposited in banks for a short duration which had earned interest, said interest on deposits was attributable to business of banking of assessee and it was liable to deduction under section 80P(2)(a)(i)

Trust giving educational scholarship can't be said to be engaged in object of general public utility

IT : Scholarships is 'education', not 'any other object of general public utility'. Trust cannot be denied exemption by invoking the first proviso to sec 2(15) where its activities in fact fall within the heads 'education', 'medical relief' and 'relief of the poor' even if its objects allow it to carry on any activity for 'advancement of any other object of general public utility'

Roaming facility doesn’t require human intervention; roaming charges paid by Telecos aren’t ‘FTS’

IT : The provision of roaming services do not require any human intervention and accordingly, cannot be construed as technical services. Thus, payment of roaming charges by telephone operator does not fall under the ambit of TDS provisions under section 194J.

Digital Still Image Video Camera is liable to be taxed at 4% under Delhi VAT

CST & VAT : Delhi VAT - Digital Still Image Video Camera sold by assessee during period 1-4-2005 to 7-8-2005 was not covered under Entry No. 41 of Third Schedule to VAT Act, whereas said product sold during period 30-11-2005 to 31-12-2007 would fall under clause 15 of Entry No. 41A of Third Schedule

Exp. incurred on repairing of Multiplex building is revenue exp.

IT : Where expenditure on account of repairs and maintenance of buildings and theatres was only for purpose of carrying on of business and did not bring any capital asset into existence, same was to be treated as revenue in nature

Profit from forex fluctuation is an operating income; to be considered while determining ALP under t

IT/ILT : Foreign exchange fluctuation income is an operating income and thus same has to be taken into consideration while determining ALP of international transactions entered into by assessee

No dismissal of rectification plea on basis of objection of revenue without giving hearing opportuni

IT : Where on a rectification application filed by assessee, under section 254(2), Tribunal dismissed appeal in view of revenue's preliminary objection, a prejudice was caused to assessee and appeal was to be decided again

Appeal filed belatedly without any Condonation application is liable to be dismissed

Service Tax : Where belated appeal has been filed without any application for condonation of delay, appeal is liable to be dismissed as time-barred and Commissioner (Appeals) is not duty-bound to notify said defect

No addition of unexplained purchases as no adverse comments were made on such purchases in sales tax

IT : Where notice under section 153C was issued on 6-7-2010 which fell in assessment year 2011-12, for assessment years 2003-04 and 2004-05, notice was barred by limitation and assessment completed pursuant to said notice was to be quashed

Demanding EMI from buyers without revealing cancellation of building plans was unfair trade practice

Competition Act: Where complainant had booked for allotment of office space in proposed building of respondents and respondents continuously suppressed facts relating to rejection of building plans, demanded instalments of price and also forced complainants to accept car parking by paying additional sums, it amounted to unfair trade practice

TP adjustment deleted as margin of AE segment was within the tolerance limit

IT/ILT : Where margin of assessee's AE segment came within +/- 5 per cent range when compared to arithmetic mean/PLI, computed by TPO, no TP adjustment was required to be made

Failure to explain source of deposits would invite additions even if assessee was taxable on presump

IT : Where assessee did not maintain any books of account and failed to explain additions made in his account under section 68, addition made was justified

SEBI search and seizure norms come into force from Sept. 17, 2015

SEBI/INDIAN ACTS & RULES : SEBI (Procedure for Search and Seizure) Repeal Regulations, 2015 – Repeal of SEBI (Procedure for Search and Seizure) Regulations, 2014

Now employees of AE excluded from definition of employee under share based employee benefits norms

SEBI/INDIAN ACTS & RULES : SEBI (Share Based Employee Benefits) (Amendment) Regulations, 2015

No CVD on import of set-top boxes meant for supply to customers of DTH service providers

Customs : Set-top boxes imported by DTH service providers and supplied to consumers for service charges without any transfer of property, are not 'sold' to consumers; therefore, there is no requirement to declare RSP thereon and hence, CVD on set-top boxes cannot be demanded as per section 4A of Central Excise Act

Assessee liable for sec. 194C TDS as his records revealed that he acted as contractor and not as com

IT : Where assessee, a transporter, having received freight charges for transportation of goods, paid same at a lesser rate to truck owners resulting in profits, assessee, being a contractor, was required to deduct tax at source under section 194C while making payments to truck owners/sub-contractors

Voluntary declaration of concealed income before its detection by revenue doesn't call for penalty

IT : Assessing Officer could not pass penalty order under section 271(1)(c) in a case where assessee suo-motu revised his return declaring additional rental income and paid taxes thereon before any detection of concealment by revenue authorities

RBI relaxes norms on equity investments by banks

BANKING : Review Of Equity Investment By Banks

Now banks can grant loans and advance to their CEOs/full time Directors without RBI's nod

BANKING : Guidelines On Compensation Of Chief Executive Officer/Whole Time Directors – Restrictions Under Section 20 Of The Banking Regulation Act, 1949 – Loans To Directors

Non-disclosure of a fact didn't amount to suppression if it wasn't legally required to be disclosed

Excise & Customs : If there is no legal requirement to disclose proprietary interest in any other factory and financial matters as to payment of job-work charges by assessee, non-disclosure of said fact cannot amount to 'suppression' and therefore, extended period of limitation cannot be invoked

No denial of sec. 80P benefit to society due to violation of provisions of Andhra Pradesh Co-operati

IT : Merely because assessee had received deposits from non-members and violated provisions of APMACS Act, it would not prevent assessee being a co-operative society nor it would prevent claiming deduction under section 80P(2)(a)(i)

Under SARFAESI Act Appellate Tribunal has power to condone delay in filing appeal: Supreme Court

SARFAESI : Appellate Tribunal under SARFAESI Act has power to condone delay in filing an appeal before it by virtue of section 18(2) of SARFAESI Act and proviso to section 20(3) of RDB Act

Delhi HC dismissed petition seeking extension of due date of Sept. 30, 2015 for filing of return

IT : The Delhi High Court dismissed the petition which was filed to challenge the order of Government refusing to extend due date of 30-09-2015 as prescribed for filing income-tax returns of entities whose accounts are required to be audited. It was held that this petition was not drafted as PIL and it did not comply with the rules for filing a PIL

Govt. notifies norms on Digital Signatures

CORPORATE LAWS/INDIAN ACTS & RULES : Digital Signature (End Entity) Rules, 2015

3 months taken by AO to record satisfaction pursuant to search to take action against 70 persons hel

IT : Where satisfaction under section 158BD was recorded by Assessing Officer of searched person after 3½ months, in view of fact that Assessing Officer had to take action against 70 persons on basis of search proceedings, aforesaid time period taken by him could not be regarded as unreasonable

Company having exceptional financial result due to merger is excludible from list of comparables

IT/ILT : In case of assessee, rendering IT enabled services to its AE, companies involved in providing KPO services and having exceptional financial results due to merger, could not be accepted as valid comparables while determining ALP

Govt. notifies norms for payment of additional contribution by mining lease holders

CORPORATE LAWS/INDIAN ACTS & RULES : Mines And Minerals (Contribution To District Mineral Foundation) Rules, 2015

Electricity duty collected under Bengal Electricity Act on behalf Government doesn't attract sec. 43

IT: Where assessee collected electricity duty on behalf of State of Bengal but failed to pay said amount to Government and, therefore, revenue authorities made disallowance under section 43B, since Bengal Electricity Act, ruled out applicability of section 43B, impugned disallowance deserved to be deleted

HC not to interfere with findings of lower Court if accused failed to provide plausible defense for

Negotiable Instruments Act: Where defence projected by accused did not appear to be probable and lower Courts had recorded a finding that accused had committed offence under section 138, findings of lower Courts in exercise of revisional powers were not to be interfered with

HC not to interfere with findings of lower Court if accused failed so provide plausible defense for

Negotiable Instruments Act: Where defence projected by accused did not appear to be probable and lower Courts had recorded a finding that accused had committed offence under section 138, findings of lower Courts in exercise of revisional powers were not to be interfered with

Cessation of liability to repay loan taken to purchase capital asset doesn't invite sec. 41(1) addit

IT: Where assessee had taken loan for purchase of capital assets and there was a cessation of liability to repay said loan, section 41(1) would not be applied

'High level committee on CSR' gets one month extension to submit its report

COMPANIES ACT, 2013 : Section 135 Of The Companies Act, 2013 – Corporate Social Responsibility (Csr) – Extension Of Another One Month For High Level Committee On CSR

Person drawing Cheque in his personal capacity to discharge liability of Co. was liable under sec. 1

Negotiable Instruments Act : Where respondent had drawn a cheque in his personal capacity to discharge liability of company and same was dishonoured, respondent being drawer of cheque was liable under section 138, even though company had not been named in notice or complaint

Tribunal's stay order prevails over undertaking given by assessee for payment of tax

Excise & Customs : Tribunal's stay order would prevail over any undertaking given by assessee; hence, where Tribunal had granted unconditional stay without any direction as to bank guarantee, department was bound to return bank guarantee furnished by assessee

Once assessee refused to co-operate with AO in block assessment his arguments at subsequent stage co

IT : Where assessee at time of search, admitted to have lent certain amount from his undisclosed business income, subsequently he could not file return declaring lower amount as undisclosed income contending that he had given said amount as trade advance which was returned later on

No disallowance of 'FTS' due to TDS default if FTS was capitalized in books

IT/ILT : Where assessee-company made payments to a non-resident concern, but said payment had not been claimed by assessee as revenue expenditure in current year, same would not come within ambit of section 40(a)(i)

Loss arising on ‘Index linked debentures’ as on balance sheet date is allowable: ITAT

IT : The methodology adopted by assessee to determine the rate of return on debentures on basis of Nifty level prevailing on the date of maturity was only a different method of computing the interest liability of assessee. It is an accepted and prudent accounting practice to provide for all known liabilities and losses as on the date of balance sheet. Thus, the loss provided by assessee on the date of balance sheet due increase in level of Nifty index vis-à-vis the level existed at the time of a

Assessee gets sec. 10A relief as it wasn't formed by splitting up of or reconstruction of asset alre

IT : Where STPI unit established by assessee for which section 10A deduction was claimed, was not formed by splitting up or reconstruction or transfer of used assets of its non STPI unit , assessee would be entitled for said deduction

ITAT interprets sec. 15 to determine taxable salary when excess salary is refunded by employee

IT : What is taxable under section 15 is "salary due" and not "salary accrued" salary is not taxable on "accrual" under section 15 since section 15 uses the words "salary due". The salary is not to be taxed on the basis of "accrual" since, in it's conscious choice of words, legislature has chosen the taxability on due basis or payment basis – whichever is earlier. The amount which constituted "salary due from an employer" was only the amount net of recovery, which the employer was legally empowe

Unexplained money couldn't be assessed in hands of assessee as same was already assessed in hands of

IT : Where impugned amount had already been assessed in hands of another person, same could not be again assessed in hands of assessee