Refund can't be adjusted against pending demand without giving hearing opportunity to assessee

IT: Where revenue seeks to set off refund due to assessee against tax demand pending for another assessment year under section 245, it must give an opportunity of hearing to assessee

Interest on interest having an element of default isn't permissible deduction under sec. 36(1)(iii)

IT: When principal amount borrowed stood repaid while interest remained payable, interest on interest, having an element of default, is not a permissible deduction as it cannot be said to be a benefit extended in carrying on business

No disallowance of cash payment above Rs. 20,000 if its genuineness wasn't questioned by revenue

IT: Where genuineness of transactions made in cash in excess of Rs. 20,000 was not disbelieved by authorities, same cannot be disallowed under section 40A(3)

Date of seizure is excludible for computing initial period of 6 months for seizure of goods

Excise & Customs : In computing initial time-period of 6 months for seizure under section 110, date of seizure would be excluded

HC directs AO to make re-assessment as notice of imposing concealment penalty wasn't served upon ass

IT : Where notice of hearing for imposing penalty under section 271(1)(c) was not served upon assessee, order passed by Tribunal setting aside penalty so imposed, was to be set aside and matter be remanded back to Assessing Officer to make assessment afresh

TNMM adopted by TPO in earlier year to be used in later years if facts remained unchanged

IT/ILT: Where assessee had followed TNMM in respect of its international transactions and no change had been proposed by TPO in earlier years as well as in subsequent years in said method, on similar facts, TNMM should be taken as most appropriate method

SAD is also a duty; interest is to be paid on delayed refund of SAD

Excise & Customs : Where refund of SAD duty under exemption Notification No. 102/2007-Cus. was granted belatedly, assessee was eligible for interest on belated refund under section 27A of Customs Act, 1962

Deduction of bad-debts would be allowed even if only part of debt is taken into account for computin

IT : Even if a part of debt is taken into account for computing profits of earlier assessment year, it would satisfy condition to claim deduction of debt in subsequent year

Prior to 1-3-2011, service-tax couldn't be charged on free SIM cards provided to dealers in lieu of

Service Tax : Prior to 1-3-2011, telecom operators are not liable to pay service tax on pre-paid SIMs and vouchers provided to dealers 'free of cost' in lieu of commission

Assessee had TDS liability on commission paid to NR when he failed to show that NR didn't have PE in

IT/ILT : Where assessee did not bring material on record showing that non-resident agents had rendered marketing services abroad and there was no business connection in India, question as to whether commission paid to them was taxable in India, was to be remanded back for disposal afresh

SLP granted to decide whether reimbursements made to shipping agents for use of global telecom syste

IT/ILT : SLP granted against High Court's ruling that payments made by Indian agents to foreign shipping company as reimbursement of share of cost for maintaining a global Net Communication system was not fees for technical services

Cabinet approves protocol amending India-Japan DTAA; includes standard for automatic exchange of Inf

IT/ILT/INDIAN ACTS & RULES : Section 90 of the Income-Tax Act, 1961 – Double Taxation Agreement – Agreement for Avoidance of Double Taxation and Prevention of Fiscal Evasion with Foreign Countries – Japan – Protocol Between Government of India and Government of Japan on Amendment of Said Agreement

CBDT issues circular on tax deductions from salaries for FY 2015-16

IT/ILT : Section 192 of The Income-Tax Act, 1961 – Deduction of Tax at Source – Salary – Income-Tax Deduction from Salaries During Financial Year 2015-16 Under Section 192

New units undertaking expansion in North Eastern Region shall continue to be eligible for Excise exe

EXCISE : Suspension of Benefits Under North East Industrial and Investment Promotion Policy (Neiipp), 2007 by Dipp and Its Bearing on Central Excise Duty Exemption

SetCom had to furnish investigation report so that assessee could present its view on alleged excise

ST : Where Settlement Commission proposes for conducting direct investigation or enquiry, report of such enquiry or investigation must be furnished to concerned party well in advance so that it can present its version

CESTAT denies Cenvat credit on 'heath club and fitness center services' availed by Accenture

Cenvat Credit : Assessee was entitled to Cenvat Credit on various input services in respect of services which were received in pursuance of business activity

Compensation paid by hotel on death of guest in its swimming pool is business exp.

IT: Monies received in Indian rupees by assessee from foreign tourists/airlines/embassies, which were accepted as amounts received in convertible foreign exchange by RBI pursuant to its Circular issued in context of EPCG scheme, would be eligible for deduction under section 80HHD

CBDT devised mechanism to pursue TDS related issues of branches via Corporate Head Quarter

IT : Section 200 of the income-tax act, 1961 – deduction of tax at source – duty of person deducting tax - stringent authentication mechanism through corporate head quarter server for filing of correction statements & download of tds certificate, consolidated files etc. by banks/corporates

ITAT unhappy with AO for reopening case on basis of suspicious and non-existent facts

IT: Where Assessing Officer processed under section 143(1) returns of income filed by assessee for assessment years 2001-02 to 2003-04 and subsequently he reopened said assessments on sole basis that assessee had not filed returns for years preceding to assessment year 2004-05 and, therefore, its income having escaped assessment, reopening of assessment was on basis of suspicion and non-existent and incorrect facts and it was invalid

CBDT devised mechanism to pursue TDS related issues of braches via Corporate Head Quarter

IT : Section 200 of the income-tax act, 1961 – deduction of tax at source – duty of person deducting tax - stringent authentication mechanism through corporate head quarter server for filing of correction statements & download of tds certificate, consolidated files etc. by banks/corporates

CBDT prescribes procedure for verification of electronic and manual declarations of Form 15G/15H

IT : Section 197A Of The Income-Tax Act, 1961 – Deduction Of Tax At Source – Non-Deduction In Certain Cases - Simplification Of Procedure For Form No.15G & 15H

Sale of Gutkha can't be quantified on basis of tobacco consumed in manufacturing

Excise & Customs : Clandestine manufacture and sale of Gutkha could not be quantified on basis of purchase and consumption of tobacco without ascertaining moisture content in raw tobacco and there being no evidence to show excess consumption of other raw material to be used in manufacture of Gutkha

SLP granted against HC's order holding that sec. 14A disallowance couldn't be made when AO didn't re

IT : SLP granted against High Court's order wherein it was held that since their was no tangible material that could have enabled Assessing Officer to record his satisfaction in terms of section 14A, disallowance made by it by holding that interest bearing funds had been used to earn tax free dividend etc., was unjustified

Even belated payment of excise duty, voluntarily, would attract interest

Service Tax/Excise/Customs : Interest under section 11AA is payable even in cases where duty is paid belatedly, though voluntarily prior to issuance of notice

Co. owning significant intangibles not comparable with a low risk captive service provider who doesn

IT/ILT: A company owning significant intangibles cannot be compared to a low risk captive service provider who does not own any such intangible

No need to deposit in Cap Gain Scheme if house is purchased within time limit of sec. 54F

IT : Where assessee had purchased new asset within two years from date of transfer of original asset section 54F(4) requiring assessee to deposit amount within prescribed time would not be attracted and assessee would be entitled to benefit under section 54F

Income-tax returns are personal informations, can't be disclosed under RTI Act

RTI : Where petitioner filed application under RTI Act demanding copies of Income-tax returns of five private parties, information demanded was personal information and was clearly exempted information under section 8(1)(j) and in disclosing same, there was no element of public interest to be sub-served

New pre-deposit requirement applies to all appeals filed on or after Aug. 6, 2014: Delhi HC

Service Tax/Excise/Customs : As per second proviso to customs section 129E (excise section 35F), mandatory 7.5 per cent 10 per cent pre-deposit would not apply to appeals/applications pending on 6-8-2014; therefore, in other words, mandatory 7.5 per cent 10 per cent pre-deposit would apply to appeals filed on or after 6-8-2014

SEBI brings in system-driven disclosure in securities market

SEBI : Introduction Of System-Driven Disclosures In Securities Market

No reassessment to disallow provision for unascertained liability if no facts were suppressed in ori

IT: Where Assessing Officer reopened assessment on ground that assessee was allowed deduction for provisions towards an unascertained liability which was not allowable, in absence of any information that assessee had unjustifiably suppressed relevant information, reopening was unjustified

Govt. hikes limit for turnover tax under Odisha VAT from 40 lakhs to 50 lakhs

VAT/INDIAN ACTS & RULES : Odisha Value Added Tax (Amendment) Act, 2015 – Amendment In Sections 9, 10, 11, 16, 20, 25, 27, 31, 32, 33, 39, 41, 42, 43, 50, 54, 57, 58, 59, 65 & 77; Omission of Section 30 and Insertion Of Section 42A

No service-tax on handling charges if it was included in value of goods liable to VAT

Service Tax: Where 'handling charges' incurred in connection with procurement of goods were included in value of goods sold and sales tax/VAT liability was discharged, service tax would not be levied

SEBI floats discussion paper on 'Review of framework for public issuance of Convertible Securities'

SEBI : Discussion Paper On Review Of Framework For Public Issuance Of Convertible Securities

SEBI releases discussion paper on 'Exit Offer to Dissenting Shareholders'

SEBI : Discussion Paper On Exit Offer To Dissenting Shareholders

Govt. introduces e-governance in Haryana VAT

VAT/INDIAN ACTS & RULES : Haryana Value Added Tax (Second Amendment) Act, 2015 – Amendment In Sections 2, 8, 16, 34 & 60; Substitution Of Sections 15A & 17 And Insertion Of Sections 54A & 54B

TPO can't question necessity of making payment to AE while computing ALP

IT/ILT: While determining ALP of international transaction T.P.O. should not question necessity to pay sales commission for getting export orders particularly when assessee had produced agreement according to which commission was paid to its AE and there was increase in export sales during year

Odisha VAT (Amendment) Act, 2015 is applicable from Oct 1, 2015

VAT/INDIAN ACTS & RULES : Section 1 Of The Odisha Value Added Tax (Amendment) Act, 2015 – Act – Enforcement Of – Notified Date On Which Said Act Shall Come Into Force

Sale of goods to another State is an inter-state sale even if goods are supplied to common godown of

CST & VAT : Central Sales Tax - Where assessee carrying on business in Tamil Nadu placed an order with a federation situated in Maharashtra for supply of specific number of goods and thereupon federation confirmed order of assessee and moved goods from Maharashtra to a godown in Tamil Nadu, which was in joint custody of assessee and federation, and thereafter federation delivered goods to assessee after receipt of payment, sale of goods in question was an inter-State sale

Limit for turnover tax in Odisha VAT is increased to 50 lacs from 40 lacs

VAT/INDIAN ACTS & RULES : Odisha Value Added Tax (Amendment) Act, 2015 – Amendment In Sections 9, 10, 11, 16, 20, 25, 27, 31, 32, 33, 39, 41, 42, 43, 50, 54, 57, 58, 59, 65 & 77; Omission of Section 30 and Insertion Of Section 42A

ITAT couldn't consider books of hospital being disapproved by HC to decide issue of unexplained mone

IT: Where High Court had already disapproved account and assessment order of hospital, same could not have been taken cognizance by Tribunal when matter was remanded to Tribunal for deciding issue of unexplained money paid to assessee-doctor by said hospital

Govt. notifies new DTAA with Thailand; old DTAA would cease to have effect from 1-4-2016

IT/ILT : Section 90 of The Income-Tax Act, 1961 – Double Taxation Agreement – Agreement For Avoidance Of Double Taxation And Prevention Of Fiscal Evasion With Foreign Countries – Thailand

Apex Court denied SSI exemption on tobacco as it is cleared under own brand name

Central Excise : Once tobacco is sold under any brand name (brand name that belongs to assessee or third party), tobacco becomes 'branded tobacco' and is not 'specified goods' under Annexure to SSI-exemption notification and, therefore, ineligible for SSI-exemption

HC restored settlement application as it was discontinued due to wrong objections of income-tax Dept

IT : Where before Settlement Commission, assessee declared undisclosed income and sought adjustment of additional tax against refund due from revenue, merely because Commissioner recorded wrongly that no refund was due to assessee, settlement proceeding could not be discontinued

Interest on tax refund not covered by definition of interest under India-Italy DTAA; liable to TDS a

IT/ILT : Interest on refund of tax is not covered by definition of 'interest' mentioned under article 12(4) of India-Italy DTAA, and, therefore, Assessing Officer is justified in imposing TDS at higher rate while granting such interest to assessee

If notification was modified to deny credit from March 1, 2006, already accrued credit could be take

Service Tax : Where input service credit under abatement scheme was denied only from 1-3-2006, already accrued credit pertaining to input services received upto 28-2-2006 can be taken even on or after 1-3-2006

Transfer of land under JDA in lieu of flats held as conversion of capital asset into stock-in-trade

IT : Where intention of assessee at time of acquisition of land was to hold same as capital asset but subsequently land was transferred to developer as per development agreement, subsequent events mostly occurring after date of development agreement, cannot change nature and character of land into stock-in-trade

ECB framework revised with fewer restrictions on end uses of borrowings

FEMA/ILT : Revised Framework For External Commercial Borrowings (ECB) Policy

Settlement application can't be rejected due to non-payment of interest under a deleted provision

Excise & Customs : Where settlement provisions mandated prior payment of interest under section 28AB and at relevant time, section 28AB had been deleted and interest was payable only under section 28AA, assessee was right in not making payment of interest under deleted section 28AB and requesting Settlement Commission to issue appropriate directions as to payment of interest under section 28AA

SEBI issues additional requirement for sanction of arrangement scheme and availing exemption from li

SEBI : Schemes Of Arrangement By Listed Entities And Relaxation Under Sub-Rule (7) Of Rule 19 Of Securities Contracts (Regulation) Rules, 1957

SEBI lays Std. Operating Procedure for suspension and revocation of trading of specified securities

SEBI : Non-Compliance With Certain Provisions Of Sebi (Listing Obligations And Disclosure Requirements) Regulations, 2015 And Standard Operating Procedure For Suspension And Revocation Of Trading Of Specified Securities

Credit entry in bank couldn't be held as unexplained if it wasn't related to accommodation entry une

IT : Where Assessing Officer as a result of search conducted under section 132 on one 'F', who was engaged in providing accommodation book entries to assessee, passed block assessment order on assessee and added credit entries found in bank account of assessee on ground that said entries were not explained by assessee, impugned addition on above ground was not justified

Even revision notice has to be issued by Commissioner within time frame specified for issuing show c

Service Tax: Notice under section 84 for revision of adjudication order granting refund, must be issued within time-limit of section 73 viz. 1 year from date of grant of refund; time-limit of 2 years in section 84 is for passing of revisional order

SEBI releases format for disclosure of shareholding pattern under new listing norms

SEBI : Disclosure of Holding of Specified Securities and Holding of Specified Securities in Dematerialized Form

SEBI prescribes methods of achieving minimum public shareholding under new listing norm

SEBI : Manner of Achieving Minimum Public Shareholding

Validity of sec. 234E can't be challenged just because it doesn't have provision for condonation of

IT: Constitutional validity of unamended section 234E cannot be challenged on ground that it does not provide for condonation of delay and an appeal

SEBI prescribes format for publishing financial results

SEBI/AAA : Formats for Publishing Financial Results

ITAT invokes MFN clause of India-Dutch DTAA to import ‘make available’ clause from India-US treaty

IT/ILT : Ahmedabad ITAT interprets MFN clause of India-Dutch treaty; imports 'make available clause from India-US DTAA to decide taxability of 'Fee for Technical Services'.

SEBI nods to listing of stock exchanges, proposes norms for issuance of green bonds

SEBI : SEBI BOARD MEETING – Listing of Stock Exchanges, Committee on Clearing Corporations, Transfer of Profits by Depositories to Their Investor Protection Fund etc.

No reassessment to curtail sec. 80-IC relief as 'reason to believe' wasn't supported by tangible mat

IT: Though in case of section 143(1)(a), any argument of it being illegal because of change of opinion is not sustainable, however, there has to be some tangible material in possession of Assessing Officer to reopen such cases

No denial of fee continuity benefit just because few partners didn't continue as directors in new Co

SEBI : Whether where there were five partners, of which three partners subsequent to corporatization jointly held 40 % paid-up equity capital and were also the Whole-time Directors of the company, then the departure of the other two erstwhile partners would not deny the corporate entity the benefits of fee continuity under Paragraph I(4) of Schedule III of the Securities and Exchange Board of India (Stock Brokers and Sub-brokers) Regulations, 1992- Held – Yes

Fruit Juice and Fruit Juice Beverages aren't distinct products; both are classifiable under heading

Excise & Customs : There is no distinction between fruit juice and fruit juice beverages; hence, diluted fruit juice is also 'fruit juice' and classifiable as 'preparation of fruit' under Heading 20.01 and not under Heading 22.02 as 'non-fruit beverages'

Gift received by MLA from his NRI father via normal banking channels is outside the ambit of FCRA

FCRA : Gift received by MLA from his father who is NRI out of the latter's personal funds through normal banking channels is outside the purview of FCRA,1976/FCRA,2010 as the same cannot be said to be received from a "foreign source". Such a gift would be outside the realm of both these legislations as the transaction is between an Indian father and an Indian son. The contribution made by a citizen of India living in another country (Non-Resident Indian), from his personal savings, through the n

Exp. incurred on room cleaning to install machinery therein wasn't includible in value of machinery

[2015] 63 taxmann.com 273 (Mumbai - Trib.)

Stakeholders allowed to appear before Court as creditor didn't have absolute right to insist winding

CL: Where even though petitioning creditors had made a case for winding up of respondent company on ground of its inability to pay its debts, they had no absolute right to insist on winding up and Court in its discretion was justified in giving time to admit and advertise petitions, so that all stakeholders would be in a position to come before Company Court and be heard in matter before a final decision on winding up was taken

Even wrongly paid interest and penalty can be adjusted against tax dues payable under VCES

Service Tax : Where assessee had paid interest/penalty wrongly without any knowledge of VCES, then, on filing declaration under VCES, assessee could file application for correction of accounting codes and seek adjustment of wrongly paid interest/penalty against 'tax dues' under VCES

No exclusion of comparable due to related party transactions above 15% of turnover without any suppo

IT/ILT : No comparable can be excluded from TP study mere relying on legal proposition that companies having related party transactions of more than 15 per cent cannot be considered as comparable, without supporting evidence on record

Transport entity wouldn't fall outside ambit of charitable unit on receipt of fee from testing of au

IT : Where main object of assessee-association of state road transport undertakings, improving public transport system in country, merely because assessee received revenue from testing automobile parts and consultancy services, same could not be held for earning profits

No TP adjustment for corporate guarantee issued by parent-Co. on behalf of its subsidiary-Co.

IT/ILT : The issuance of corporate guarantees by holding company on behalf of its subsidiary where it is done to provide or compensate for lack of subsidiary's core strength to raise bank finances is in the nature of quasi capital or shareholder activity and does not amount to a service in respect of which arm's length adjustment can be done. This is a transaction which cannot happen in an arm's length situation. This is because no bank will ever issue a guarantee in favour of an entity which la

Revenue couldn't challenge order of SetCom if there was no irregularity or lack of jurisdiction in o

IT: Where department filed a writ petition praying for quashing of order passed by Settlement Commission admitting assessee's application for settlement, department was to be directed to raise all objections before Commission itself

Dept. couldn't pressurize assessee to disclose income during search by seizing demand draft above 30

IT: Where assessee offered a summary disclosure of an amount due to pressure of proceedings during search operations which were adversely affecting business and no incriminating material was discovered as a result of search operations and sole basis of additions was disclosure which was involuntary, additions were not justified

Amount paid pursuant to adjudication order is to be refunded when order is set-aside and matter rema

Excise & Customs : Once adjudication order has been set aside and matter remanded back for adjudication afresh, department has no authority in law to retain amounts deposited pursuant thereto; hence, assessee may filed refund claim

Embroidery machine used for carrying out embroidery work on fabric is entitled to additional depreci

IT: Where assessee was engaged in business of embroidery work on synthetic fabrics on job work basis, work of embroidery carried on by assessee would fall within ambit of definition of manufacture and thereby it was entitled to avail of additional depreciation on embroidery machine installed

Assessee proved genuineness of exp. by establishing identity of parties and producing payment detail

IT : Where assessee paid certain amount to sub-contractors for carrying out work by them and proved genuineness of payment by producing cogent evidence and sub-contractors also confirmed that they received payment by banking channel, expenditure was allowable as business expenditure

Commission earned on sale of goods of foreign co. in India not liable to service-tax for period prio

Service Tax : Commission on sale of goods of foreign company in India amounts to 'export', as service is provided to foreign service recipient to be used in their country though such services result in sale of product in India

ALP of info-technology cost allotted to AE can't be Nil if it is critical for functioning

IT/ILT : Where in course of business of manufacturing artificial flavours, food and non-food ingredients, assessee paid information technology cost to its AE for services such as internet charges, WAN site fee, SAP support fee etc., since said services were required for assessee's business, TPO could not determine ALP of same at nil

Due date for filing of Annual Return and Financial Statements further extended by one month

COMPANIES ACT, 2013 : Section 137 of the Companies Act, 2013 – Accounts of Companies – Copy of Financial Statement to Be Filed with Registrar - Relaxation of Additional Fees and Extension of Last Date of in Filing of Forms Mgt-7 (Annual Return) and Aoc-4 (Financial Statement)

ICSI releases revised edition of draft guidance notes on 'Annual Return'

COMPANIES ACT, 2013 : Draft of Guidance Note on Annual Return (Revised Edition)

Matters arising within Dadar and Nagar haveli are appealable in Bombay HC and not in Gujarat HC

Excise & Customs : In case of matters arising within Union Territory of Dadra and Nagar Haveli, appeals would lie to Bombay High Court and not Gujarat High Court, even if adjudicating and appellate authorities are located in Gujarat

Exp. incurred on overhauling of 'Bucket Wheel Excavator' used in mines was to be allowed as revenue

IT : Where assessee without giving any reasons changed its accounting policy and claimed amount spent on purchase of loose tools as revenue expenditure which had been capitalised in earlier years, Assessing Officer was justified in initiating reassessment proceedings

Govt. authorizes Central Registry of SARFAESI to act as Central KYC records registry under PMLA

MONEY-LAUNDERING : Section 73 of the Prevention of Money-Laundering Act, 2002, Read with Rules 2 and 9A of the Prevention of Money-Laundering (Maintenance of Records) Rules, 2005 – Power to Make Rules – Authorisation of Cersai to Perform Functions of, Central KYC Records Registry Under said Rules, Including Receiving, Storing, Safeguarding and Retrieving KYC Records in Digital Form of A Client

CCE(A) can't direct verification of matters not doubted in Show Cause Notice

Service Tax: Where there was no allegation in show-cause notice as regards balance of unutilized credit in cenvat account, Commissioner (Appeals) could not travel beyond show-cause notice to direct verification of unutilized credit.

Tribunal can't recall its earlier order in garb of rectification

Excise & Customs : Where assessee had sought rectification only on issue of redemption fine owing to mistake apparent from record, Tribunal could not have recalled entire order and passed a new order dealing with levy of duty, penalty, fine and confiscation

Delhi HC sets aside reassessment as AO had issued notice prior to recording of reasons for reassessm

IT : Where notice under section 148 was issued by Assessing Officer prior to recording of reasons for reassessment and, assessee's objections were not disposed of by passing a speaking order, impugned notice deserved to be set aside

Conversion charges paid on factory land for using it for other commercial activities were revenue ex

IT : Where factory premises of assessee was already in use for 30 years, on which conversion charge was paid in instalment for using it for commercial/service activities interest paid along with instalments could not be treated as capital expenditure

CLB's order holding that there was no oppression due to capital reduction didn't give rise to any qu

CL : Where appellant was party to arrangement by which his shares were divested and his shareholding was reduced in company, CLB's order holding that there was no oppression on account of reduction of appellant's shareholding did not give rise to any question of law

Genuine expenses couldn't be disallowed just because signature of one person was found on all vouche

IT : When record justified weaving charges claimed by assessee, same could not be disallowed on specious plea that one person, who represented all weavers, signed vouchers for all persons

Automobile cess and EC/SHEC thereon held as excise duty; eligible for export rebate

Central Excise : Since provisions of Central Excise Act relating to 'levy and collection' and 'refund' of duty are made applicable to Automobile Cess, hence : (a) 'Automobile Cess and EC/SHEC thereon' is 'duty of excise' in terms of section 3 of the Central Excise Act, 1944; and (b) 'refund' as defined in section 11B ibid would include 'rebate' is accordingly, eligible for rebate under rule 18 of the Central Excise Rules, 2002

Car AC kits and gas compressor to be classified separately if both aren't sold as single unit

Central Excise : Where 'Car AC kits' and 'gas compressors' are sold separately by different invoice or by separate pricing, then, Kit would be covered by Entry 8 and compressor would be charged as per Entry 1 of Notification No. 166/86-C.E

Sec. 36(1)(vii) allows deduction of only actual bad debts and not doubtful debts

IT: Section 36(1)(vii) deals with only actual claim of deduction; provision for bad and doubtful debts cannot be allowed under this section

Mis-declaration of description of goods attracts penalty even in case of exempted goods

Excise & Customs : Medical diagnostic equipment for automatic analysis of blood samples, even if incorporates principles of photometry, is to be classified as 'auto analyses', and not as 'photometer'

Penalty to be imposed on failure of assessee to supply goods mentioned in tax invoice

Excise & Customs : Where appellant-company did not supply goods/inputs as mentioned in tax invoice, while recipients of goods/inputs reversed Cenvat Credit on these transactions, assessee-appellant company, and not its director, was to be penalized

Additions rightly made on basis of admission of accommodation entry that radically changed character

IT : Where assessee claimed a sum to have been derived from share business but in course of search proceedings admitted that it included accommodation entries, levy of penalty was justified

CBDT releases Explanatory Notes to provisions of the Finance Act, 2015

IT/ILT : Finance Act, 2015 – Explanatory Notes to the Provisions of Said Act

Export price can't be said to be overvalued because of huge profits earned by exporters

Excise & Customs : Where assessee had purchased goods in India at Rs. 640 and exported same at Rs. 741.60, then, without challenging genuineness of said transactions, export price could not be regarded as overvalued merely because of huge profit made by domestic seller

No disallowance of interest just because assessee had own funds if borrowed funds were used for busi

IT: Where Assessing Officer treated purchases of cotton made by assessee, a hospital, as unverifiable and disallowed same, since books of account of assessee being not rejected and consumption of cotton having comparatively decreased, disallowance required to be restricted to 15 per cent of purchases

Buy-back price to be disclosed even if promoter is exempt from public announcement under takeover co

SEBI : Where appellant-promotor bought back its shares from State Financial Institution, no public announcement is required as same is being protected under regulation 3 of SEBI (Substantial acquisition of shares and takeover regulations, 1997), however, rate at which shares were bought back had to be disclosed.

Customs duty was payable on reduced price if reduction was made prior to import

Excise & Customs : Where purchase price fixed in first contract has been genuinely revised and lowered in second amending contract entered into prior to import, customs duty is payable as per reduced price

Co. engaged in 2D/3D animation isn't comparable with software development co.

IT/ILT : Company engaged in animation services cannot be considered as comparable to software development company

Director's act of nominating own person on board without giving notice to co. was mala fide: HC

CL: Where second respondent had right to appoint nominee on board of company but there were strained relationship between parties, i.e., appellant and second respondent, action of second respondent in nominating its own persons on board without any notice was mala fide and vindictive

Services of Air Travel, CA and CS availed by exporter for functioning of its business are eligible i

Cenvat Credit : Input services/activities in relation to business can cover all activities/services relating to functioning of business; hence, all such activities/services would be eligible as input service and refund of credit can be allowed under rule 5