Daily Archives: August 5, 2015

When there is No tax on gifts received

Question When tax on gifts has to be paid and shown in income tax return? As per Section 56 of Income Tax Act 1961, Gift exceeding Rs. 50,000/- is taxable in the hands of Donee and is to be indicated under the head Income from Other Sources in ITRs. But if gifts received from Donors… Read More »

CARO 2015 Format and Reporting

Reporting Under CARO, 2015 The Ministry of Corporate Affairs, on 10th April, 2015, notified the Companies (Auditor’s Report) Order, 2015 (CARO, 2015). (click to View the Notification ) APPLICABILITY:- It shall apply to every company including a foreign company as defined in clause (42) of section 2 of the Companies Act, 2013 (18 of 2013)… Read More »

CENVAT Construction of railway siding to transport coal to captive power plant

Question : Can the Assessee take cenvat Credit on  engineering consultancy service used for construction of railway siding which is constructed for transport of coal to captive power plant for generation of electricity ? Construction of railway siding is only to facilitate transportation of coal to assessee’s factory – Transportation of coal is necessary for generation… Read More »

Rs 420 Crore penalty on Hyundai by Competition Commission of India

CCI slaps 420 crores penalty on Hyundai for restricting supply of genuine spare parts in open market Opposite parties i.e. Hyundai Reva and Premier either specifically through their agreements or otherwise through understanding with their dealers, had restricted/prohibited sale of spare parts over counter, thereby resulting in prescribing exclusive distribution agreements and refusal to deal… Read More »

40(a)(ia) TDS default based on opinion of CA was bona fide mistake , No Penalty

Question: Where assessee-company made payment to a foreign company without deduction of tax at source on basis of certificate issued by Chartered Accountant, same was a bona fide mistake and hence, assessee was not liable to penalty for concealment of income ? Answer Yes,  When it was found that Chartered Accountant had given a certificate to… Read More »