Daily Archives: October 3, 2015

No TDS Under Secction 194LA as Land Acquired by Mutual negotiation and not compulsory acquisition

Where assessee had acquired land under Chhattisgarh Nagar Tatha Gram Nivesh Adhiniyam, 1973 by mutual negotiation hence, same could not be treated, as compulsory acquisition and provision of section 194LA would not be applicable   HIGH COURT OF CHHATTISGARH Income-tax Officer (TDS), Raipur v. Naya Raipur Development Authority YATINDRA SINGH, CJ. AND GOUTAM BHADURI, J.… Read More »

No TDS under section 194LA if land owners surrendered their land to municipal corporation for under development right certificates scheme

Where land owners surrendered their land to assessee municipal corporation, for public purpose under scheme of development right certificates, permitting development rights to owners in form of additional floor area which was equal to one and half times of area of land surrendered, and there was no quantification of said certificates, therefore, section 194LA would… Read More »

Gains from investments portfolio was taxable under Capital gain

Where assessee company had maintained accounts with applicable accounting standards and revenue was unable to find fault with assessee’s claim, capital gains arising out of investments portfolio was to be taxable under head ‘Capital gain‘ and not as business income HIGH COURT OF CALCUTTA Commissioner of Income-tax, Kolkata-IV v. H K Financiers (P.) Ltd. GIRISH… Read More »

Forex derivative transactions Loss is business loss can be set off against other business income

Where assessee, an exporter of garments, entered into forex derivative transactions through its bankers to hedge its foreign currency risk, loss incurred on such transactions could be considered as business loss which could be set off against other business income Where assessee has acquired a business asset from country outside India in any previous year,… Read More »

No TDS on Compensation paid to evacuate slum dwellers

Whether Assessee should deduct TDS on Compensation paid to evacuate slum dwellers  ? To implement road widening scheme of Government, assessee evacuated illegal/unauthorised persons in form of squatters/hutments for which assessee paid certain compensation, provisions of sections 194L/194LA would not apply Detailed Analysis of full Judgement on the subject : TDS on Compensation paid to evacuate slum… Read More »

FAQs on Charitable Institutions and Income Tax

Charitable Institutions and Income Tax act 1961 Q.1 Are NGOs and other charitable and non-profit organizations entitled to claim tax exemption under income tax law in India? Are donors who contribute to such organizations also entitled to any tax deduction? Ans. Yes, such exemption is available to, (i) public charitable  trusts or other legal obligations, [Section 11/ 12A]… Read More »

No TDS on purchase of negative rights of films

Whether Payment made to purchase negative rights of films on perpetual basis attract TDS under section 194J ? Summary  of the Case on TDS on purchase of negative rights of films: Section :194J, read with section 40(a)(ia), of the Income-tax Act, 1961  Subject :Deduction of tax at source on Fees for professional or technical services (Film… Read More »

Form No 15G and Form No 15H can be E filed

Form No 15G and Form No 15H KEY CHANGES: -Form No 15G and Form No 15H can be e filed -Payee to Specify no of Form No 15G  and Form No 15H filed during the year – Payer/Deductor  will allot unique identification number to each declaration received by him in Form No 15G  and Form No 15H… Read More »