Category Archives: Income Tax

Instruction No. 10/2017 Income Tax : Processing of income-tax returns u/s 143(1)

By | November 16, 2017

Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes Instruction No. 10/2017 North Block, New Delhi, the 15th of November, 2017 Order under section 119 of the Income-tax Act, 1961 Subject :Processing of income-tax returns filed in Forms ITR-2, 3, 4, 5 & 6 under section 143(1) of the Income-tax… Read More »

SoP for issue of notice for inquiry of cash deposit during demonetisation : Income Tax department

By | November 16, 2017

F.No. 225/363/2017-ITA.II Government of India Ministry of Finance Department of Revenue (CBDT) North Block, N.Delhi, dated the 15th November, 2017 To All Principal Chief-Commissioners of Income-tax/All Principal Directors-General of Income-tax Sir/Madam, Subject: SoP for issue of notice u/s 142(1) of Income-tax Act in cases related to substantial cash deposit during the demonetisation period-regd.- On the basis… Read More »

Filing of manual ITR without Aadhaar number rejected by Madaras High Court

By | November 10, 2017

Held In the case of Binoy Viswam, it would clearly show that the Hon’ble Supreme Court has not stayed the Proviso to Sub-Section (2) of Section 139AA of the Act and the partial stay would be applicable only to facilitate the other transactions, which are mentioned in Rule 114B of the Rules, which pertains to transactions, in… Read More »

Delhi HC Judgment : Income Tax ICDS provisions : ultra vires

By | November 9, 2017

Income Tax ICDS provisions The Central Government cannot do what is otherwise legally impermissible. Therefore, the following provisions of ICDS are held as ultra vires and are liable to be struck down:- (1) ICDS I : It does away with the concept of ‘prudence’ and is contrary to the Act and to binding judicial precedents. Therefore, it is… Read More »

Circular No 28/2017 : Redemption of share or interest outside India : Indirect Transfer does not apply : CBDT

By | November 8, 2017

Circular No 28/2017 F. No. 500/1 0/201 7-FT&TR-lV Government of lndia Ministry of Finance Department of Revenue Central Board of Direct Taxes Dated, the 7th of November, 2017 Sub: Clarification on Indirect Transfer provisions in case of redemption of share or interest outside India under the lncome-tax Act. 1961 Under the provisions contained in section 9(1Xi)… Read More »

India’s Direct Tax Collections for F.Y. 2017-2018 : 15.2% Growth up to October, 2017 at Rs. 4.39 lakh crore 

By | November 7, 2017

Direct Tax Collections for F.Y. 2017-2018 show Growth of 15.2% up to October, 2017 at Rs. 4.39 lakh crore  The provisional figures of Direct Tax collections up to October, 2017 show that net collections are at Rs. 4.39 lakh crore which is 15.2% higher than the net collections for the corresponding period of last year. Net Direct Tax collections… Read More »

Panama Papers Leaks : CBDT Investigation in full swing 

By | November 6, 2017

Cases pertaining to ‘Panama Papers’: Investigation in full swing Pursuant to revelations made by the International Consortium of Investigative Journalists (ICIJ), a Washington based organization in April 2016 about certain Indians having linkages with entities in offshore no tax/low tax jurisdictions, the Government constituted a Multi-Agency Group (MAG) on 4th April 2016, inter alia, to facilitate co-ordinated… Read More »

Paradise Papers Leaks : CBDT reconstituted Multi Agency Group,

By | November 6, 2017

Investigations in cases of ‘Paradise Papers’ to be monitored through reconstituted Multi Agency Group  Revelations made today in the media under the name ‘Paradise Papers’ [based upon expose done by the International Consortium of Investigative Journalists (ICIJ)] indicate that out of 180 countries represented in the data of offshore entities held by persons of different nationalities, India… Read More »

ITR Filing without linking Aadhaar Number with PAN : HC allowed

By | November 6, 2017

HIGH COURT OF GUJARAT Bandish Saurabh Soparkar v. Union of India AKIL KURESHI AND BIREN VAISHNAV, JJ. SPECIAL CIVIL APPLICATION NO. 17329 OF 2017 OCTOBER  12, 2017 S.N. Soparkar Sr. Adv. and Mrs. Swati Soparkar, Advocate for the Petitioner. M.R. Bhatt and Ms. Mauna M. Bhatt, Advocate for the Respondent. ORDER   Akil Kureshi,J. – Affidavit in reply filed by respondent No.3 is taken on record.… Read More »

Circular No 27/2017 : Cash sale of agricultural produce by cultivators/ agriculturist

By | November 6, 2017

Circular No 27/2017 F. No. 370149/213/2017 -TPL Government of India Ministry of Finance Department of Revenue (Central Board of Direct Taxes) ***** New Delhi, Dated 3rd November, 2017 Clarification on Cash sale of agricultural produce by cultivators/ agriculturist Representations have been received from the stakeholders. regarding applicability of income-tax provision to cash sale of agricultural… Read More »

Country-by-Country reporting : CBDT notifies rules

By | November 1, 2017

CBDT notifies rules in respect of Country-by-Country reporting and furnishing of Master File In keeping with India’s commitment to implement the recommendations of 2015 Final Report on Action 13, titled “Transfer Pricing Documentation and Country-by-Country Reporting”, identified under the OECD Base Erosion and Profit Shifting (BEPS) Project, section 286 of the Income-tax Act, 1961 (‘the Act’) was… Read More »

Income tax (Twenty fourth Amendment) Rules 2017

By | November 1, 2017

Income tax (Twenty-fourth Amendment) Rules 2017 MINISTRY OF FINANCE (Department of Revenue) (CENTRAL BOARD OF DIRECT TAXES) NOTIFICATION New Delhi, the 31st, October, 2017 INCOME-TAX S.O. 3497(E).— In exercise of the powers conferred by proviso to sub-section (1) of section 92D and subsection (8) of section 286 read with section 295 of the Income-tax Act,… Read More »

Tax Audit date Extension till 07.11.2017 for AY 2017-18 : CBDT Order

By | November 1, 2017

Tax Audit date Extension till 07.11.2017 : CBDT Order F.No 225/270/2017/ITA.II Dated 31st October 2017 CBDT further extends the due date for filing Income Tax Returns and reports of Audit for AY 2017-18 from 31st October 2017 to 7th November 2017. CBDT Order for Tax Audit date Extension for FY 2016-17   Download TaxHeal Mobile… Read More »

Circular No 25 of 2017 : POEM Guidelines : CBDT Clarifications

By | October 23, 2017

Circular No 25 of 2017 F No 142/11/2015-TPL (Part-I) Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes New Delhi, 23rd October, 2017 Subject: Clarification related to guidelines for establishing ‘Place of Effective Management’ (PoEM) in India-reg. The concept of ‘Place of Effective Management’ (PoEM) for deciding residency status of… Read More »

Income tax on Charitable or Religious Trusts : Rules to be Amended : Comments invited

By | October 20, 2017

Comments and Suggestions Invited for Amendment of Income-tax Rules wrt Registration of Charitable or Religious Trusts  Vide Finance Act, 2017, a new clause (ab) was inserted in sub-section (1) of section 12A of the Income-tax Act, 1961 (‘the Act’) w.e.f 01.04.2018 to the effect that where a trust or an institution, which has been granted… Read More »

Sovereign Gold Bond Scheme : Now to be Issued Weekly

By | October 11, 2017

RBI/2017-18/71 IDMD.CDD.No.929/14.04.050/2017-18 October 06, 2017 The Chairman & Managing Director All Scheduled Commercial Banks, (Excluding RRBs) Designated Post Offices Stock Holding Corporation of India Ltd.(SHCIL) National Stock Exchange of India Ltd. & Bombay Stock Exchange Ltd. Dear Sir/Madam, Sovereign Gold Bond Scheme Government of India has vide its Notification F.No. 4(25)-B/(W&M)/2017 dated October 06, 2017 announced… Read More »

ITR 1 Processing u/s 143(1) of Income Tax : CBDT Instruction No 9/2017

By | October 11, 2017

Summary :- As per Section 143 (a)(vi) ( inserted by the Finance Act, 2016, w.e.f. 1-4-2017 )  The total income or loss shall  be computed after making the following adjustments, namely: (vi) addition of income appearing in Form 26AS or Form 16A or Form 16 which has not been included in computing the total income in the return:… Read More »

Direct Tax Collections for F.Y. 2017-2018 increased by 15.8% upto Sep 2017

By | October 11, 2017

Direct Tax Collections for F.Y. 2017-2018 show Growth of 15.8% up to September, 2017 The provisional figures of Direct Tax collections up to September, 2017 show that net collections are at Rs. 3.86 lakh crore which is 15.8% higher than the net collections for the corresponding period of last year. Net Direct Tax collections represent 39.4% of the total Budget Estimates… Read More »

New TDS/TCS RPU and FVU versions at NSDL e-Gov : Q2 FY 2017-18

By | October 10, 2017

Dear Deductor/Collector, It’s time to file the quarterly TDS/TCS statement. The quick steps are as follows: Due Date: . To submit the statement: You need to know about Quick links e-TDS/TCS Return Preparation Utility (RPU) and File Validation Utilities (FVUs) https://www.tin-nsdl.com/ downloads/e-tds/eTDS-download- regular.html TIN Facilitation Centers (TIN-FCs) nearest to your location https://www.tin-nsdl.com/tin- facilities.html In case… Read More »

Condonation of delay in making IDS payment : CIT to dispose of application

By | October 10, 2017

HIGH COURT OF BOMBAY Sadhana Rajendra Jain v. Central Board of Direct Taxes S.C. DHARMADHIKARI AND SMT. VIBHA KANKANWADI, JJ. WRIT PETITION NO. 8066 OF 2017 AUGUST  29, 2017 Rohan Deshpande for the Petitioner. S.V. Walve for the Respondent. ORDER 1. This petition was placed before us on 14-8-2017 but due to paucity of time it could not be taken… Read More »

Son was legal representative of deceased father : Tax Recovery can be done

By | October 8, 2017

[2017] 85 taxmann.com 308 (Calcutta) HIGH COURT OF CALCUTTA Arvind Kayan v. Union of India DEBANGSU BASAK, J. WP NO. 504 OF 2017 AUGUST  30, 2017 Koushik Chowdhury, Adv. and Ms. Sumita Shaw, Adv. for the Petitioner. Kaushik Chandra, ld. ASG, Md. Nizumuddin, Adv. and Ms. Smita Das De, Adv. for the Respondent. ORDER 1. The Court : The petitioner assails an order dated… Read More »

Draft Guidelines for furnining TP documents in Master file & CBC report : CBDT

By | October 6, 2017

F. No. 370142/25/2017-TPL Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes New Delhi, Dated 6th October, 2017 Subject: Framing of rules in respect of Country-by-Country reporting and furnishing of master file – comments and suggestions-reg In keeping with India’s commitment to implement the recommendations of 2015 Final Report on… Read More »

Govt received info for 2.09 Lakh suspicious companies from Banks

By | October 6, 2017

Government of India receives vital information from 13 Banks regarding the bank account operations and post-demonetization transactions of some of the 2,09,032 suspicious companies that had been struck off the Register of Companies earlier this year;  Investigative agencies have been asked to complete necessary investigation in a time bound manner. In what is undoubtedly a… Read More »

Non payment of self assessment tax attracts penalty under Income Tax Act : ITAT

By | October 4, 2017

Whether an assessee is liable to penalty under section 221(1) of the Act in a case in which the though the assessee has not paid the self assessment tax under section 140A, while filing the return of income, but revises the income, by filing revised return of income, and pays the tax on the revised… Read More »

Two assets falling within tangible and intangible assets constitute single block of assets

By | October 4, 2017

Section 2(11) of the Indian Income Tax Act, 1961 specifies as only two class of assets i.e. tangible and intangible assets and within these two classes of assets, assets having same rate of depreciation are prescribed and they fall within the same block. Whereas, the concept of an asset falling within the same block is… Read More »

Migration from e-mail based communication to E-Proceeding : Format

By | October 4, 2017

Annexure-A: Migration of email based E-Assessment to E-Proceedings in ITBA Dear Taxpayer, Subject: Migration of ongoing scrutiny proceedings from ‘e-mail based communication’ to ‘E-Proceeding’ on Income-Tax Business Application (ITBA) platform of Income-tax Department for PAN_________, Assessment Year ________ -regd.- Greetings from the Income-tax Department. We thank you for your co-operation and look forward to bring… Read More »

Income Tax Officers to notify demand due from Sick Companies

By | October 3, 2017

MISCELLANEOUS – LODGING OF TAX ARREAR CLAIMS AND IMPLEADING AS A PARTY BEFORE NCLTs LETTER [F.NO.ADDL.DIT(R)/BIFR/2017-18/8/733], DATED 20-9-2017 Kindly refer to the above captioned matter. 2. The Directorate looks after the cases of sick companies which require rehabilitation/resolution of sickness. Previously the sick companies used to move Board for Industrial and Financial Reconstruction (BIFR) under the Sick… Read More »

Salary in NRE account of non-resident seafarer not taxable in India: ITAT

By | October 3, 2017

Held we are of the view that CBDT has issued a Circular No. 13/2017 dated 11.04.2017 wherein CBDT has clarified that the salary accrued to a non-resident seafarer for services rendered outside India on a foreign ship shall not be included in the total income merely because the salary has been credited in the NRE account maintained… Read More »

AO can’t pass order because PAN was still lying within his jurisdiction

By | October 3, 2017

Held In the present case, the jurisdiction is transferred by Commissioner of Income Tax-3, Mumbai on 19-12-2014. The copy of order transferring jurisdiction was sent to the DCIT 3(1)(1), Mumbai and to other concerned officials but not to ITO 3(1)(3) who passed assessment order in the case of assessee. If the information given in jurisdiction… Read More »

Study Material for IIPCC Paper 4: Taxation for May 2018 & Nov 2018

By | September 30, 2017

Announcement for May 2018 & November 2018 IIPCE Study Material applicable for IIPCC Paper 4: Taxation  Students of IIPCC, appearing in May 2018 and November 2018 examinations, may note that the new Study Material for Intermediate Paper 4: Taxation under the Revised Scheme of Education and Training is relevant for IIPCC Paper 4: Taxation as… Read More »

Do e Assessment in time barring scrutiny cases : CBDT clarify

By | September 29, 2017

Instruction No. 8/2017 Government of India Ministry of Finance Department of Revenue (CBDT) North Block, N.Delhi, dated the 29′” of September, 2017 Subject: Conduct of Assessment Proceedings electronically in time-barring scrutiny cases-Order under section 119 of the Income-tax Act, 1961 (‘Act’)-regd.- As a part of Government’s initiative towards E-governance, Income-tax Department has brought digital transformation… Read More »

No Income Tax scrutiny for First Time Non-Business Tax Payers < 5 Lakh Income

By | September 29, 2017

FM: Income Tax Department takes various initiatives to bring about efficiency, transparency, and fairness in Tax Administration; Government is committed to widen the tax base by encouraging and incentivising the new tax payers; Number of tax payers increased significantly from 4.72 crore in financial year 2012-13 to 6.26 crore during the Financial Year 2016-17;  Direct… Read More »

PKGKY 2016 challan corrections allowed by CBDT

By | September 29, 2017

CBDT allows PKGKY 2016 challan corrections specifies type of errors which can be corrected. Compulsory deposits challan under PMGKD are not under CBDT power as the Scheme was handled by the DEA F. No. 225/231/2017-ITA-II Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes North Block, New Delhi, the 27th of September,… Read More »

Check Identities of Income Tax Search Officers : Govt of India Mobile No

By | September 26, 2017

Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities The Income Tax Department in the Delhi region regularly conducts search/survey/verification exercises in case of suspected tax evaders to uncover concealment of undisclosed income/assets as per the law. However, instances have been brought to the notice of department wherein, certain unscrupulous elements have conducted… Read More »

Draft Rules for reporting estimated Advance Income Tax Liability : CBDT

By | September 26, 2017

F.No.370142/27/2017-TPL Government of India Ministry of Finance Department of Revenue (Central Board of Direct Taxes) New Delhi, September 19, 2017 Sub: Draft Notification for insertion of new rule 39A in the Income-tax Rules, 1962– comments and suggestions-reg. It is proposed to create a mechanism for self-reporting of estimates of current income, tax payments and advance… Read More »

Foreign Tax Credit – Procedure to file Form No 67 Notified by CBDT

By | September 25, 2017

Notification No 9/2017  Dated 19th September 2017 Central Board of Direct Taxes Procedure for filing Statement of Income From Country or specified Territory outside India and Foreign Tax Credit NOTIFICATION NO.9 [DGIT(S)-ADG(S)-3/E-FILING NOTIFICATION/FORM 67/2017 , DATED 19-9-2017 ] Foreign Tax Credit. — An assessee, being a resident shall be allowed a credit for the amount of… Read More »

Taxmann Law & Practice Relating to Income Computation & Disclosure Standards 3rd Edition 2017

By | September 21, 2017

Taxmann’s Law & Practice Relating to Income Computation & Disclosure Standards by B D Chatterjee Chintan N. Patel (Author) Description Tax Audit Reporting requirement with illustrative ICDS disclosures in Form 3CD Paragraph-wise comparison of ICDS with AS and Ind AS Judicial Pronouncements explaining provisions Separate chapter on Transition requirement Relevant Income Tax Provisions mapped with each ICDS… Read More »

MOU between Income Tax Dept & Companies Dept for Exchange of Information

By | September 19, 2017

MISCELLANEOUS – MOU BETWEEN MINISTRY OF CORPORATE AFFAIRS AND CENTRAL BOARD OF DIRECT TAXES (CBDT) FOR AUTOMATIC AND REGULAR EXCHANGE OF INFORMATION PIB PRESS RELEASE, DATED 14-9-2017 Taking forward the initiative launched by the Government of India to curb the menace of shell companies, money laundering and black money in the country and prevent misuse of… Read More »

Notification No 8/2017 : Capital Gain FDR – TDS certificate by Banks to legal heir

By | September 14, 2017

Banks to issue TDS certificate in name of legal heir after death of deposit holder of Capital Gain Account: CBDT SECTION 194A OF THE INCOME-TAX ACT, 1961, READ WITH RULES 31A AND 37BA, OF THE INCOME-TAX RULES, 1962 – DEDUCTION OF TAX AT SOURCE – INTEREST OTHER THAN INTEREST ON SECURITIES – TDS ON INTEREST… Read More »

Govt approved increase in Gratuity Limit of Employees

By | September 12, 2017

Cabinet approves introduction of the Payment of Gratuity (Amendment) Bill, 2017 in the Parliament  The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given its approval for introduction of the Payment of Gratuity (Amendment) Bill, 2017 in the Parliament. The Amendment will increase the maximum limit of gratuity of employees, in the… Read More »

21000 people disclose Rs 4900 cr black money under PMGKY

By | September 8, 2017

21k people disclose Rs 4,900 cr black money under PMGKY Black money worth Rs 4,900 crore was disclosed by 21,000 people under the Pradhan Mantri Garib Kalyan Yojna (PMGKY), the stash money declaration window announced by the government post demonetisation, an official said today. The Income Tax Department, a top government official told PTI, has… Read More »

Due date for Tax Audit and Return Extended to 31.10.2017 : CBDT Order

By | September 4, 2017

Due date for Tax Audit and Return Extended to 31.10.2017 : CBDT Order SECTION 139, READ WITH SECTION 119, OF THE INCOME-TAX ACT, 1961 – INCOME, RETURN OF – EXTENSION OF DUE DATE FOR FILING RETURN OF INCOME AND VARIOUS REPORTS OF AUDIT ORDER [F.NO.225/270/2017/ITA.II], DATED 31-8-2017 The Goods and Services Tax (‘GST’) has come into… Read More »