ITAT : Follows CGG Veritas ruling, Sec 44BB benefit on exploration services available pre 2011Schlumberger Asia Services LimitedMay 19 2012
Pre-2011, income from wire line logging, perforation and other services eligible for concessional rate of taxation u/s 44BB even if PE exists in India; Service income not taxable on gross basis at hig...
View moreAAR : R&D cost allocation taxable as royalty, allocation key has no meaning, rules AAR"A” SystemsMay 19 2012
Cost allocation of common Research & Development expenses received by German Group company from Indian affiliate taxable as royalty; Allocation key has no meaning as only group companies usin...
View moreHC : Interest on advance tax default not automatic , SC ruling in Anjum Ghaswala inapplicableSarin Chemical LaboratoryMay 18 2012
Interest on advance tax default (u/s 234A, 234B and 234C) not leviable unless specifically mentioned in the assessment order; HC reconciles SC rulings in Anjum M.H Ghaswala and Ran...
View moreITAT : Development agreement assigning absolute rights in land taxable as capital gains even without final conveyanceLate Shri Ramesh F. SinghalMay 18 2012
Transfer of land under development agreement triggering capital gains takes place in year in which possession granted and development rights assigned and not upon final conveyance; Receipt of balance ...
View moreHC : 'Inland Container Depots' located away from sea ports, qualify as ‘inland port’, 80IA deduction availableContainer Corporation of India LtdMay 17 2012
Container Corporation of India entitled to deduction u/s 80IA on income from Inland Container Depots; ICDs are ‘inland ports’ and covered under definition of term ‘infrastructure fac...
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May 11 2012
The Supreme Court had bunched together all cases filed in various courts on this issue and sent it back to Gujarat HC a few months back. Advocate Saurabh Soparkar argued on behalf of the petitioners a...
View moreApril 20 2012
Association of EOUs and SEZs (the Association) has filed a writ petition before Bombay High Court challenging the the constitutional validity of the amendments to Sec. 115JB and 115O introduced by Fin...
View moreApril 16 2012
In arguments that may have far reaching implications on the scope, functioning and powers of the Authority for Advance Ruling, Senior Advocate Harish Salve strongly argued earlier today, that the AAR ...
View moreMarch 26 2012
Petition seeks review of HC's conclusion on existence of business connection, PE in India for Rolls Royce Singapore and on determination by AO of arm's length 'profit' as against 'price'
Rolls ...
View moreMarch 05 2012
AAR rulings are supposed to be binding but of late almost every other AAR decision is being appealed against by both the applicant as well as Revenue. Probably this has prompted the apex court to...
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HC : Preparing engineering drawings & designs amounts to 'manufacture', deduction u/s 80IA available John Brown TechnologiesMay 15 2012
Preparing engineering drawings, design and other technical know-how amounts to ‘manufacture’ for claiming deduction u/s 80IA; Assessee brought into existence a new and distinct article/obj...
View moreITAT : Set-off brought forward speculative loss before normal losses of current yearShri Ashok MittalMay 15 2012
Investment management and advisory fees received from Mauritius based companies by Investment Manager taxable as business income, not 'income from other sources'; Brought forward speculative losses to...
View moreITAT : Super-stockist not manager of assessee, TDS u/s 194J not applicable Piramal Healthcare LtdMay 14 2012
Relation between assessee and super-stockist on ‘principal to principal’ basis and super-stockist not ‘manager’ of assessee; Super-stockist purchased goods from assessee for on...
View moreHC : Sec 11 exemption available only if charitable purpose as well as application of income in India National Association of Software and Services CompaniesMay 11 2012
Payment of taxes an ‘application of income’ while computing income of trust; Income available for application to be computed as per ‘commercial principles’ and not as per stric...
View moreHC : Allows Infosys' review petition, Sets aside exclusion of foreign currency expenses for Sec. 80HHE benefitInfosys LtdMay 11 2012
Review petition of Infosys claiming typo error in CA certificate allowed; HC sets aside its order upholding exclusion of foreign currency expenses for computation of Sec 80HHE deduction; Infosys engag...
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May 16 2012
Rajya Sabha clears Finance Bill 2012; Retro amendments done by many FMs but why hue and cry only now, questions Pranab Mukherjee; Adv Y.P. Trivedi (NCP) forcefully defends taxing Vodafone-Hutch deal, ...
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May 16 2012
Past and present tax officials from Asia and the US, speaking on the first day of International Tax Review's Asia Tax Forum in Singapore, painted a picture of compliance in their jurisdictions. In som...
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May 14 2012
The Supreme Court of Appeal in South Africa, ruling in favour of the assessee, has held that treaty benefits can be extended to capital gains arising on ‘deemed disposal’ of assets.
...
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May 10 2012
The ruling has been delivered in the case of National Association of Software and Services Companies (NASSCOM).
Senior Counsel Ajay Vora argued for NASSCOM, while Standing Counsel Sanjeev Sabharwal a...
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May 10 2012
SC dismisses IT Department SLP against Delhi HC decision in Nalwa Sons Investments;No concealment penalty can be levied in case of a tax loss reduction where final tax payable under MAT provision...
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ITAT : Tax paid abroad by Mastek allowable u/s 37, Disallowance u/s 40(a)(ii) restricted to ‘Indian’ taxMastek LtdMay 15 2012
Tax paid by assessee in Belgium allowable as deduction u/s 37; Payment of such taxes not 'application of income'; Tax on profits chargeable under ‘Indian Income-tax Act’ and not foreign ta...
View moreHC : Sale & lease back deal not sham, applies “look at” approachHigh Energy Batteries (India) LtdMay 15 2012
Sale & lease back of machinery not a 'sham' or 'colourable' device to avail benefit of depreciation even invoking McDowell ruling; Payment of hire purchase instalment by lessee on behal...
View moreFM refuses to concede an inch on retro amendments as Rajya Sabha clears Finance BillMay 16 2012
Rajya Sabha clears Finance Bill 2012; Retro amendments done by many FMs but why hue and cry only now, questions Pranab Mukherjee; Adv Y.P. Trivedi (NCP) forcefully defends taxing Vodafone-Hutch deal, ...
View moreITAT : No TDS on interest reimbursement to parent co if credit facility from bank availed through itOnward eServices LtdMay 14 2012
Interest cost reimbursed to parent not liable to TDS u/s 194A, as such reimbursement not 'income' in hands of parent; Though credit facility was enjoyed by assessee, bank's approval for transferring s...
View moreHC : Sec 48 indexation benefit available on redeemable preference shares redemption, rejects characterisation as 'debt'Enam Securities Private LimitedMay 15 2012
Indexation benefit u/s 48 available on redemption of non-cumulative redeemable preference shares; Preference shares not in the nature of ‘bonds or debentures,’ as alleged by AO, only becau...
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