HC: Co-operative bank eligible for deduction u/s 80P on Interest on advance rent

Interest on 'advance rent' received by co-operative bank taxbale as business income; Eligible for deduction under section 80P

Jul 27,2011

HC: Sec 115H benefit only if direct nexus with foreign exchange asset

Interest earned by re-investing bank interest not eligible for  concessional tax rate u/s 115H; interest not 'derived from' foreign exchange asset: Madras HC  

Jul 26,2011

HC: Post ‘Azadi Bachao’, McDowell not good law

Depreciation allowed on sale & lease back transaction; genuineness of the transaction not to be questioned merely because assessee derives tax benefit: Delhi HC 

Jul 25,2011

HC: AAR not mandated to hear IT Dept, record reasons while admitting application

AAR not required to provide opportunity of hearing to IT Department while admitting application; recording of reasons for admission not necessary:  

Jul 22,2011

HC: Remuneration to director 'reasonable' considering legitimate business needs

Remuneration to director held as 'reasonable' in view of legitimate business needs, no disallowance u/s 40A(2)

Jul 22,2011

HC: Single appeal to HC against multiple orders maintainable

Single appeal against consolidated judgement in case of multiple orders maintainable

Jul 22,2011

HC: Reassessment invalid as overseas transfer and change in shareholding disclosed

Change in shareholding due to overseas indirect transfer disclosed during assessment; Reassessment after 4 years to deny loss carry forward u/s 79 invalid

Jul 21,2011

HC: Accounting method not relevant for claiming deduction u/s 43B

Deduction u/s 43B allowable on 'payment basis' even though 'liability to pay' incurred in subsequent year

Jul 21,2011

HC: Pre 2003 non-compete fees not taxable, ITAT can't question genuineness of transaction

Non-compete fees to be treated as capital receipt; not liable to tax if received before 2003; no scope for ITAT to question genuineness of transaction if AO has not levelled

Jul 20,2011

HC: Pre 2003 non-compete fees not taxable

Non-compete fees to be treated as capital receipt; not liable to tax if received before 2003

Jul 20,2011