The Supreme Court held that redemption of preference shares amounted to ‘sale, exchange or relinquishment of asset’ within meaning of section 2(47)(i) Facts of the Case The assessee is an individual and the assessment year under reference is AY 1969-70. The assessee held 297 redeemable preference shares of Universal Corporation Private Limited a company incorporated […]
PCIT VS. KHYATI REALTORS PVT. LTD. [ITA NO. 291 OF 2017; (BOMBAY HIGH COURT)]
Advance paid for booking commercial space in ordinary course of business, which becomes irrecoverable, is allowable as deduction Facts of the Case The assessee, a private limited company, had advanced a sum of Rs. 10 crores to Bhansali Developers for booking commercial space in an upcoming construction project. For some reason, the deal failed. The […]
SUPREME COURT ON LIMITATION PERIOD UNDER SECTION 263 – CIT V MOHAMMED MEERAN SHAHUL HAMEED
CIT v Mohammed Meeran Shahul Hameed [2021] 131 taxmann.com 94 (SC), [TS-940-SC-2021] – SC holds that date on which revision order was ‘made’ by CIT is relevant for determining the limitation u/s 263(2) and not the date of its receipt by the Assessee. Section 263(2) – “(2) No order shall be made under sub-section (1) […]
COMPARABLES FOR SOFTWARE DEVELOPMENT SERVICES FOR AY 2016-17
OLF (India) Software Pvt Ltd v ACIT [TS-456-ITAT-2021(Bang)-TP] [Judges: Shri Baskaran and Smt Beena Pillai] – The assessee is engaged in rendering software development services to AE. The assessee sought exclusion of Persistent Systems, Aspire Systems, Larsen and Toubro Infotech, Nihilent Technologies, Infosys Ltd, Thirdware Solution & Cybage Software on the ground that these companies […]
FINAL ASSESSMENT ORDER PASSED SANS DRP DIRECTION INVALID
Section 144C was inserted by the Finance Act, 2009 w.e.f. from 01 April 2009. Section 144C(1) provides that on or after 01 October 2009 the AO shall issue draft assessment order in case of eligible assessee. The taxpayer can file objections before the DRP against the proposed draft order within 30 days from receipt of […]
WHETHER DRP CAN CONDONE THE DELAY IN FILING OBJECTIONS BY THE ASSESSEE
Section 144C was inserted by the Finance Act, 2009 w.e.f. from 01 April 2009. Section 144C(1) provides that on or after 01 October 2009 the AO shall issue draft assessment order in case of eligible assessee. The taxpayer can file objections before the DRP against the proposed draft order within 30 days from receipt of […]
SHANKARA INFRASTRUCTURE MATERIALS LTD. v. ACIT [2021] 130 taxmann.com 67 (Karnataka HC)
MTM loss incurred by assessee on account of foreign exchange fluctuations on working capital loan with foreign currency swap option for business purpose is to be allowed as deduction under section 37(1) FACTS The assessee was a company engaged in business of trading steel tubes, pipes, PVC etc. The assessee filed its ITR on 23-9-2008 […]
DRIVE TO SUCCEED AMID WAR – STORY OF INTEL ISRAEL
Source: Book – Start-Up Nation – The Story of Israel’s Economic Miracle by Dan Senor and Saul Singer “We will trust your judgment, Dov. Do whatever you must do.” That was the message of Intel’s management gave to Dov Frohman, days after the January 1991 start of the Gulf War. Dov Frohman made his mark […]
UOI v EXIDE INDUSTRIES LIMITED (2020) 5 SCC 274; [2020] 116 taxmann.com 378 (SC)
The High Court at Calcutta in Exicle Industries Ltd. v. Union of India [2007] 164 Taxman 9/292, held that the section 43B(f) is arbitrary and violative of article 14 of the Constitution of India on various counts. Before SC, the constitutional validity of Section 43B(f) was to be considered. Clause (f) was inserted in the […]
TDS on AWS, Mail Chimp, Online Ads – URBAN LADDER HOME DÉCOR SOLUTIONS PVT. LTD [TS-773-ITAT-2021(Bang)]
The Assessment years involved are AY 2015-16, 2016-17 and 2017-18. The Assessee-Company is engaged in the business of dealing in home décor products and sells its products mainly through online marketing. The Assessee placed advertisements on the platform of Facebook, Ireland. The Assessee also used the bulk mail facility offered by M/s Rocket Science Group, […]