The Honorable Supreme Court in its judgement dated 12th September, 2012 has held that the onus to prove that the donors of gift has financial capacity to give gifts is on the assessee. Also, simply stating the fact that the donors were assessed to Singapore Income Tax is not sufficient enough to prove the financial…
DetailsCurrently many Advocates, Doctors and Other Professionals are hired by employers an full time basis but the payment made to them are treated as retainership fees and TDS is deducted on the same under section 194J of Income Tax Act. However, the Hyderabad ITAT in the case of Dy. CIT v Wockhardt Hospitals Ltd. has…
DetailsThe Learned Mumbai Tribunal has held that payment to builder / developer for under construction property comes under the purview of construction under section 54 of Income Tax Act for exemption from Capital Gains. Therefore, the time limit for investment is 3 years and if the amount is paid then possession of flat is also…
DetailsWe at Ahuja & Ahuja are looking for voluntary contributors who would like to write for our website voluntarily to show their technical accomplishments. The articles can be on the updates happening in areas related to this website or analysis of various case laws or explanation of provisions of various acts or any other relevant…
DetailsThere is lots of confusion in the mind of various exporters regarding period for export realisation and procedure if exports are not realised within prescribed time and overall what is the current prescribed time for export realisation. I will try to provide a simple to understand but comprehensive analysis of RBI policy on this matter.…
DetailsBudget 2012 has inserted Provision to Section 68 the effect of which is that any share application, share capital or share premium received in a privately held company shall be treated as unexplained income u/s 68 unless the same is corroborated by the payer of such amount. This was a long standing loophole which has…
DetailsIn Budget 2012 new Section 54GB is proposed to be inserted to provide exemption from long term capital gain on sale of residential house by Individual or HUF if the net consideration received is invested in equity shares of eligible company. The details of the section 54GB in plain terms is given as under: Exemption…
DetailsAmendment proposed in Budget 2012 in definition of related persons u/s 40A(2)(b) to include a company in which the assessee company has a substantial interest. In plain terms where a company has substantial interest in another company, then any transactions between them are required to be reported in tax audit (if applicable) and is subject…
DetailsConsequential amendment has been made in section 10(10D) and 80C of Income tax requiring Sum Assured to be at least 10 times of premium to require getting the benefits of the mentioned sections. This is consequential to the guidelines of IRDA requiring the policies to provide at least 10 times Sum Assured.
In the budget proposals of 2012 an explanation has been inserted in Section 2(14) i.e. the definition of “Capital Asset” to include “any rights in or in relation to an Indian company, including rights of management or control or any other rights whatsoever” as a capital asset. So any sale of rights in relation to…
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