Search Results For: Gautam Jain


Apollo Tyres Ltd vs. ACIT (ITAT Cochin)

COURT:
CORAM: ,
SECTION(S):
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CATCH WORDS: , ,
COUNSEL:
DATE: January 10, 2017 (Date of pronouncement)
DATE: January 11, 2017 (Date of publication)
AY: 2010-11
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CITATION:
S. 37(1): The loss on sale of shares of a wholly-owned subsidiary is allowable as a business loss if the investment in the subsidiary was made for commercial purposes

The objective of ATAG was undertaking sales and marketing related activities for the brand of the appellant in Singapore. The said factual assertion has not been rebutted by the AO in the impugned assessment order. There is nothing on record to show that the said subsidiary company was doing any activity completely independent and unrelated to the activities carried out by the appellant company. Thus, the claim of the appellant that the investment was made for commercial purposes and not for purpose of accretion of investment cannot be rejected

Posted in All Judgements, Tribunal

Ishwar Chand Jindal vs. ACIT (ITAT Delhi)

COURT:
CORAM: ,
SECTION(S):
GENRE:
CATCH WORDS:
COUNSEL:
DATE: May 29, 2015 (Date of pronouncement)
DATE: June 10, 2015 (Date of publication)
AY: 2005-06
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CITATION:
S. 2(22)(e): loans and advances given for business transaction between the parties does not fall within the definition of “deemed dividend”

Payments made by a company through a running account in discharge of its existing debts or against purchases or for availing services, such payments made in the ordinary course of business carried on by both the parties could not be treated as deemed dividend for the purpose of section 2(22)(e). The deeming provisions of law contained in section 2(22)(e) apply in such cases where the company pays to a related person an amount as advance or a loan as such and not in any other context. The law does not prohibit business transactions between related concerns, and, therefore, payments made in the ordinary course of business cannot be treated as loans and advances

Posted in All Judgements, Tribunal