On the facts the AO has issued 148 notice for reopening of assessment beyond the 4 years from the end of relevant assessment year . One has to verify whether proper sanction was obtained or not and also whether the Commissioner while granting sanction has applied his mind . On the facts in the year… (read more)

It depends on the facts of the case . In P.N .Krishana Iyer v.CIT ( 1969 ) 73 ITR 539 ( SC) the Honourable Court held that income received by a member of a HUF from a firm or company in which the funds of HUF are invested , even though the income may be… (read more)

In Chandrawati Gupta v. ACIT (2017) 51 CCH 177 (Delhi)(Trib.) held that the assessee had disclosed reasonable cause for failure to comply with statutory notice and on same reasoning, CIT(A) should cancel penalty levied on assessee. In Heman Kumar Soni. v. Dy. CIT (2017) 49 CCH 350 (Indore)(Trib.) held that, No penalty can be levied… (read more)

Firstly, Citizenship is not a test of residency. Secondly, considering the fact that he has been in India for the past several years, it is assumed that he is an Indian Resident as per section 6 of the Income-tax Act, 1961. Therefore, his global income will be taxable in India. He should disclose his foreign… (read more)

Ans .1.Claim for partition can be made by Karta and co-parcenors and not mere members of the HUF. Where members are receiving property in a partition it is advisable to have their signatures as well. 2.Under Hindu law Daughter is a co parcener where as Daughter in law is only member of HUF, if Partition… (read more)

Under Hindu Law, there can be a HUF within a HUF. Hence total partition of smaller HUF will be valid if the property of smaller HUF is divided by metes and bounds. As per section 171 (1) A Hindu family heitherto assessed as undivided shall be deemed for the purposes of this Act to be… (read more)

It would be pertinent to note the day on which the DIN is conveyed to the assessee. If there is a delay of more than a day, the assessee may file a Writ Petition before the Hon’ble High Court to quash the same. The Central Board of Direct taxes (CBDT) vide Circular No. 19 of… (read more)

In M. Vishwanathan . v. CCIT ( 2020) 116 taxmann.com 894/ 274 Taxman 411 ( Ker) (HC) allowing the appeal of the assessee the Court held that compensation received from Corporation of Kochi for acquisition of non -Agricultural land is held to be not taxable . Referred circular No . 36/2016 dt 25 -10 -2016… (read more)

We presume that the property was sold in the month of August 2020 year ending 31 -3 -2021 and the assessee died in the month of March 2021 . Sections 159 160 and 161 of the Income -tax Act 1961 deals with provisions relating to assessment of Legal Representative. The legal heirs has to file… (read more)