The CBDT Notification No. 62 of 2019 dated September 12, 2019 has clarified that provisions of section 144A of the Income-tax Act, 1961 (Act), inter alia, shall apply to the assessment under the Faceless Scheme. However, prima facie, there appears to be no means to avail this statutory remedy. Empirically, in the case of a… (read more)

The CBDT vide serval Notifications had extended the last date for issuance of Notice under section 148 of the Income tax Act, 1961 (Act) for which the last date was ending on March 31, 2020 to June 30, 2021 The CBDT vide Notification Nos. 74 & 75 of 2021 & Circular no. 12 of 2021,… (read more)

It is pertinent to note that the term “property” is defined under explanation (d) under proviso to section 56(2)(vii) of the Act for the purpose of application of section 56(2)(x) of the Act. The said definition is an exhaustive definition and does not include “Oxygen Concentrates”. Therefore, section 56 of the Act has no implications… (read more)

If any expenditure is incurred for earning income u/s 56 then the expenses are allowable u/s 57(iii). If the Partnership Agreement provides for interest on loan and bank loan is raised for giving loan to partnership firm then the interest paid on bank loan will be allowed as a deduction u/s 57(iii). In Triumph International… (read more)

From what we understand, the Department has assured that this function would be available on the revamped portal. However, some consultants have expressed their concerns in accessing this feature on the portal. (read more)

The Return has to be filed as per the residential status of the assessee and not representative assessee. A non-resident Indian is not under an obligation to report foreign assets or foreign income in its return of Income in India. The non-resident has to offer income accruing and arising in India for tax. Further, as… (read more)

Section 112A of the Income-tax Act, 1961 (Act) starts with a non-obstante clause i.e.,“Notwithstanding anything contained in section 112…”. Therefore, section 112A of the Act will prevail over section 112 of the Act. The Hon’ble Supreme Court in the case of Raj Krushna Bose vs Binod Kanungo and Others 1954 AIR 202 held that a… (read more)

Section 56(2)(viia) of the Income-tax Act, 1961 (Act) being the erstwhile provision before introduction of 56(2)(x) of the Act, the observation of the Hon’ble Income-tax Appellate Tribunal - Mumbai Bench in the case of M/s Vora Financial Services Pvt Ltd v. ACIT ITA [2018] 171 ITD 646 (Mum) will still hold good. Therefore, section 56… (read more)

a) Sections 159 160 and 161 of the Income -tax Act 1961 deals with provisions relating to assessment of Legal Representative. An Assessee died on 1st June, 2021. Then Return of Income for FY 2020 – 21 would be filed by the Legal Representative / Heirs as per the provision of Income -Tax Act, 1961… (read more)

Yes, Form No. 4 i.e., Proof of Payment can be filed in all 5 cases. With respect to the case in which there is no refund it is advisable to make payment before June 30, 2021 to avail the benefit of beneficial payment under the Scheme. (read more)