One has to study the term of contract when a card is purchased and the bill issued by Indian Oil Corporation Ltd . The threshold limit would apply in case of every vendor separately . Vendor includes all its branches. Aggregate value of al goods purchased from single vendor should be considered for the purpose… (read more)

Section 24(b) refers, where the property has been acquired , constructed , repaired etc , interest can be claimed as deduction . On the facts the querist has not acquired the property it is acquired by mother hence the querist is not entitle to claim deduction u/s 24 (b) of the Act . (read more)

As per the explanatory notes to the Provisions of the Finance Act, 2016, where an eligible assessee declares profit for any previous year in accordance with the provisions of this section and he declares profit for any of the five consecutive assessment years relevant to the previous year succeeding such previous year not in accordance… (read more)

It would be pertinent to gather a better understanding of the contract, the nature of services, location of services, expertise of the employees, nature of payment. Note : In PCIT v. Manugraph India (P) Ltd. (2019) 267 Taxman 437 (Bom.) (HC) , held that If the payment is in the nature of actual reimbursement, there… (read more)

In case the Assessing Officer relying on the statement of third party for making any addition and the Assessee has requested for cross examination it is the Duty of the Asseessing Officer to give an opportunity of cross examination . In Ayaaubkhan Noorkhan Pathan v. State of Maharashtra & Ors AIR 2013 SC 58/ (2013)… (read more)

Mere filing an affidavit may not be sufficient to prove that the genuineness of transaction, affidavit is self declaration may not prove the genuineness of Transaction . The assessee may have to take legal action against the person by filing a civil suit in an appropriate Court . One may have verify how the other… (read more)

In CIT v. Object Frontier Software (P.) Ltd. (2016) 75 taxmann.com 169 (Mad.)(HC) :SLP is granted to the revenue, CIT v. Object Frontier Software (P.) Ltd. (2016) 243 Taxman 239 (SC) the penalty levied on receipt of share application money was deleted , the same principle will apply to sale of agricultural land In Narotam… (read more)

Each case has to be represented on facts . The burden is on the assessee to explain the difference by filing the reconciliation statements . In case the Assessing Officer has not given reasonable opportunity the assessee must take the grounds of natural Justice before the CIT (A). The assessee must make an application under… (read more)

Normally all the Trust deed has the clause on irrevocability and in the event of dissolution ,how the amount is distributed. One has to read the earlier certificate issued under section 80G by the Director of Income -tax (Exemption ) . In some of the trust deed there is a specific clause stating that liquidation… (read more)

No There will not be Capital gain on conversion . The querist has to comply with section 47(xiiib) read with section 56 or 57 of the Limited Liability Partnership Act 2008. For more information the querist can read the article published in www.itatonline.org on 8-8-2009 titled Section 56(2) (vii) and Limited Liability Partnership : New… (read more)