You can file a belated return of income u/s 139(5) offering the correct income to tax. Alternatively, you can file a rectification application u/s 154 pointing out that the demand has been erroneously computed. The penalty & interest is consequential. If the income is computed at Nil, the penalty for concealment & interest for advance-tax… (read more)

The society’s insistence on a court-issued legal heirship certificate is not correct as a valid nomination exists. Under Section 30 of the MCS Act and Bye-law No. 34, the society must transfer shares to nominees upon fulfilling bye-law requirements. The Society can insist on documentation such as indemnity bond, affidavit, proof of heirship & newspaper… (read more)

Yes. The surrender of a residential flat to a developer under a redevelopment agreement is a "transfer" under Section 2(47) of the Income Tax Act. Under Section 45(5A), the gain is assessable in the year the certificate of completion is issued for the redeveloped property. Exemptions u/s 54 and 54F will not be available. Section… (read more)

The landlord can transfer the net fees (₹9,00,000) to the tenant’s bank account, issue a letter clarifying that the income belongs to the tenant, and ensure proper documentation. The tenant should report the income and claim TDS credit in their ITR, while the landlord should exclude it from their income and address any AIS mismatch… (read more)

The rejection of a 12A registration due to the wrong sub-clause in Form 10AB is a procedural issue that can be rectified by filing a fresh application with the correct sub-clause and supporting documents. For an old trust previously registered under 12A/12AA, the correct sub-clause is typically (i) for re-registration under 12AB. (read more)

U/s 119(2)(b), the CBDT is empowered to condone delay and to delegate that power to the PCsIT and the PCCsIT. Circular No. 16/2024 dated November 18, 2024 covers condonation of delays for Forms 9A, 10, 10B, and 10BB for AY 2018-19 and subsequent years under Section 119(2)(b). These guidelines also apply to Form 10CCB. (read more)

As regards GST, the ₹8,00,000 will have to be reported in Table 4A (if reported in the same financial year) or Table 10 (if reported in the next financial year). You may show the tax paid (e.g., ₹1,44,000) in Table 9 or Table 14. As regards ITR, the ₹8,00,000 will have to be included in… (read more)

The tenant doctor, who provided the professional services, must report the Section 194JB income in their ITR, as it is their professional income. The landlord doctor should not report this income, as it does not pertain to services they provided. Instead, the landlord should report rental income under the head “Income from House Property” (or… (read more)

It appears the CIT is not justified in invoking section 263. The section 148 proceedings have abated. The issues raised in the section 148 notice can be inquired into by the AO in the section 153C assessment unless only if they are supported by incriminating material. As the satisfaction note explicitly states that no incriminating… (read more)

The certified physical copy takes a lot of time to be despatched. It is best to go to the ITAT office or call them if you need it urgently. (read more)