The AO's view is wrong in view of the judgements in CIT vs. Reliance Utilities and Power Ltd [2009] 313 ITR 340 (Bom) and others that there is a legal presumption that funds used for non-business purposes have come out of own funds and are not subject to disallowance u/s 36(1)(iii) of the Act. (read more)

No. As the conversion of the land is not a taxable event, the FMV on that date cannot be treated as the cost of acquisition. (read more)

Yes, a revision petition under Section 264 of the Income Tax Act, 1961, can be filed online through the Income Tax e-Filing Portal (https://www.incometax.gov.in). The process involves logging into the portal, navigating to the 'e-File' tab, and selecting the 'Rectification (u/s 264)' option to submit the revision application along with relevant details and supporting documents.… (read more)

In ITO v. Rajeev Ratanlal Tulshyan - [2022] 136 taxmann.com 42 (Mumbai - Trib.), the Mumbai Tribunal held that the provisions of section 56(2)(vii) were introduced as an anti-abuse measure and to prevent the laundering of unaccounted income under the garb of gifts after the abolition of the Gift Tax Act. In line with the… (read more)

You may check the details in Form 4 to ensure that the settlement amount, tax arrears, and other particulars match the declaration made in Form 1 and the payment details submitted in Form 3. Form 4 confirms the final settlement of the tax dispute. No further action is required by the Declarant. The appeal or… (read more)

Section 50C will apply if the building is held as a capital asset and is held on ownership basis and not leasehold. (read more)

It is a case of identity theft with the misuse of KYC documents like PAN and Asdhaar. The victim should immediately file a FIR with the police regarding forgery, criminal conspiracy etc. He also report the issue to the National Cyber Crime Reporting Portal at cybercrime.gov.in. Obtain the registration documents from the GST authorities to… (read more)

Was a preliminary objection raised that the JAO does not have jurisdiction? Also, as it is a search case, please check whether the case was specifically assigned to the JAO under a CBDT notification or order. If not, it has to be challenged in appeal. As regards Section 69A, the section is applicable even if… (read more)

I don't think yoga classes and accounts writing is covered by section 44ADA. The 'accounting' profession is covered but that refers to the professional practice of accountancy by CAs and not by unqualified persons doing accounts writing. So, 44AD will apply. (read more)

In my view, if commercial property of the same area is recd in the same building on redevelopment of a commercial complex, it can be argued that there is no "transfer". The cost of acquisition and holding period of the old property will be imputed to the new property. If a larger area is received… (read more)