It is advisable to have a gift deed in place. The amount received by your wife should be shown in her income computation as a gift exempt from tax as it is received from her relative. (read more)

Till today no direct judgment. The department is relying on section 16(4) which reads as under: “16. Eligibility and conditions for taking input tax credit.— (4) A registered person shall not be entitled to take input tax credit in respect of any invoice or debit note for supply of goods or services or both after… (read more)

Both sections are independent . Section 55A is very broad it applies for ascertaining the fair market value of a capital asset for the purposes of this Chapter , ie. Chapter IV . The Assessing Officer may refer the matter to Departmental Valuer . When the stamp duty valuation is more than the consideration the… (read more)

If the valuation of shares is backed by a report of valuation as per Rule 11UA of the Income-tax Rules, 1962, the same cannot be denied by the Assessing Officer. (read more)

The deeming fiction of section 50C of the Act cannot override the deeming fiction under section 45(3) of the Act. This has been held by the Hon'ble Income-tax Appellate Tribunal - Mumbai Bench in the case of Network Construction Company v. ACIT (2020) 185 ITD 318 (Mum)(Trib) (read more)

Depends upon the facts of the case and the agreement with director , how it is beneficial to the interest of the company . In Aswathanarayana & Eswara v. Dy. CIT (2018) 258 Taxman 210 (Mad.)(HC) the court held that if it is related to business the expenditure is allowable as deduction . In Shreenath… (read more)

The ITAT has not notified the mandatory filing of the appeal . At present the appeals are filed manually . The ITAT has to amend the Income -tax (Appellate Tribunal) Rules , 1963 (read more)

You may once again submit the copy of acquittal order . If no appeal is filed you may state that the no appeal is pending . The competent authority may drop the proceedings . You may consult an advocate who is specialised in service law , he may be able to provide the case laws… (read more)

Income tax Authorities does not have a right to listen to the phone conversations .As per Section 5(2 ) of the Indian Telegraph Act , 1885 , Telephone can be trapped on the occurrence of any public emergency or in the interest of the public safety or a State Government or any officer specially authorised… (read more)