No, such transfer does not attract any Capital Gains on the continuing Partners as neither section 9B nor section 45(4) of the Income-tax Act, 1961 (Act) is attracted. Property” for the purpose of section 56(2)(x) of the Act is specifically defined under clause (d) of the Explanation to clause (vii) of section 56 (2) of… (read more)

There is a twin condition to be satisfied for a land to not be recognized as a capital asset i.e., 1. It has to be agricultural land. 2. It has to be situated in a rural area. Now, As the conditions for not treating land as rural agricultural land under section 2(14)(iii) of the Income-tax… (read more)

The addition is made in the hands of Mr. B based on the information received from the sub-registrar Mumbai. Further, it is pertinent to understand that registration of a document is a mere formality and the date of execution of the same must be taken into consideration. Therefore, the Stamp Duty value as on the… (read more)

From query it appears that it is in the background of AR in Bowring case vis-a-vis amendment in section 7 and others effected in 2021. While giving AR in above case dated 22.04.2021, the Ld. AAR has applied concept of Mutuality noting that though there is amendment, it is still not made effective. However, the… (read more)

Answer: As per available information I opine as under:- 1. ITC will be required to be revered from common ITC on above future and option transactions. 2& 3 The value of securities in future transaction should be taken at notional value. 4 In case of Index Future, the value should be the Index value. 5.… (read more)

The Hon'ble Gujarat High Court in the case of CIT v. Abdul Rahim Khan M. Pathan [2000] 243 ITR 409 (Guj)(HC) held that the expression expression ‘child’ which included step-child. Based on the same above principle, the term "brother" should also include "step-brother" for the purpose of relative. (read more)

It is advisable to fill form 4 and see if the Department is raising any objection against the same. If they do raise any objection, the assessee has no remedy other than filing a Writ Petition. (read more)

Where the Partition deed of HUF transfers any property, immovable or movable, it is advisable to register the same. (read more)

A Miscellaneous Application under section 254(2) of the Income-tax Act, 1961 can be filed within 6 months from the end of the month in which the order of the Tribunal was received. There is no statutory remedy for condonation of delay in filing a Miscellaneous Application. In some states, the applicant would have to file… (read more)

It is important to understand that prior to introduction of 56(2)(x) of the Income-tax Act, 1961 there was section 56(2)(vii) of the Act which covered the issue of variance in consideration for immovable property from the Stamp Duty value of the said property. (read more)