It is a well settled position in law that daughters have the same rights as sons in HUF property. Therefore, the daughter out of the second marriage will have the same rights as children from the first marriage with respect to the properties of the HUF. In the case of HARILAL AMBALAL (HUF) v ITO… (read more)

Yes, section 43CA of the Income-tax Act, 1961 (Act) will be attracted in the hands of the Partnership Firm. The Stamp Duty Value of the property will be taken as the Sales price. Similarly, the difference between the Stamp Duty Value and Price paid by the partner will attract section 56(2)(x) of the Act in… (read more)

The assessee should file an appeal before the CIT(A) and can also file rectification application . (read more)

It is desirable to file an appeal before the CIT(A) and also file rectification application . CIT v. Pasupati Capital Services Pvt Ltd ITA No. 1622 of 2013 was admitted on 24 -4 -2015 which is pending for final hearing . It may be taken up for hearing after five years . At present appeal… (read more)

The valuation of shares has to be supported by a share valuation report prepared in accordance with Rule 11UA of the Income-tax Rules, 1962. If there is a difference between the value of shares allotted and the assigned value of loan (the consideration), the same will be taxable under section 56(2)(x) of the Act. (read more)

As we understand, the assessee has deposited the TDS with interest before issuance of any notice from the Department. The Hon’ble Supreme Court in the case of Madhumilan Syntex Ltd. v. UOI (2007 ) 290 ITR 199 (SC) held that prosecution proceedings are valid if TDS is not paid to the Central Government within stipulated… (read more)

As we understand an NRI wishes to sell his property and desires that TDS may be deducted not on gross proceeds rather on net proceeds. The Hon’ble ITAT Hyderabad Bench in the case of DCIT v. Kamineni Hospitals (P.) Ltd [2020] 117 taxmann.com 642 (Hyd)( Trib.) remanded back to AO with a direction to assessee… (read more)

As we understand, the consultant of the purchaser is referring to section 45(5A) of the Income-tax Act, 1961 (Act). The same is applicable to individuals and HUF only. The assessee being a Company will be liable to Capital Gains Tax and Business Profits tax in the year of transfer of the said lands, respectively. As… (read more)

Please contact your tax consultant for further guidance (read more)

Section 194J of the Income-tax Act, 1961 (Act) pertains to deduction of tax on payments of fees made to professionals and technical services. The scope of section 194J is wider than section 44AD or section 44ADA of the Act. TDS is rightly deducted under section 194J of the Act. However, as "freelance journalist" is not… (read more)