Interpretation of taxing statutes – Income -tax -General principles -Taxing provisions must be construed strictly so that no person who is otherwise not liable to pay tax , be liable to pay tax .
Interpretation of taxing statutes – Income -tax -General principles -Taxing provisions must be construed strictly so that no person who is otherwise not liable to pay tax , be liable to pay tax .
S. 44BB : Mineral oils – Computation -Consideration received under contract is not fees for technical fees or royalty -Consideration received was held to be taxable as business income – DTAA -India United Arab Emirates- Duration of operation of less than 120 days is not material . [ S. 9(1) (vi), 9(1)(vii) Art. 5(1),12 ]
S. 69 :Unexplained investments – ‘On-money’ – Sale of land -Burden is on the department to show that ‘on-money’ consideration passed to the seller from the purchaser- Opportunity to cross examine the witnesses was not provided to the assessee- Addition was deleted . [ S.131 ]
Chartered Accountants Act, 1949
S. 21: Misconduct – SEBI and Disciplinary Committee of ICAI have found the respondent Chartered Accountant is guilty of several irregularities in public issue of a company – Removal of name from Register of Members of ICAI for a period of one year was held to be valid .
S. 80IB : Industrial undertakings – Splitting up or reconstruction-Printing press- New industrial undertaking of printing press is not the expansion of existing unit, hence entitle to deduction.
S. 37(1) : Business expenditure -Acceptance of deposits prohibited by law- Interest paid on deposits is held to be not allowable as deduction in view of Explanation to S. 37(1) of the Act .[ Kerala Money Lenders Act, 1958,S.4, 17 , RBI Act, 1934 S. 45S ]
S.92C: Transfer pricing Arm’s Length Price -Selection of comparables — Functional dissimilarities and distinction in services provided has to be excluded . [ S.92CA ]
S. 92C : Transfer pricing – Arm’s length price -Unless it is shown that there are important functional dissimilarities or other material facts ,exclusion or inclusion of other comparable would not constitute substantial question of law [ S.260A ]
S. 254(2A): Appellate Tribunal –Stay- Court held that the assessee has already paid Rs 25.66 crores and the appeal is coming up for hearing accordingly the assessee was directed to pay another Rs 10 crores only during the pendency of appeal .[ S.254(1) ]
S. 271D : Penalty -Takes or accepts any loan or deposit –Deposits from staff members in cash without any reasonable cause levy of penalty was held to be justified . [ S. 269SS, 273B ]