A partnership firm engaged in to real estate and construction activity. During the course of assessment proceedings, the Ld. Officer had raised contention of calculating notional rent U/s 22 and 23 of the Income Tax Act, 1961 for AY 2017-18 on 6 unsold completed units held as stock in trade of the business, for which BU permission was already received 1 year ago. The Ld. Officer computed notional rent and made addition under the head “Income from House Property”. Is the Officer right in making such addition, given the facts that the partnership firm (builder) was holding such unsold unit…
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In the aforesaid query the addition was made on account of investment in construction of house and the assessment was completed u/s 143(3)/147
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A search was conducted at various places of a group "G" thereafter, search was conducted in the case of persons who are connected or related with group "G". Search was conducted at the premises of Mr. X under the wrong presumption that Mr. X is connected/related with group "G". Mr. Y was similar named person of Mr. X. Actually, search was tobe conducted at the premisis of Mr. Y whereas it was wrongly conducted at the premises of Mr. X. During the search at the premises of Mr. X, not a sigle document / paper / valuable article or any…
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Mr A living in Mumbai expires, leaving behind a will for his assets, and how he wishes it distributed to his family. Several family members live in India (including the executor of the will), and some in USA (now US citizens, some born in USA). What are the tax implications for remitting the cash assets to family USA residents? PAN/Aadhar requirements? Annual amount limits etc ...?
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the assessee company had booked a flat in feb 2011 for an agreed consideration of Rs 180.00 lacs . only booking form and allotment letter was executed and a sum of Rs 25.00 lacs was paid in Feb 2011. subsequently the project went into litigation and due to development rules constraint the project was delayed and final agreement was executed in registered in sep 2017. the stamp duty valuation is Rs 250.00 lacs. The AO is seeking to tax the difference in the agreed value and the stamp duty valuation u/s 56(2)(x), though the assessee is seeking refuge in the…
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In an HUF account, if a co-parcerner passes away, I have 2 queries: 1) Are his wife & daughter entitled to his share in the HUF? 2) Can the Karta of the HUF decide how to distribute the deceased co-parcerner's share?
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Dear Sir Kindly let me know the status of this CBDT Letter No. F.No 275 / 27 / 2013 – IT (B) dt. 2.8.2016 Regards, Hema
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From FY 2020-21, dividends declared by Indian companies have become taxable and the companies are required to deduct tax at source from such payment. However, in many cases, especially where shares are held in physical form, the shareholders could not furnish the PAN number timely and consequently, the companies have deducted the tax u/s. 206AA of the Income tax Act, 1961. Now the tds so deducted is not appearing in Form 26AS and hence, the shareholder is not able to claim credit of the tds amount. This is despite subsequently intimating the PAN to the Company and requesting for uploading…
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Whether Interest u/s 234A will be liable where entire tax has been paid before due date but 234E had to be paid when filing the return after due date and hence there was a shortfall to the extent of 234E. Also kindly enlighten whether 234A will be applicable on the shortfall only.
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An Indian company pays to a Singapore company license fees for purchase of software which is loaded on to chips procured from outside India. The embedded chip is used in SIM card which is sold to various institutions. The relevant portion of software license agreement with Singapore co is re produced below: License Grant 1) Against Payment Of the associated license fee, the xx Singapore company hereby grant the Licensee a non-exclusive (save as may be stated to the contrary in Annex E) and non-transferable license to use the xxxxx Product Software and Documentation or any portion thereof to manufacture…
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NOTIONAL RENT u/S 22 AND 23 IN CASE OF RESIDENTIAL UNITS HELD IN STOCK IN TRADE BY BUILDERS