Assessee is LLP engaged in the business of jewellery. The assessee has kept the non-moving items or the items which are displayed separately and the said stock is valued at cost in the year in which those were purchased. Out of the 5 partners, 3 partners have expressed their desire to retire from the LLP and continuing partners decided to admit 3 new partners in the LLP. The retiring partner will be paid an amount standing to their capital account as on the date of retirement i.e 30.09.2021. While working out the financials at the time of retirement, the non-…
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Assessee is company engaged in the business of infrastructure development. The company is enjoying the credit facilities from the Bank against stock and debtors. on the basis of unaudited books of accounts the auditors of the company have provided the certificate about the Stock, Debtors and Sale as on 31st march . Said certificate is given by generating UDIN on 11th April . After audit it is found that the amount of stock which was given to the Bank on 11 th April was incorrect was much less than actual stock. The management and internal auditor has given the explanation…
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1. Section 45 (5 A) of Income tax Act 1961 would not apply where the assessee transfers his share in the project on or before the date of issue of the said certificate of completion. Issues : 1.Meaning of share in the project -Is it interest in the project or -Is it his share being land or building or -both in the project - Since Former would not require any specific identification whereas the latter requires the completion of building as well as specific identification 2.Does the proviso apply only when the share in the project is fully transferred or…
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Assessee is charitable trust having object of having Goshala, construction of Hostel for Girls, Meditation center and research center etc. and also constructed a temple in premises. The trust is having registration u/sec. 12AA and recognition u/Sec. 80 G of the Income Tax. On the land own by the trust, it had developed a shopping complex and with the permission of Charity commissioner has decided to sale the shops for the purpose of using the funds for construction of cow sheds and meditation center as well as Bhojanshala etc. Till the time the sale proceeds from sale of shops are…
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In October 2019, the assessee bought a property at a FMV as stated in a valuation report by a CBDT empaneled valuation officer who is also a valuation officer for the Honourable High Court of Calcutta. In the valuation report, it was stated that the Stamp duty value of the property would be about 5.55% higher than the FMV of the property. The assessee proceeded with the agreement of sale on the basis of the valuation FMV in October 2019 and registered the property in March 2020. The Assessing officer now intends to include the difference in Stamp Duty value…
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Mr. G booked a flat in FY 2010-11 and made the payment of booking amount through banking channels. Total consideration to be paid for the flat was Rs.30 Lacs. The builder issued ‘Earnest Money Receipt’ for the same in FY 2010-11. Unregistered agreement was also entered into by the builder and Mr. G in F.Y. 2010-11. In F.Y. 2010-2011Mr. H real brother of Mr. G also transferred some amount from his bank account to Mr. G bank account for making the payment to the builder. Subsequently sum of the installments were paid from joint account of Mr. G and Mr.…
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As per L&T agreement dated 18.09.2021 Mr. K Mrs. R (wife of Mr. K) and Mr. A became partners of the firms with capitals of Rs. 7 lacs. The ratio of capital contribution and profit sharing ratio was 60%, 20% and 20% respectively. The capital of 7 lacs upto 31.03.2022 was contributed by Mr. K and Mr. A. No capital was contributed by Mrs. R (wife of Mr. K). During F.Y. 2021-22 no business was carried on except purchase of land. In F.Y. 22-2.3 the % of capital contribution and profit sharing ratio was changed with stitulation that the capital…
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X is a partner in a firm along with other partners. Firm has some assets, properties etc. X has a debit balance in the firm of 10 lakhs . He leaves the firm With lump sum consideration 50 lakhs . Any tax implications for firm or partner?? The status of debit balance in the firm ??
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Assessee is private limited co, engaged in the business of manufacturing of steel plates and other allied products . Search action U/Sec. 132 was conducted in the year 2021-22 . During the search in respect of certain purchase bills the assessee was not able to provide the details of Toll receipts, and LR receipts along with the E way Bills . The investigating team has drawn the inference that all these bills are non genuine . On the basis of these defects, during the course of reassessment proceedings initiated U/Sec.148A, AO has issued show cause as to why the purchases…
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Assessee along with the family members are owners of land . Since they do not have any knowledge of construction and development of project, They have decided to join the hands with the developer in Joint venture . the main terms of Registered JV are as under :- a. The two parties have decided to work on a Principal to Principal basis b.The detail role and responsibility of the individuals and the Developer have been noted in the JV. The entire cost of construction will be borne by developers and assessee and his family members will not be responsible for…
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Sec. 45(4)