Lot of assessees have died in recent Covid attack before they could have filed their ITR and TAR for asst year 2021-22. Their DSC had expired validity as the last date of ITR was extended several times. The only alternative left is that legal heir (son or wife) file the said ITR/TAR as per procedure given. WE applied in a case but after few days the application was rejected without communicating the reasons. In last dates for TAR, the tax audit report was filed by CA but could not be confirmed by assessee or legal heir. An application to CBDT was moved u/s 119 explaining the position and requesting permission either to file TAR/ITR in paper format or for approval to legal heir. No reply is received. What can be done to file these and avoid penalties.

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Notice U/s 148 was issued on 03/03/2020 served upon the assessee. In this case, the assessee has sold an immovable property (residential land) of Rs. 70,00,000/- dated 15/05/2014 on which capital gain arose of Rs.51,46,000/-. The assessee has deposited the entire amount of sale proceeds of Rs. 70,00,000/- in the Capital Gain Account Scheme, 1988 and claimed deduction u/s 54F of the Act. The Assessee has purchased a semi-finished new residential house (which was not complete in all respect to be treated as ready to move property) on 30/03/2017 for Rs. 94,00,000/- by way of utilizing the amount of Rs. 70,00,000/- deposited in the Capital Gain Account Scheme, 1988. The intention of the assessee was clear, the assessee has not utilized the amount kept the amount in the Capital Gain Account Scheme, 1988 for any other purpose and utilized the same for purchase cum completion of construction of the new residential house. Further, the completion of the construction of the semi-finished house is done by the assessee herself. In view of the above, the pure genuine intention of the assessee was to construct a residential house for his own residence and the amount deposited in the Capital Gain Account Scheme was utilized for the purpose of construction. Sir do we have the case laws in support of the above. As the department is not giving the benefit of the above investment and made the additions.

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I sold a immovable property and received 25,00,00 lakhs in cash as a sale consideration and the same was deposited in bank and the transaction was recorded in the income tax return filing also. will it attract penalty under s. 271 D for violation of S. 269SS of the income tax act?

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Sirs, In the absence of any incriminating material during the course of search or any adverse statement recorded in the deposition, can there any be addition to the income which was assessed under section 143(3) of the Act? Also, please guide if there are any judgements of Supreme Court in this regard. Thanking You

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What is tax rate of AOP ( Members having taxable income). Is it Maximum Marginal Rate which at present 42 % ( including surcharge and cess) right from Rs 1/-

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Residential Flat in Mumbai Flat Purchased on 13.10.2015 Total cost of Acquisition including stamp duty and other charges Rs.45 Lakhs Society gone for Redevelopment Development Agreement Registered  between society and Developer on 01.07.2015 Permanent Alternate Accommodation Agreement (PAAA) Between Flat Owner and Developer registered on 05.05.2017 Value of the flat as per Stamp duty Authority as on 05.05.2017 RS.21 Lakhs Full Occupancy certificate received on 14.08.2020 Sold on 10.08.2021 Sales Consideration RS.85 Lakhs Query: Taxation of Capital gain in which Year and also Whether it is short term or Long considering Section 45(5A) effective from AY 2018-2019 Transfer U/s.2(47)(v) section 45 of IT Act and Section 53A of TOPA and also whether any benefit of section 54 available. Kindly share your valuable Opinion

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For the purpose of deduction u/s 54F of Income Tax Act whether the words ‘full value of consideration’  contained in section 50C will be applicable   or the actual sale consideration value as specified in the sale deed will be applicable.

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Assessee is a developer of the housing project and engaged in the business of construction. The assessee purchased a land for development of housing project on which there was encroachment of a person. A settlement has been made by the assessee with the said person and as per the agreed terms the assessee agreed to share with him the sale proceeds of one unit in the said housing project for withdrawing his claim of the land. In the year 2012-13, the assessee sold the unit allotted to the person referred above for Rs. 1 crores and credited the sale proceeds to his account in books of assessee. As per the request of the said person, assessee has started paying the amount by bearer cheque to the said person. In the A.Y 2015-16, assessee has paid Rs. 10,00,000/- on different dated by bearer cheque. The AO asked the assessee to show cause as to why these payments should not be disallowed u/s 40A(3A) of the Act. Assessee has replied that The said payment is genuine. The said payment, the recipient has accepted and also confirmed that  he has no   bank account and therefore as per his request payment is effected by bearer cheque. The recipient is assessed to tax and he has also confirmed that he has   submitted the return of income disclosing the amount received in the said return. The expenditure is not incurred in the F.Y.2012-13 as well as in  current year. However, AO has not appreciated the submission and made the addition. Is this action of AO correct? Please guide with supporting case laws, if any.

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I received a 148 notice dated March 31,2021 about “escaped income” in my 2015-16 ay return from AO Chennai who asked me to send copy of tax return, which I promptly did. A notice under 147 was sent dated 30-9-2021 by AO decribing the nature of income (USA social security income). I replied promptly that this “income is NOT taxable in India per DTAA article 20(2) and USA can tax this pension. No reply from AO and then on DEc 1,2021 I get two notices. The same notice u/s 147 on social security income which has escaped assessment and also dated Dec 1,2021 notice under 142(1) asking bank statements for 2015-16 ay, proofs for various expenses,deductions 80G,80C,80 QQB,80D etc etc. I promptly replied with all details. The same reply sent to AO in Oct 2021 was sent reg the 147 notice as substance of notice was same.Also explained that the SS income particulars were given in the FSI section of my return, which they did not bother to read.THey thought it was anasset and said that the income is not shown in the FA section of the return. No further information from the dept. Any views,legal or technical comments ..HOW CAN AN EXEMPT INCOME IN INDIA ESCAPE ASSESSMENT? NO ONE FROM THE DEPT HAS BOTHERED TO CHECK IF THE INCOME WAS TAXABLE IN INDIA, NATURE OF INCOME ETC. Any suggestions for the assessee?

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My client is a Kaccha Artia in Anaj Mandi (Grain Market) which sells go ods on Dami (Commission) on auction in Anaj Mandi. The Transaction is as follows: – Sale price = 100/- + Commission = 2/- + Market Board Fee = 1 total = 103/- . The buyer is deducting TDS u/s 194H on Rs.2/- since the insertion of section 194H. Further, Sale of Kaccha Artia is not treated as Sale u/s 44AB as per the clarification of CBDT. Now Section 194Q has been inserted since July 2021. Therefore the buyer has starting deducting TDS under both the section. i.e. u/s 194H on Rs 2 and u/s 194Q on Rs 101/-. whereas section 194Q (5) says that the provision of section 194Q to a transaction on which tds is deductible under any of the provision of the Act, In view of the aforesaid kindly clarify that which section shall be applicable on the above transaction.    

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