The appellant is an Association of Person engaged in the business as builder and developer. Search action was conducted in the case of  Group of cases on in the Aug 2016. A Notice u/s 153A was issued and duly served upon the assessee requiring the asseeseee to file return of income including undisclosed income. The appellant e-filed the return of income for A.Y.2015-16 . The assessee was developing a single project and the developer claimed to be following completed contract method of accounting for the purpose of revenue recognition. During the course of hearing various details were called for and submitted by the assessee. In support of the method adopted by the assessee of not recognizing the revenue and income on the project , submitted that since the project is under construction and the possession was not handed over to the customer , the amount received from the customer is just an advance and cannot be construed as sale consideration .It was also submitted by the appellant that when substantial risk and reward was passed on , the appellant has recognized the revenue of the project in the A.Y.2016-17. However, the ld AO has not appreciated the contention of the appellant and held that the method of recognizing revenue followed by the assessee is not as per the provisions of section 145 of the Act and inconsistent with the method adopted in the immediate succeeding year.Therefore, the ld AO has rejected the books of accounts of the assessee by invoking the provisions of section 145(3) of the Act on the ground that the appellant has not followed the Guidance Note issued by ICAI for revenue recognition by following percentage completion method, without pointing out any error in the method of revenue recognition i.e. completed contract method followed by the  assessee. Assessment is completed u/Sec. 143(3) r.w.s.153A for a.Y. 2015-16 by working out the profit as per percentage completion method and added the substantial amount . Issues. a: Whether AO can reject books of accounts by resorting to Sec. 145(3) and asked the assessee to change the method of  recognizing revenue form Project completion to percentage completion . b. Whether assessment passed U/SEc. 143(3) r.w.s. 153A is legally correct or AO once he  reject the books of accounts , Assessment order is to be passed U/Sec. 144. c: Whether action of the AO of invoking provisions of sec. 145(3) on the ground that the assessee had accepted the method of recognizing revenue on percentage completion method in the A.Y. 2016-17is legally justified .  

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Search is conducted in the month of March 2023 on Assessee XYZ, where in a diary is found which is cash book for from F.Y. 2011-12 to 2022-23. in the said diary noting about receipt and payment is shown in the name of ABC.  On the basis of these noting, Notice U/Sec. 148 is issued in view of provisions of  Clause (iv) of Explanation -2 of Sec. 148 for A. Y . 14-15, 16-17 and 2019-20 alleging escarpment of income more than Rs. 50 lakhs each year. ABC has no connection of what so ever nature with XYZ. How ABC should respond to the said Notice . pl guide

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incentives linked to deposits of sub-brokers, is it covered u/s 194/A/R/H ?

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The dispute of extra area work was finally settled throu arbitration award pertaning to pre GST period ( Finacial year 2016-17) . Some Compensation and interest is recived now. On the above interest,  income tax is payable on 50% income as per section57(iv) of Income Tax Act ?

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What will be the TDS liability in case of :   1. IMPORT FREIGHT PAID TO INDIAN SHIPPING COMPANY 2. IMPORT FREIGHT PAID TO FOREIGN SHIPPING COMPANY 3. EXPORT FREIGHT PAID TO INDIAN SHIPPING COMPANY 4. EXPORT FREIGHT PAID TO FOREIGN SHIPPING COMPANY 5. ON WHAT AMOUNT TDS WILL BE APPLICABLE. INVOICE INCLUDES FREIGHT CHARGES, PORT CHARGES, MATERIAL HANDLING CHARGES ETC

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What are the implications under GST if a partner of a firm receives stock in trade/raw material/ finished goods/ work in progress from the firm?   Similarly, what are the implications under GST if a partner of a firm receives Capital Assets from the Firm?

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Assessee is NBFC registered under Co Act as well as RBI. During the period of demonetization assessee co accepts cash in old currency amounting to Rs 1410000/- from the borrowers up to 14.11.2016 and from 15.11.2016 till 31.12.2016 amounting to Rs. 2010000/-. AO has made addition U/sec. 68 on the ground that NBFC are not permitted to accept currency in Old Notes from any one and therefore the amount is unexplained cash credit to be added U/sec. 68, eventhough assessee co has given complete details of the persons from whom amount is received towards repayment of loan taken from NBFC.  Whether action of AO is justified ? Pl guide .

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The dispute of extra area work was finally setteled throu arbitration award pertaning to pre GST period , now. Some compensation and interest was awarded by Arbitrator. On this GST is payable or VAT/ Service Tax/ excise is payable under old regim. ? It seems that this amount received is not covered by section 142(2)(a) as price of good or services are not revised upward . But dispute of extra area work is now settled. If VAT /service tax/ Excise is payabe, how to pay same as Return of those period cannot be filed now On above Interst income tax is payable on 50% income as per section 57(iv) of Income tax act ?

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this is passed with approval of PCIT, is this final and free from from any other action ?

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Assessee is a partnership firm engaged in the business of manufacturing and job work of engineering goods. Search u/s 132 of the Act was carried out in the month of January,2018. While filing return of income in response to notice u/s 153A, assessee firm discloses additional income on account of unaccounted scrap sale. This scrap sale has been worked out by estimating burning loss at the rate of 20% and the assessee firm declared income as unaccounted scrap sale. Penalty proceedings u/s 271(1)(c) are initiated for concealing the inaccurate particulars of income in the assessment order. Notice u/s 274 r.w.s 271(1)(c), it is mentioned by the AO that, “It appears to me you have concealed the particulars of income.”  In the penalty order, it is mentioned that, “The assessee has committed default within the meaning of section 271(1)(c) of the Act, without any reasonable cause, and therefore levy penalty for concealment of income.”  Whether the levy of penalty is justified in law? Whether assessee can take a stand that there is no difference in the return filed in response to notice u/s 153A of the Act and assessed income? When the income is offered by estimating the burning loss in the manufacturing process and the penalty levied on such income is to be considered as penalty on estimated income ?      

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