An NRI has never filed any return in india as he was not having any taxable income in india.  In the year Nov 2011, he has paid a sum of Rs. 5 Lacks as Premium on ULIP policy being Single premium policy on sum assured of Rs. 6.25 lacks but as he has not filed any income tax return, no 80C was claimed.  In year 2017-18, said NRI has received Rs. 9.75 being maturity proceeds to said ULIP policy and Insurer has also deducted tds of 1% on maturity proceeds. The question is Whether the sale proceeds received by NRI on Single premium ULIP policy taxable in india or exempt.  If it is taxable, how to calculate capital gain and what % tax will be applicable, whether indexation benefits available etc.

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Whether show cause notice issued u/s 148A(b) on or after 28.04.2022 is valid or not.. is a question to ponder over, of late, as IT department is issuing the said notices rampantly. For this purpose let us first examine the third proviso to sec 149 which reads as under…. [i]Provided also that for the purposes of computing the period of limitation as per this section, the time or extended time allowed to the assessee, as per show-cause notice issued under clause (b) of section 148A or the period during which the proceeding under section 148A is stayed by an order or injunction of any court, shall be excluded:[/i] From a perusal of the above proviso, it is understood that the intention of legislature is to grant the time lost by the AO in allowing the time to submit the reply by the assessee to the show cause notice issued u/s 148A(b). one thing is to be kept in mind that the total time limit allowed for issuance of notice u/s 148  is 3 years or 10 years as the case may be.  Though 10 years time has been brought by the finance Act, 2021 as against the earlier time limit of 6 years but literally it will come into force only from the A.Y. 2022-23 onwards by virtue of first proviso to sec. 149 of the IT Act. Till that time the old time limits of 6 years holds good. Therefore, let us consider 3 years (1095 days ) and 6 years (2191 days) for our discussion. suppose show cause notice u/s 148A(b)  is issued on 26.03.2022 and the minimum time  to be allowed is 7 days and therefore, AO should give hearing date as 02.04.2022. Further, as per third proviso because the AO lost only 5 days out of 1095 days,  the time for issuing notice u/s 148 is deemed to have been extended till 05.04.2022. ( 5 days from 01.04.2022). It is pertinent to mention here that from the hearing date ie 02.04.2022 to 05.04.2022 is only 3 days, the time deemed to have been extended upto 09.04.2022 by virtue of 4th proviso to sec 149 of the Act. However, in this situation, department is considering that AO lost whole 7 days which was allowed in the show cause and accordingly calculating 7 days from 01.04.2022 which according to the department is expiring on 07.04.2022 but from 02.04.2022 to 07.04.2022 is less than 7 days ( only 5 days ), the deemed time extended is considered by the department as 09.04.2022. In the same way if notice is issued on  27.03.2022 and the minimum time to be allowed is 7 days and therefore, AO should give hearing date as 03.04.2022. Further, as per third proviso because the AO had  lost only 4 days out of 1095 days,  the time for issuing notice u/s 148 is deemed to have been extended till 04.04.2022. ( 4 days from 01.04.2022). It is pertinent to mention here that from the hearing date ie 03.04.2022 to 04.04.2022 is only 1 day, the time deemed to have been extended upto 10.04.2022 by virtue of 4th proviso to sec 149 of the Act. However, in this situation, department is considering that AO lost whole 7 days which was allowed in the show cause and accordingly calculating 7 days from 01.04.2022 which according to the department is expiring on 07.04.2022 but from 03.04.2022 to 07.04.2022 is less than 7 days ( only 4 days ), the deemed time extended is considered by the department as 10.04.2022. But if the notice is issued on 28.03.2022 then the minimum time to be allowed is 7 days and therefore, AO should give hearing date as 04.04.2022. Further, as per third proviso because the AO had  lost only 3 days out of 1095 days,  the time for issuing notice u/s 148 is deemed to have been extended till 03.04.2022. ( 3 days from 01.04.2022). It is pertinent to mention here that  the hearing date is  ie 04.04.2022  and AO s extended time to issue notice u/s 148 expires by  03.04.2022. This situation seems to be impossible. Therefore, the question of invoking 4th proviso does not arise in this situation. However, in this situation, department is considering that AO lost whole 7 days which was allowed in the show cause and accordingly calculating 7 days from 01.04.2022 which according to the department is expiring on 07.04.2022 but from 04.04.2022 to 07.04.2022 is less than 7 days ( only 3 days ), the deemed time extended is considered by the department as 11.04.2022. Accordingly, the show cause notices issued on or after 28.03.2022 are invalid in my opinion. But as per the market information, incometax department continued to issue show cause notices even after 28.03.2022 also. Therefore, there appears to be a great …

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Facts : A Private Specific Family Trust is there having four major persons as its beneficiaries. Shares of all the beneficiaries are fixed and known as per the trust deed. Said Trust owns commercial building through which it receives rental income. Return of income of Trust is regularly filed and income from rent is allocated to beneficiaries according to their shares and said income is offered for tax by beneficiaries when they file their return of income (i.e of beneficiaries ) and returned income of Trust is always NIL and Trust does not pay any taxes on rental income. Now the Trust intends to sell the building which is long term capital assets On sale of building substantial Long term capital gain will be generated. The trustees wants to allocate this capital gain to individual beneficiaries and wants individual beneficiaries to show the same in their return of income and pay the tax accordingly individually and they want to file Return of income of Trust with NIL income Query 1 – Whether the trust can allocate this Long term capital gain in the hands of individual beneficiaries as per their shares and then the individual beneficiaries offer the said LTCG in their personal return of income and pay tax individually. Query 2 – If the trust can allocate this LTCG as mentioned in Query 1 above then whether each individual beneficiary can claim deductions un der section 54EC or 54F against the said sale? I.e. whether individual beneficiaries can claim 50 lakhs each (under section 54EC) in their hands against LTCG per beneficiary. Query 3 – If the trust cannot allocate this LTCG as mentioned in Query 1 then whether the trust can claim deductions like 54, 54F or 54EC in the hands of Trust itself?

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Hello, Please guide as to how we can claim compensation for undivided ancestral land acquired by Govt. for Canal construction. 1. We have ancestral land that remains undivided among my grandfather and his brother and other relatives in our Village. 2. We do not have any land records however we do have possession of the said land. 3. As I’m given to understand in the land records available in the land record portal of Odisha Govt. Lot many people are mentioned in addition to my Grandfather and his younger brother,we do not know who are these people or do not have there wherwithal or contact details. 4. Upon talking to the Land Acquisition Officer of the said project we were told to bring no objection certificate in the form of an affidavit from Tehsildar office.Which we tried to explain is near to impossible as the families do not reside in the village and have relocated to other states and some have migrated to other countries. 5. My elders have told me that from my ancestral time the land was not divided and it is understood that the family which has possession of the land is the owner of the land. As my grandfather and his younger brother are also mentioned in land which is on possession of other related families of the village. 6. How do I claim compensation for the entire family ,as NOC from so many people is not possible, is there a way where I can become the sole representative of the undivided family to collect the compensation as a whole and distribute it among the family , by submitting a self decleration of taking the responsibility of distributing the rightful share among my family members. Please guide me else ,our ancestral land is already gone we would not get the compensation either.

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Assessee is partnership engaged in the business of real estate developers.  Survey U/sec. 133A has been conducted , where a incriminating statement giving particulars of sale of flats , name of person , agreement value and cash accepted was recorded. Partner who was not looking after accounts had accepted the amount stated in coloum cash is extra consideration received. The amount for each unit is more than 2 lakhs. At the time of assessment the said partner had retracted from the statement. However AO made this cash  as undisclosed income. Assessee later on received Notice u/Sec.269SS on the ground that assessee has received On Money more than 2 lakhs from each unit. Whether provision Sec. 269SS is applicable to such alleged receipts in cash. Pl guide

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An individual settles his property to a private discretionary trust which has beneficiary as his brothers, brothers’ wife, brothers’ children and their spouses and their children. Since all the persons do not come within the definition of relative as defined in explanation to 56(2)(vii) , it may not be covered by the exception provided by proviso (X) to 56(2)(x). Question is, it being a discretionary trust where the individual shares are not defined, will section 56(2)(x) apply?  If applied then how will one compute taxable part?

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For the year ended 31.03.2021 there was a mismatch in 26AS because of the slow website the return was filed without reconciling and resulted in lower income filed by Rs. 15 lakhs. How to rectify the same. Assesse is ready to pay taxes with interest but not penalty.

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The Assessee is a registered trust incorporated for educational and other anciliary objects. The trust for FY 20-21 has accumulated 85% of the income and intends to apply the same in the subsequent years within a period of 5 years. Now, in FY 21-22, the Assessee Trust intends to incur expenditure on repairs and maintenance of a school that forms part of another Trust. The payment will be made by the Assessee trust to the contractor directly, no amount shall be paid by the Assessee trust to the other Trust. The invoice will be raised by the contractor in the name of the Assessee Trust. The question that arises now is whether this transaction falls under the ambit of application of accumulated income? And whether the provisions of explanation to sections 11(2) will be applicable? As per the explanation to sections 11(2) any amount credited or paid to any fund/trust shall not be treated as application of income for charitable or religious purposes. Therfeore, in the instant case since, the Assessee Trust has not paid/credited any amount to any Trust/Fund can it be concluded that the payment made by the Assessee Trust to the contractor for repair and maintenace of a school belonging to other trust, be claimed as application of accumulated income ?

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Assessee is partnership Firm filed the Return of Income For A.Y. 2009-10. while uploading the return due to some problem in soft ware the claim of Depreciation was not correctly uploaded   and also received the Intimation U/Sec. 143(1)(a) from CPC Banglore in the month of Dec. 2010. In this intimation , the adjustment of amount of Depreciation was made and demand was raised . The assessee was unaware of this fact, and when the call came from TRO in April 2022, the assessee came to know such demand. Assessee firm has claimed the depreciation on the WDV as on 31.03.2009 there after and claim of deprecation was allowed. In this back ground pl guide whether the assessee should submit the ratification application or file the petition U/SEc. 264, giving the reason for condonation of delay. pl guide.

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Hi All, my dad was a tenant and the redevelopment agreement was signed then. He passed away and consequently it was transferred to my mom. She signed the PAA in 2019 and we finally have sold the flat in 2022. what can be the cost of acquisition in this case. its very confusing answers that i am reading. Appreciate your help here

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