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PL B INFORMED AFTER INSERTION OF SECTION 234E PENALTY UNDER SECTION 272A(2)(K) HAS BEEN WITHDRAWN

Section 43CA(3) provides for taking of stamp value as sale value if there is diff bet date of ag and date of registration. This will be done only if amount of consideration or part thereof is recd by any mode other than cash on or before date of ag.
Section 43CA(1) comes ito paly on the event of transfer and in this case transfer will b complete only on delivery of possesion which is in sept 2013 hence section 43CA will apply. Now wht will b stamp value that depends upon section 43CA(3) R/w section 43CA(4)
CA MANOJ GUPTA
JODHPUR
09828510543

The Circular Explaining the Amendment made by the Finance(No.2) Act 2009 stated as under
"46. Rationalizing the provisions for taxation of interest received on delayed compensation or on enhanced compensation
46.1 The existing provisions of Income Tax Act provide that income chargeable under the head "Profits and gains of business or profession" or "Income from other sources", shall be computed in accordance with either cash or mercantile system of accounting regularly employed by the assessee. Further, the Hon'ble Supreme Court in the case of Rama Bai v. CIT (1990) 181 ITR 400 (SC) has held that arrears of interest computed on delayed or enhanced compensation shall be taxable on accrual basis. This has caused undue hardship to the taxpayers.
46.2 With a view to mitigate the hardship, section 145A is amended to provide that the interest received by an assessee on compensation or enhanced compensation shall be deemed to be his income for the year in which it was received, irrespective of the method of accounting followed by the assessee.
46.3 Further, clause (viii) is inserted in the sub-section (2) of the section 56 so as to provide that income by way of interest received on compensation or on enhanced compensation referred to in clause (b) of section 145A shall be assessed as "income from other sources" in the year in which it is received.
The reason behind insertion is to tax intt on receipt basis irrespective of period to which it relates. Therefore intt will b taxed on receipt basis.
CA MANOJ GUPTA
JODHPUR
09828510543

The Central Government notified the following stock exchanges as recognised stock exchanges for the purposes of the clause (ii) in the Explanation to clause (d) of the proviso to clause (5) of section 43
(A) National Stock Exchange of India Limited, Mumbai
(B) Bombay Stock Exchange Limited, Mumbai
(C) MCX Stock Exchange Ltd. [ This exchange undertakes derivative transaction in cuurency only. Commodity derivative transactions are carried out at Multi Commodity Exchange of India Ltd.]
(D) United Stock Exchange of India Limited [  [ This exchange undertakes derivative transaction in cuurency only.]
Derivative transactions done at above exchanges are treated as business transactions.
CA MANOJ GUPTA
JODHPUR
09828510543

Since the money has been received by cheque it is beneficial if u calculate capital gain by taking 17.5 lakhs as sale value otherwise it will tantamonut to concealment .
CA MANOJ GUPTA
JODHPUR
09828510543

the trust income will be computed as per normal provisions of the Act and in that case cost of fixed asset will not be allowed as deduction while computing the trust's income.

yes u can there is a host of decisions on this issue. u can refer to the following cases.
1. Escorts Ltd. v. Union of India [1993] 199 ITR 43/[1992] 65 Taxman 420 (SC)
2. CIT v. Rao Bahadur Calavala Cunnan Chetty Charities [1982] 135 ITR 485 (Mad.)
3. CIT v. Institute of Banking Personnel Selection (IBPS) [2003] 264 ITR 110/131 Taxman 386 (Bom.)
4. CIT v. Society of Sisters of St. Anne [1984] 146 ITR 28/16 Taxman 400 (Kar.)
5. CIT v. Raipur Pallotine Soceity [1989] 180 ITR 579/[1990] 50 Taxman 233 (MP.)
6.CIT v. Sheth Manjulal Ranchhoddus Vishram Bhavan Trust [1992] 198 ITR 598/[1993] 70 Taxman 228 (Guj.)
7. CIT v. Manav Mangal Society [2010] 328 ITR 421/[2009] 184 Taxman 502 (Punj. & Har.)
8. CIT v. Market Committee Pipli [2011] 330 ITR 16/[2012] 20 taxmann.com 559 (Punj. & Har.) 9. CIT v. Tiny Tots Education Society [2011] 330 ITR 21/11 taxmann.com 242 (Punj. & Har.) 10. Lissie Medical Institutions v. CIT Kerala High Court
But the decision of Bangalore Club quoted by fellow member is totally not relevant to the discussion.
CA MANOJ GUPTA
JODHPUR
09828510543

No way pl note that as per section 2(24) any voluntary contribution recd by a trust is its income. Section 11(1)(d) provides exemption to corpus donation if certain conditions are fulfilled. The receipt is income in first place then exempted in certain conditions are fulfilled.

Section 2(24)(iia) defines income to include voluntary contributions received by a trust created wholly or partly for charitable or religious purposes or by an institution established wholly or partly for such purposes,  or by an association or institution referred to in clause (21) or clause (23), or by a fund or trust or institution referred to in sub-clause (iv) or sub-clause (v)  [or by any university or other educational institution referred to in sub-clause (iiiad) or sub-clause (vi) or by any hospital or other institution referred to in sub-clause (iiiae) or sub-clause (via)] of clause (23C), of section 10  or by an electoral trust.
Therefore every contribution received by a trust is its income.
Forther as per section 12(1) any voluntary contributions received by a trust created wholly for charitable or religious purposes or by an institution established wholly for such purposes (not being contributions made with a specific direction that they shall form part of the corpus of the trust or institution) shall for the purposes of section 11 be deemed to be income derived from property held under trust wholly for charitable or religious purposes and the provisions of that section and section 13 shall apply accordingly.
Section 11(1)(d) provides exemption to income in the form of voluntary contributions made with a specific direction that they shall form part of the corpus of the trust or institution.
This exemption is available to only the trusts which are eligible for exemption under section 11.
Therefore if trust is not eligible for exemption then the corpus donation will be taxed.
CA MANOJ GUPTA
JODHPUR
09828510543

u have not mentioned year to which the case relates. If u share details an appropriate reply can be given.
CA MANOJ GUPTA
JODHPUR
09828510543

U ARE ABSOLUTELY RIGHT KETAN. IF PROVISIONS OF SECTION 55 AND 58 OF LLP ACT AND SECOND SCHEDULE TO LLP ACT, 2008 ARE  FOLLOWED AND IF FOLLOWING CONDITIONS ARE SATISFIED TAX FREE TRANSITION OF FIRM INTO LLP CAN BE ACHIEVED
1. when a firm is treated as LLP under that Schedule it will be a case similar transmission SO SECTION 45(1) AND 45(4) WILL NOT BE APPLICABLE.
2. ON CONVERSION INTO LLP there would be no dissolution of firm and no distribution of capital assets to partners. SO SECTION 45(4) WILL NOT APPLY
3. the value of assets of the firm shall not be enhanced at the time of conversion
ALL ABOVE CONDITIONS ARE SUPPORTED BY CASE LAW DECIDED UNDER SECTION 45(4) DEALING WITH CONVERSION OF FIRM INTO COMPANY UNDER PART IX OF THE COMPANIES ACT
CA MANOJ GUPTA
JODHUR
09828510543

The Memorandum Explaining the Provisions of the Finance (No. 2) Bill, 2009 explained the scheme for taxation of LLPs in India as under :
As an LLP and a general partnership is being treated as equivalent (except for recovery purposes) in the Act, the conversion from a general partnership firm to an LLP will have no tax implications if the rights and obligations of the partners remain the same after conversion and if there is no transfer of any asset or liability after conversion. If there is a violation of these conditions, the provisions of section 45 shall apply.
the legislature does not want to charge capital gain tax on conversion of firm into LLP. But the Finance (No. 2) Act, 2009 has carried out no amendment in section 47 so as to provide for tax free transition of firm into LLP. It is opined by many that in the absence of substantive law the transition may not be tax free.
CA MANOJ GUPTA
JODHPUR
09828510543

it depends upon how the company treats its share portfolio.
If the co maintains investment portfolio and trading portfio then both CG and BI will b computed.
A lot depends upon facts of the case.

Service tax paid by the tenant does not partake the nature of income of the landlord. The landlord only acts as a collecting agency for Government for collection of service tax. Therefore it has been decided that tax deduction at source (TDS) under sections 194-I of Income Tax Act would be required to be made on the amount of rent paid/payable without including the service tax.—Vide Circular No. 4/2008, dt. 28-4-2008.
The payments made under section 194-I differ significantly from payment made under section 194J in the way that in the case of 194-I TDS has to be deducted on any income paid as rent. However, in the case of section 194J TDS has to be deducted on any sum paid as professional and technical fees. The Board had decided to exclude TDS on service tax component on rental payment because it was construed that service tax payment cannot be regarded as income of the landlord. Since section 194J covers any sum paid, therefore the board has decided not to extend the scope of Circular No. 4/2008, dated 28-4-2008 to such payment under section 194J.—Vide Circular F.No. 275/73/ 2007-IT(B), dt. 30-6-2008.
So the CBDT has opined differently on issue regarding deduction of tax on service tax component.
Section 195 uses the words " Any person responsible for paying to a non-resident, not being a company, or to a foreign company,  [any interest (not being interest referred to in section 194LB or section 194LC)]  [* * * *] or any other sum chargeable under the provisions of this Act (not being income chargeable under the head "Salaries"  [* * * *]) shall, at the time of credit of such income to the account of the payee or at the time of payment thereof in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rates in force :
The words used are " any other sum chargeable under the provisions of this Act ..." therefore no TDS will b made on service tax component of payment not because service tax is a tax.
CA MANOJ GUPTA
JODHPUR
09828510543

This judgment is on interest on TDS I reproduce the excerpts from judgment as under
""6. The only other ground of appeal is as under:-
"(2) On the facts and in the circumstances of the case and in law, the learned
CIT(A) has erred in deleting the addition made of Rs.11,676/- on account of
interest paid on late payment of TDS as the interest on TDS is not allowable
deduction as per Income Tax Law."
7. We have heard both the sides. In the assessment order the Assessing Officer
disallowed interest of Rs.11,676/- on the ground that interest on TDS is not allowable
expense. The reasoning giving by Assessing Officer is that when TDS is not
allowable, how interest on same is allowable. However, in the impugned order Ld.
CIT(A) accepted the contention of assessee that when assessee received interest on
tax refund the same is taxable in same manner the interest on late payment of TDS
is allowable expense. It is pertinent to note that it is not the case of assessee that
benefit of netting of interest paid to the Department and received from the
Department be allowed. It appears that assessee deducted TDS and deposited the
same late with the Income-tax Department. As a result of this, it paid interest of
Rs.11,676/-. The Hon'ble Supreme Court income Bharat Commerce & Industries v.
CIT (1998) 230 ITR 733 (SC) held that interest for late payment of direct taxes is not
deductible. Therefore disallowance of interest of Rs.11,676/- is restored. This ground
of appeal is allowed."""